ARROW ELECTRONICS, INC. vs W.W. Grainger, Inc., two Distribution stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where ARW and GWW diverge most: on implied growth (priced in), ARW reads -1.9% and GWW reads +15.5%; on p/s, ARW reads 0.33 and GWW reads 3.23. The rest of the comparable metrics sit closer together. On valuation, today's ARW price has a different growth bar priced in than GWW (-1.9% implied for ARW vs +15.5% for GWW); the higher figure is the steeper assumption to clear, not a better or worse stock. What ARW's price implies is a bet that sits within the historical range (whole-company basis). What GWW's price implies is a bet that sits within the historical range (whole-company basis). The bull and bear cases for each are in their full reports below.
| Metric | ARW | GWW |
|---|---|---|
| Price | $227.87 | $1289.88 |
| Market cap | $11.8B | $60.9B |
| Sector | Distribution | Distribution |
| Stage | Growth | Mature |
| Implied growth (priced in) | -1.9% | +15.5% |
| P/E | 14.6 | 32.9 |
| P/B | 1.67 | 13.49 |
| P/S | 0.33 | 3.23 |
| EV/EBITDA | 10.2 | 20.4 |
| Revenue growth | +26.0% | +7.8% |
| Gross margin | 11.3% | 39.5% |
| Operating margin | 3.8% | 16.1% |
| Net margin | 2.3% | 9.9% |
| Return on equity | 11.5% | 41.4% |
| Return on assets | 2.1% | 19.4% |
| Return on invested capital | 10.1% | 29.8% |
| FCF yield | 7.0% | 2.5% |
| Dividend yield | — | 0.7% |
| Debt / equity | 0.31 | 0.53 |
| Current ratio | 1.22 | 2.81 |
| Altman Z (solvency) | 7.42 | 10.00 |
| Piotroski F (quality) | 6 / 9 | 6 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.