AVT vs ARW

For growth investors, Arrow Electronics, Inc.

(ARW) is the stronger pick with 10. 5% revenue growth year-over-year, versus -6. 6% for Avnet, Inc. (AVT). Arrow Electronics, Inc. (ARW) offers the better valuation at 17. 6x trailing P/E (13. 6x forward), making it the more compelling value choice. Analysts rate Avnet, Inc. (AVT) a "Hold" — based on 20 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Arrow Electronics, Inc.

(ARW) is the cheapest at 17. 6x versus Avnet, Inc. at 30. 4x. On forward P/E, Arrow Electronics, Inc. is actually cheaper at 13. 6x.

Over the past 5 years, Avnet, Inc.

(AVT) delivered a total return of +106. 2%, compared to +67. 8% for Arrow Electronics, Inc. (ARW). Over 10 years, the gap is even starker: ARW returned +222. 3% versus AVT's +137. 5%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Avnet, Inc.

(AVT) is the lower-risk stock at 1. 27β versus Arrow Electronics, Inc. 's 1. 32β — meaning ARW is approximately 4% more volatile than AVT relative to the S&P 500. On balance sheet safety, Arrow Electronics, Inc. (ARW) carries a lower debt/equity ratio of 46% versus 57% for Avnet, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Arrow Electronics, Inc.

(ARW) is pulling ahead at 10. 5% versus -6. 6% for Avnet, Inc. (AVT). On earnings-per-share growth, the picture is similar: Arrow Electronics, Inc. grew EPS 49. 9% year-over-year, compared to -49. 4% for Avnet, Inc.. Over a 3-year CAGR, AVT leads at -3. 0% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Arrow Electronics, Inc.

(ARW) is the more profitable company, earning 1. 9% net margin versus 1. 1% for Avnet, Inc. — meaning it keeps 1. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ARW leads at 3. 0% versus 2. 8% for AVT. At the gross margin level — before operating expenses — ARW leads at 11. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Arrow Electronics, Inc.

(ARW) trades at 13. 6x forward P/E versus 16. 8x for Avnet, Inc. — 3. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for AVT: -5. 2% to $79. 33.

In this comparison, AVT (1.

5% yield) pays a dividend. ARW does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Avnet, Inc.

(AVT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1. 27), 1. 5% yield, +137. 5% 10Y return). Both have compounded well over 10 years (AVT: +137. 5%, ARW: +222. 3%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: AVT is a small-cap quality compounder stock; ARW is a small-cap deep-value stock. AVT pays a dividend while ARW does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.