SCSC Relative Valuation
SCSC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, SCSC is overvalued; if below, it's undervalued.
Historical Valuation
Scansource Inc (SCSC) is now in the Fair zone, suggesting that its current forward PE ratio of 9.12 is considered Fairly compared with the five-year average of 10.04. The fair price of Scansource Inc (SCSC) is between 38.02 to 53.33 according to relative valuation methord.
Relative Value
Fair Zone
38.02-53.33
Current Price:40.44
Fair
9.12
PE
1Y
3Y
5Y
5.77
EV/EBITDA
Scansource Inc. (SCSC) has a current EV/EBITDA of 5.77. The 5-year average EV/EBITDA is 6.70. The thresholds are as follows: Strongly Undervalued below 4.99, Undervalued between 4.99 and 5.84, Fairly Valued between 7.56 and 5.84, Overvalued between 7.56 and 8.41, and Strongly Overvalued above 8.41. The current Forward EV/EBITDA of 5.77 falls within the Undervalued range.
7.02
EV/EBIT
Scansource Inc. (SCSC) has a current EV/EBIT of 7.02. The 5-year average EV/EBIT is 8.10. The thresholds are as follows: Strongly Undervalued below 5.90, Undervalued between 5.90 and 7.00, Fairly Valued between 9.20 and 7.00, Overvalued between 9.20 and 10.30, and Strongly Overvalued above 10.30. The current Forward EV/EBIT of 7.02 falls within the Historic Trend Line -Fairly Valued range.
0.27
PS
Scansource Inc. (SCSC) has a current PS of 0.27. The 5-year average PS is 0.26. The thresholds are as follows: Strongly Undervalued below 0.16, Undervalued between 0.16 and 0.21, Fairly Valued between 0.31 and 0.21, Overvalued between 0.31 and 0.36, and Strongly Overvalued above 0.36. The current Forward PS of 0.27 falls within the Historic Trend Line -Fairly Valued range.
9.03
P/OCF
Scansource Inc. (SCSC) has a current P/OCF of 9.03. The 5-year average P/OCF is 8.46. The thresholds are as follows: Strongly Undervalued below -6.26, Undervalued between -6.26 and 1.10, Fairly Valued between 15.81 and 1.10, Overvalued between 15.81 and 23.17, and Strongly Overvalued above 23.17. The current Forward P/OCF of 9.03 falls within the Historic Trend Line -Fairly Valued range.
9.88
P/FCF
Scansource Inc. (SCSC) has a current P/FCF of 9.88. The 5-year average P/FCF is 9.89. The thresholds are as follows: Strongly Undervalued below -6.61, Undervalued between -6.61 and 1.64, Fairly Valued between 18.14 and 1.64, Overvalued between 18.14 and 26.39, and Strongly Overvalued above 26.39. The current Forward P/FCF of 9.88 falls within the Historic Trend Line -Fairly Valued range.
Scansource Inc (SCSC) has a current Price-to-Book (P/B) ratio of 0.94. Compared to its 3-year average P/B ratio of 1.03 , the current P/B ratio is approximately -8.18% higher. Relative to its 5-year average P/B ratio of 1.04, the current P/B ratio is about -9.43% higher. Scansource Inc (SCSC) has a Forward Free Cash Flow (FCF) yield of approximately 9.62%. Compared to its 3-year average FCF yield of 12.38%, the current FCF yield is approximately -22.32% lower. Relative to its 5-year average FCF yield of 8.53% , the current FCF yield is about 12.78% lower.
0.94
P/B
Median3y
1.03
Median5y
1.04
9.62
FCF Yield
Median3y
12.38
Median5y
8.53
Competitors Valuation Multiple
The average P/S ratio for SCSC's competitors is 1.01, providing a benchmark for relative valuation. Scansource Inc Corp (SCSC) exhibits a P/S ratio of 0.27, which is -73.39% above the industry average. Given its robust revenue growth of -4.63%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of SCSC decreased by 3.37% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 2.19 to 2.69.
The secondary factor is the Revenue Growth, contributed -4.63%to the performance.
Overall, the performance of SCSC in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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Frequently Asked Questions
Is Scansource Inc (SCSC) currently overvalued or undervalued?
Scansource Inc (SCSC) is now in the Fair zone, suggesting that its current forward PE ratio of 9.12 is considered Fairly compared with the five-year average of 10.04. The fair price of Scansource Inc (SCSC) is between 38.02 to 53.33 according to relative valuation methord.
What is Scansource Inc (SCSC) fair value?
SCSC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Scansource Inc (SCSC) is between 38.02 to 53.33 according to relative valuation methord.
How does SCSC's valuation metrics compare to the industry average?
The average P/S ratio for SCSC's competitors is 1.01, providing a benchmark for relative valuation. Scansource Inc Corp (SCSC) exhibits a P/S ratio of 0.27, which is -73.39% above the industry average. Given its robust revenue growth of -4.63%, this premium appears unsustainable.
What is the current P/B ratio for Scansource Inc (SCSC) as of Jan 09 2026?
As of Jan 09 2026, Scansource Inc (SCSC) has a P/B ratio of 0.94. This indicates that the market values SCSC at 0.94 times its book value.
What is the current FCF Yield for Scansource Inc (SCSC) as of Jan 09 2026?
As of Jan 09 2026, Scansource Inc (SCSC) has a FCF Yield of 9.62%. This means that for every dollar of Scansource Inc’s market capitalization, the company generates 9.62 cents in free cash flow.
What is the current Forward P/E ratio for Scansource Inc (SCSC) as of Jan 09 2026?
As of Jan 09 2026, Scansource Inc (SCSC) has a Forward P/E ratio of 9.12. This means the market is willing to pay $9.12 for every dollar of Scansource Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Scansource Inc (SCSC) as of Jan 09 2026?
As of Jan 09 2026, Scansource Inc (SCSC) has a Forward P/S ratio of 0.27. This means the market is valuing SCSC at $0.27 for every dollar of expected revenue over the next 12 months.