TD Synnex named ‘2025 top pick’ at UBS

UBS analyst David Vogt keeps a Buy rating and $150 target on TD Synnex (SNX) while naming the stock the firm’s top mid-cap pick pick in U.S. Enterprise Hardware and Networking for 2025. The company’s end-markets – PCs, Networking, Server/Storage – should recover next year, driving 5% billings growth, while its management should return 50% of free cash to shareholders in the form of dividends and buybacks next year, shrinking the float by about 5% and driving roughly 10% EPS growth, the analyst tells investors in a research note. TD SYNNEX’s AI infrastructure business “Hyve” should also grow to several billion dollars of revenue, with operating margins above corporate average, the firm added.