TD Synnex's Cost-Plus Model, Inventory Positioning Create Competitive Advantage, RBC Says

11:20 AM EDT, 09/21/2026 (MT Newswires) -- TD Synnex's (SNX) cost-plus model, proactive inventory positioning, and its global scale create a self-reinforcing competitive advantage amid higher component costs, supply constraints and accelerating AI investments, RBC Capital Markets said in a note emailed Monday. The investment firm raised its Q3 gross billings estimate by 2.5% to about $28.9 billion, higher than both consensus and guidance, on account of durable spending in IT distribution business and new program wins at its Hyve Solutions business. RBC said it expects Q3 revenue and adjusted earnings per share of about $19.4 billion and $4.80, both higher than consensus estimates of $18.9 billion and $4.69, respectively. TD Synnex is scheduled to report its Q3 results on Thursday. Looking ahead, the firm said it has a "high degree" of confidence that Hyve can improve its margin profile as programs mature and operational efficiencies are captured at scale. RBC raised its fiscal 2027 and 2028 adjusted operating income estimates to $1.13 billion and $1.51 billion, respectively. RBC Capital Markets maintained its outperform rating on the stock, with a $340 price target. Shares of TD Synnex were up 2% in Monday trading. Price: 271.45, Change: +5.28, Percent Change: +1.99