Avnet (AVT) delivered robust fiscal Q4 2026 results with sales surging 47.7% to $8.3 billion and adjusted operating margin expanding to 3.8%. The company forecasts Q1 FY2027 sales of $9-$9.3 billion with adjusted EPS of $2.80-$2.90, representing 241% year-over-year earnings growth. AVT stock has outperformed its industry significantly while trading at a valuation discount.

Avnet (AVT) achieved record IP&E sales in fiscal Q4 2026 with full-year revenues approaching $5 billion and forecasts 10% sequential growth for Q1 fiscal 2027. Despite an 88.5% one-year stock surge, AVT trades below industry valuation multiples at 0.23X P/S versus 0.37X industry average, earning a Zacks Rank #1 Strong Buy rating. The company benefits from AI infrastructure demand, expanding margins, and strong performance across all end markets.

TD SYNNEX reported that customers using its digital platforms increased spending at nearly twice the rate of comparable customers in Q3 FY2026. The company's PartnerFirst and Digital Bridge platforms, powered by AI agents, are helping simplify technology purchasing and deepen customer relationships. Q3 revenues surged 37.7% YoY to $21.6B with gross billings up 40% to $31.8B. SNX trades at a forward P/E of 11.31, below the industry average of 18.45, and holds a Zacks Rank #1 (Strong Buy) rating.

TD SYNNEX (SNX) has surged 78% year-to-date, significantly outperforming its IT Services industry peers. Strong Q3 fiscal 2026 results showed 37.7% revenue growth and 58.7% non-GAAP EPS growth, driven by robust AI infrastructure demand. With a forward P/E of 11.26X below the industry average of 17.98X, the stock is rated a Zacks Rank #1 Strong Buy, offering continued upside potential for investors seeking AI and technology exposure.

Zacks.com highlights three momentum stocks based on Richard Driehaus's investment strategy: NVIDIA Corp., TD SYNNEX Corp., and KE Holdings Inc. These stocks are identified as top momentum picks with strong upside potential, featuring positive earnings surprises and impressive earnings growth projections.

A comparison of two IT services sector stocks reveals TD SYNNEX (SNX) as the superior value investment. SNX holds a Zacks Rank #1 (Strong Buy) with a forward P/E of 13.58 and Value grade of B, while ServiceNow (NOW) has a Zacks Rank #3 (Hold) with a forward P/E of 33.97 and Value grade of F. SNX's lower valuation metrics and stronger earnings outlook make it more attractive to value investors.

Using Richard Driehaus's momentum-investing strategy, three stocks stand out as top picks for October: NVIDIA with a B Momentum Score and 93.9% expected growth, TD SYNNEX with an A Momentum Score and 55.4% expected growth, and KE Holdings with a B Momentum Score and 93.6% expected growth. The strategy focuses on stocks trading above their 50-day moving average with strong earnings growth and positive momentum indicators.

TD SYNNEX (SNX) has received a Zacks Rank #1 (Strong Buy) rating due to significant upward revisions in earnings estimates. The company's consensus estimates for the current quarter increased 27.47% over the past month, with expected earnings of $5.69 per share (+48.6% year-over-year). Full-year estimates rose 10.47% to $20.50 per share (+55.4% year-over-year). The stock has gained 6% over the past four weeks as investors respond to improving earnings prospects.

TD SYNNEX is positioned to potentially beat earnings estimates in its upcoming September 24, 2026 report, based on its strong track record of earnings surprises. The company averaged a 32.13% surprise over the past two quarters and currently has a positive Earnings ESP of +7.37% combined with a Zacks Rank #2 (Buy) rating, suggesting a high probability of another earnings beat.

The article highlights three top-ranked small-cap value mutual funds with Zacks Mutual Fund Rank #1 (Strong Buy): FPA Queens Road Small Cap Value (QRSVX) with a 19.1% three-year annualized return, Bridgeway Omni Small-Cap Value (BOSVX) with 16% returns and 0.47% expense ratio, and Pinnacle Value (PVFIX) with 13.1% returns. These funds focus on undervalued small-cap stocks with growth potential.

Avnet (AVT) continues to capitalize on robust AI infrastructure demand, with fiscal 2026 IP&E sales reaching $4.6 billion, up from $4 billion. The company expects fiscal 2027 Q1 adjusted EPS of $2.80-$2.90, representing 241% year-over-year growth. AVT stock has surged 85.9% year-to-date and trades at a P/S multiple of 0.21X, below the industry average of 0.34X, earning a Zacks Rank #1 (Strong Buy) rating.

Avnet reported record fourth-quarter sales of $8.3 billion, up 48% year-over-year, driven by strong AI infrastructure demand across data centers, networking, and industrial markets. The company's adjusted operating margin expanded to 3.8%, with healthy backlog and book-to-bill ratios. Despite a 37.8% six-month stock rally, AVT trades below industry valuation multiples, earning a Zacks Rank #1 (Strong Buy) rating.