PC Connection, Inc. (CNXN) Stock Grade

About PC Connection, Inc.'s fundamentals

PC Connection is a technology distributor with a market capitalization of $1.5 billion that generated 2.5% year-over-year revenue growth, indicating modest expansion in a competitive sector. The company maintains a net profit margin of 2.9%, which is relatively thin and typical for distribution businesses operating on lower markups. With a return on equity of 9.2% and a P/E ratio of 17.4, the company demonstrates moderate profitability relative to its valuation and shareholder capital. The company offers a 1.1% dividend yield, providing minimal income to shareholders relative to the stock price.