PC CONNECTION INC (CNXN) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does PC CONNECTION INC Do?
PC Connection, Inc., together with its subsidiaries, provides various information technology (IT) solutions. The company operates through three segments: Business Solutions, Enterprise Solutions, and Public Sector Solutions. It offers IT products, including computer systems, data center solutions, software and peripheral equipment, networking communications, and other products and accessories, as well as provides services related to design, configuration, and implementation of IT solutions. The company markets its products and services through its websites comprising connection.com, connection.com/enterprise, connection.com/publicsector, and macconnection.com. It serves small to medium-sized businesses (SMBs) that include small office/home office customers; government and educational institutions; and medium-to-large corporate accounts through outbound telemarketing and field sales, and marketing programs targeted to specific customer populations, as well as through digital, web, and print media advertising. The company was founded in 1982 and is headquartered in Merrimack, New Hampshire. PC CONNECTION INC (CNXN) is classified as a small-cap stock in the Consumer Discretionary sector, specifically within the Retail industry. The company is led by CEO Timothy J. McGrath and employs approximately 2,680 people, headquartered in MERRIMACK, New Hampshire. With a market capitalization of $1.4B, CNXN is one of the notable companies in the Consumer Discretionary sector.
PC CONNECTION INC (CNXN) Stock Rating — Hold (April 2026)
As of April 2026, PC CONNECTION INC receives a Hold rating with a composite score of 48.1/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.CNXN ranks #1,269 out of 4,446 stocks in our coverage universe. Within the Consumer Discretionary sector, PC CONNECTION INC ranks #102 of 445 stocks, placing it in the top quartile of its Consumer Discretionary peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
CNXN Stock Price and 52-Week Range
PC CONNECTION INC (CNXN) currently trades at $59.60. The 52-week high for CNXN is $71.17, which means the stock is currently trading -16.3% from its annual peak. The 52-week low is $54.97, putting the stock 8.4% above its annual trough. Recent trading volume was 0 shares, suggesting relatively thin trading activity.
Is CNXN Overvalued or Undervalued? — Valuation Analysis
PC CONNECTION INC (CNXN) carries a value factor score of 57/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 16.79x, compared to the Consumer Discretionary sector average of 25.10x — a discount of 33%. The price-to-book ratio stands at 1.68x, versus the sector average of 1.94x. The price-to-sales ratio is 0.52x, compared to 0.29x for the average Consumer Discretionary stock. On an enterprise value basis, CNXN trades at 11.23x EV/EBITDA, versus 4.83x for the sector.
Overall, CNXN's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.
PC CONNECTION INC Profitability — ROE, Margins, and Quality Score
PC CONNECTION INC (CNXN) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 10.0%, compared to the Consumer Discretionary sector average of 5.9%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at 6.9% versus the sector average of 2.5%.
On a margin basis, PC CONNECTION INC reports gross margins of 18.6%, compared to 36.9% for the sector. The operating margin is 3.6% (sector: 3.8%). Net profit margin stands at 3.1%, versus 2.1% for the average Consumer Discretionary stock. Revenue growth is running at -3.7% on a trailing basis, compared to 3.3% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
CNXN Debt, Balance Sheet, and Financial Health
PC CONNECTION INC has a debt-to-equity ratio of 0.0%, compared to the Consumer Discretionary sector average of 91.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. Total debt on the balance sheet is $0. Cash and equivalents stand at $188M.
CNXN has a beta of 0.63, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for PC CONNECTION INC is 84/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.
PC CONNECTION INC Revenue and Earnings History — Quarterly Trend
In TTM 2026, PC CONNECTION INC reported revenue of $2.89B and earnings per share (EPS) of $0.98. Net income for the quarter was $90M. Gross margin was 18.6%. Operating income came in at $106M.
In Q3 2025, PC CONNECTION INC reported revenue of $709M and earnings per share (EPS) of $0.98. Net income for the quarter was $25M. Gross margin was 19.6%. Revenue grew -2.2% year-over-year compared to Q3 2024. Operating income came in at $30M.
In Q2 2025, PC CONNECTION INC reported revenue of $760M and earnings per share (EPS) of $0.98. Net income for the quarter was $25M. Gross margin was 18.1%. Revenue grew 3.2% year-over-year compared to Q2 2024. Operating income came in at $31M.
In Q1 2025, PC CONNECTION INC reported revenue of $701M and earnings per share (EPS) of $0.52. Net income for the quarter was $13M. Gross margin was 18.2%. Revenue grew 10.9% year-over-year compared to Q1 2024. Operating income came in at $15M.
Over the past 8 quarters, PC CONNECTION INC has demonstrated a growth trajectory, with revenue expanding from $632M to $2.89B. Investors analyzing CNXN stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
CNXN Dividend Yield and Income Analysis
PC CONNECTION INC (CNXN) currently pays a dividend yield of 0.9%. At this yield, a $10,000 investment in CNXN stock would generate approximately $$89.00 in annual dividend income.
CNXN Momentum and Technical Analysis Profile
PC CONNECTION INC (CNXN) has a momentum factor score of 40/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 51/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 11/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
CNXN vs Competitors — Consumer Discretionary Sector Ranking and Peer Comparison
Within the Consumer Discretionary sector, PC CONNECTION INC (CNXN) ranks #102 out of 445 stocks based on the Blank Capital composite score. This places CNXN in the top quartile of all Consumer Discretionary stocks in our coverage universe. Key competitors and sector peers include CASEYS GENERAL STORES INC (CASY) with a score of 57.4/100, FIVE BELOW, INC (FIVE) with a score of 51.7/100, TARGET CORP (TGT) with a score of 52.0/100, CARRIAGE SERVICES INC (CSV) with a score of 53.0/100, and PERDOCEO EDUCATION Corp (PRDO) with a score of 51.0/100.
Comparing CNXN against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full CNXN vs S&P 500 (SPY) comparison to assess how PC CONNECTION INC stacks up against the broader market across all factor dimensions.
CNXN Next Earnings Date
No upcoming earnings date has been announced for PC CONNECTION INC (CNXN) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy CNXN? — Investment Thesis Summary
PC CONNECTION INC presents a balanced picture with arguments on both sides. Low volatility (stability score 84/100) reduces downside risk.
In summary, PC CONNECTION INC (CNXN) earns a Hold rating with a composite score of 48.1/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on CNXN stock.
Related Resources for CNXN Investors
Explore more research and tools: CNXN vs S&P 500 comparison, top Consumer Discretionary stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare CNXN head-to-head with peers: CNXN vs CASY, CNXN vs FIVE, CNXN vs TGT.