(SCSC) ScanSource - Ratings and Ratios

ScanSource, Inc. (NASDAQ: SCSC) is a leading distributor of technology products and solutions, operating primarily in the United States, Canada, and Brazil. The company is divided into two core business segments: Specialty Technology Solutions and Modern Communications & Cloud. The Specialty Technology Solutions segment focuses on enterprise mobile computing, data capture, barcode printing, point of sale (POS), payments, networking, electronic physical security, cybersecurity, and other related technologies. This segment provides data capture and POS solutions to automate business processes, such as retail sales, inventory control, and healthcare applications. It also offers electronic physical security products, including access control and video surveillance systems, as well as networking infrastructure products and SaaS solutions.

The Modern Communications & Cloud segment delivers solutions for voice, video conferencing, wireless, data networking, cybersecurity, cable, unified communications, cloud services, and IP networks. This segment caters to various industries, including education, healthcare, and government. ScanSource serves a diverse range of industries, such as manufacturing, retail, hospitality, transportation, and education. Founded in 1992 and headquartered in Greenville, South Carolina, the company has established itself as a key player in technology distribution.

From a technical standpoint, SCSC has shown a recent price rebound, with the SMA 20 crossing above the SMA 50, signaling potential short-term recovery. However, the SMA 200 remains below current levels, indicating longer-term bearish momentum. The ATR of 1.35 suggests moderate volatility. On the fundamental side, the companys P/E ratio of 13.57, combined with a forward P/E of 8.41, indicates undervaluation relative to future earnings expectations. The P/S ratio of 0.26 highlights a low valuation relative to revenue, while the P/B ratio of 0.86 suggests the stock is trading near book value. With a market cap of $809.02M and an RoE of 6.82, SCSC appears positioned for stability in the technology distribution sector.