SYNNEX (SNX) Stock Forecast & Price Target

TD Synnex is well positioned by its broad-based Q2/26 outperformance, with non-GAAP gross billings of $28.9 billion and revenue of $19.6 billion rising 33% and 31% year over year, while non-GAAP EPS of $4.86 beat forecasts as healthy demand persisted despite price increases. A key fundamental driver is Hyve, whose gross billings jumped 120% and whose new programs with all five U.S.-based hyperscalers, plus exposure to AI infrastructure spending and component scarcity, support faster growth and a better margin mix. Balance-sheet discipline and shareholder returns add support, with gross leverage at 2.1x, net leverage at 1.6x, and management guiding fiscal Q3/26 to revenue of $18.2 billion-$19.0 billion and EPS of $4.25-$4.75.

TD Synnex is facing a negative setup because its fiscal Q2/26 adjusted EBITDA of $542.6 million and non-GAAP EPS of $4.00 are both expected to come in below FactSet consensus, despite year-over-year growth, while margins are forecast to compress sequentially from 3.6% to 3.1%. The business also appears exposed to quarter-to-quarter lumpiness from supply chain activity, which is less predictable than program-based revenue and can amplify volatility in results. In addition, the outlook is clouded by potential margin headwinds from growth investments, lower cloud end-market growth, deteriorating PC demand, a slower-than-expected networking recovery, and broader macro or supply chain constraints.