On September 24, Synnex fell 6.11% in pre-market trading, trading at approximately $270.0/share, with turnover of $9.85 million. The decline came despite the company releasing fiscal Q3 results that significantly exceeded Wall Street expectations.
Synnex reported Q3 adjusted EPS of $5.68, up 58.7% year-over-year and well above the consensus estimate of $4.70. Revenue reached $21.56 billion, a 37.8% year-over-year increase that handily topped the $18.91 billion estimate. For fiscal Q4, the company guided for non-GAAP EPS of $5.65 to $6.15 and revenue of $21.8 billion to $22.6 billion, both significantly above analyst expectations of $4.87 and $19.44 billion, respectively.
Despite the strong beat-and-raise quarter, the stock faced selling pressure as the prior trading session had already seen a 5.45% rally driven by multiple institutions raising earnings estimates ahead of the report. The pullback reflects a classic pattern where strong results were already priced in, with investors locking in gains after a rapid run-up. Morgan Stanley and RBC Capital Markets had both previously highlighted Synnex as an underappreciated AI infrastructure play, citing accelerating growth at its Hyve hyperscale-infrastructure unit and expanding margins.
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