Climb Global Solutions (CLMB) and The Competition Critical Analysis

Climb Global Solutions (NASDAQ:CLMB) is one of 376 publicly-traded companies in the “Electronic Equipment, Instruments & Components” industry, but how does it compare to its peers? We will compare Climb Global Solutions to related companies based on the strength of its risk, profitability, earnings, analyst recommendations, institutional ownership, dividends and valuation.

Risk & Volatility

Climb Global Solutions has a beta of 1.09, suggesting that its stock price is 9% more volatile than the S&P 500. Comparatively, Climb Global Solutions’ peers have a beta of -0.32, suggesting that their average stock price is 132% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Climb Global Solutions and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Climb Global Solutions	0	1	2	2	3.20
Climb Global Solutions Competitors	2048	7630	10467	668	2.47

Climb Global Solutions presently has a consensus price target of $31.00, indicating a potential downside of 28.71%. As a group, “Electronic Equipment, Instruments & Components” companies have a potential upside of 32.74%. Given Climb Global Solutions’ peers higher possible upside, analysts clearly believe Climb Global Solutions has less favorable growth aspects than its peers.

Dividends

Climb Global Solutions pays an annual dividend of $0.12 per share and has a dividend yield of 0.3%. Climb Global Solutions pays out 9.3% of its earnings in the form of a dividend. As a group, “Electronic Equipment, Instruments & Components” companies pay a dividend yield of 1.9% and pay out 69.4% of their earnings in the form of a dividend.

Profitability

This table compares Climb Global Solutions and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Climb Global Solutions	3.08%	19.56%	5.09%
Climb Global Solutions Competitors	-139.91%	-19.77%	-5.96%

Institutional & Insider Ownership

49.7% of Climb Global Solutions shares are owned by institutional investors. Comparatively, 43.5% of shares of all “Electronic Equipment, Instruments & Components” companies are owned by institutional investors. 3.8% of Climb Global Solutions shares are owned by company insiders. Comparatively, 16.4% of shares of all “Electronic Equipment, Instruments & Components” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Climb Global Solutions and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Climb Global Solutions	$770.74 million	$21.33 million	33.71
Climb Global Solutions Competitors	$116.08 billion	$174.60 million	6.57

Climb Global Solutions’ peers have higher revenue and earnings than Climb Global Solutions. Climb Global Solutions is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Summary

Climb Global Solutions beats its peers on 9 of the 15 factors compared.

About Climb Global Solutions

Climb Global Solutions, Inc. is a technology distributor that connects software and hardware vendors with resellers and other channel partners. Through its distribution and services businesses, the company supports the sale and implementation of technology products for organizations and their customers. Its offerings span areas including cloud computing, cybersecurity, data management, networking and IT infrastructure. Climb also provides services such as technical support, training and marketing assistance to help channel partners bring technology solutions to market.