ScanSource combines a cheap, cash-generative valuation and rising analyst estimates with a weak-growth headwind and a negative risk-adjusted asymmetry ratio, consistent with a call to consider reducing the position.
Thesis pillars
- Weak Growth Headwind↓Deteriorating
- Cheap Valuation With Cash Conversion↑Improving
- Earnings Beat Streak With Rising Estimates↑Improving
- +1 more pillar — see the Why tab for full reasoning
ScanSource, Inc. (SCSC) Stock Analysis
Range Bound setup · Inst Constrain edge
Technology · Electronics & Computer Distribution
Hold if already holding. Not a fresh buy at $53.27, but acceptable to hold if already in. Reasons: Concentration risk — Geographic: United States and Canada (92.1%); Analyst target reached - limited upside remaining.
ScanSource, Inc. engages in the distribution of technology products and solutions in the United States and internationally. It operates through two segments: Specialty Technology Solutions, and Intelisys & Advisory. The Specialty Technology Solutions segment offers mobility and... Read more
Hold if already holding. Not a fresh buy at $53.27, but acceptable to hold if already in. Reasons: Concentration risk — Geographic: United States and Canada (92.1%); Analyst target reached - limited upside remaining. Chart setup: RSI 43 mid-range, Bollinger mid-band. Mixed signals. Hold existing position. Score 6.3/10, moderate confidence.
Passes 5/7 gates (positive momentum, clean insider activity, earnings proximity 74d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.
Recent developments
updated 2026-08-22Recent Developments — ScanSource, Inc.
Latest news
- NEWS ScanSource Earnings: What To Look For From SCSC - StockStory — StockStory neutral
- NEWS ScanSource Earnings: What To Look For From SCSC - TradingView — TradingView neutral
- NEWS ScanSource (SCSC) Earnings Check: Profit Per Share Falls Below Its Benchmark for This Review; Closing Response - Vinanet — Vinanet negative
- NEWS Meeder Asset Management Inc. Acquires Shares of 93,287 ScanSource, Inc. $SCSC - MarketBeat — MarketBeat neutral
- NEWS ScanSource (SCSC) Stock Trades Down, Here Is Why - Yahoo Finance — Yahoo Finance negative
Generated 2026-08-23T00:51:56Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMSupplierCisco and Zebra10-K Item 1A: 'A significant percentage of our net sales relates to products we purchase from relatively few suppliers, including Cisco and Zebra.'
- HIGHGeographicUnited States and Canada92%10-K Item 1A: 'For fiscal year ending June 30, 2025, approximately 7.9% of our revenue was derived from our operations outside of the United States and Canada.'
Material Events(8-K, last 90d)
- 2026-05-29Item 5.02MEDIUMSEVP and Chief Information Officer Rachel Hayden was notified her role will be eliminated effective June 8, 2026; she is entitled to severance benefits under the company's Executive Severance Plan. Reason cited: role elimination.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
10 dimensions · all in-band
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Hold if already holding. Not a fresh buy at $53.27, but acceptable to hold if already in. Reasons: Concentration risk — Geographic: United States and Canada (92.1%); Analyst target reached - limited upside remaining. Chart setup: RSI 43 mid-range, Bollinger mid-band. Mixed signals. Hold existing position. Target $65.44 (+22.8%), stop $50.55 (−5.4%), A.R:R -0.9:1. Score 6.3/10, moderate confidence.
Take-profit target: $65.44 (-10.9% upside). Target $65.44 (+22.8%), stop $50.55 (−5.4%), A.R:R -0.9:1. Stop-loss: $50.55.
Concentration risk — Geographic: United States and Canada (92.1%); Analyst target reached - limited upside remaining.
ScanSource, Inc. trades at a P/E of 15.5 (forward 10.4). TrendMatrix value score: 8.4/10. Verdict: Hold.
9 analysts cover SCSC with a consensus score of 4.0/5. Average price target: $57.
What does ScanSource, Inc. do?ScanSource, Inc. engages in the distribution of technology products and solutions in the United States and...
ScanSource, Inc. engages in the distribution of technology products and solutions in the United States and internationally. It operates through two segments: Specialty Technology Solutions, and Intelisys & Advisory. The Specialty Technology Solutions segment offers mobility and barcode, including mobile computing; barcode scanners and imagers, radio frequency identification devices, barcode printing and related services; point of sale systems and integrated pos software platforms; payment terminals, such as self-service kiosks, payment terminals and mobile payment devices; physical security comprising video surveillance and analytics, and video management software and access control; networking, such as switching, and routing and wireless products and software; communications, including voice, video, communication platform integration, and contact center solutions; managed connectivity and wireless enablement solutions. This segment offers applications that have evolved from traditional uses, such as inventory control, materials handling, distribution, shipping and warehouse management, and healthcare applications. The Intelisys & Advisory segment offers connectivity and software-defined networking, cx (unified communications as a service and contact center as a service), cloud/data center, and security, managed AI, and wireless and IOT. This segment helps channel sales partners service various end users, including businesses of all sizes from very small business to enterprise size businesses. It serves manufacturing, warehouse and distribution, retail and e-commerce, hospitality, transportation and logistics, government, education and healthcare, and other industries. ScanSource, Inc. was incorporated in 1992 and is headquartered in Greenville, South Carolina.