TD Synnex price target raised to $135 from $118 at RBC Capital

RBC Capital raised the firm’s price target on TD Synnex to $135 from $118 and keeps a Sector Perform rating on the shares. The firm believes that the stabilization in the PC markets, easier comps, Hyve ramp-up, and demand driven by AI-enabled workloads and applications should accelerate billing growth to mid-to-high single digits in the second half of 2024, the analyst tells investors in a research note. TD Synnex’s mix shift may weigh on margins, though this is partially offset by continued expansion in strategic technology areas and potential for cost takeout initiatives, RBC added.