Ingram Micro stock rating reiterated at Outperform by RBC despite ransomware attack
Investing.com
Published Jul 10, 2025 11:30AM ET
Investing.com - RBC Capital has reiterated an Outperform rating on Ingram Micro (NYSE:INGM) with a price target of $25.00, despite acknowledging near-term challenges facing the company. Currently trading at $21.29, the $4.9 billion market cap company appears undervalued according to InvestingPro analysis.
The investment firm has raised its second-quarter 2025 estimates and now expects results to reach the upper end of the company's guidance range.
RBC Capital highlighted that near-term focus will center on the fallout from a ransomware attack affecting Ingram Micro's online ordering systems, along with the company's outlook for the second half of 2025.
As a result of these challenges, the firm has lowered its third-quarter 2025 estimates, though it remains optimistic that Ingram Micro can resolve the ransomware issue quickly.
The timing of the attack is particularly challenging as tariff-related headwinds may impact the company more heavily in the second half of 2025 compared to the first half, while product refresh cycles are expected to moderate.
In other recent news, Ingram Micro Holding Corporation reported its Q1 2025 earnings, revealing a robust revenue increase of 11% year-over-year, reaching $12.3 billion. However, the company's earnings per share (EPS) of $0.61 fell short of the analyst forecast of $0.70. This shortfall was noted despite the EPS being at the high end of the company's internal guidance. In addition, Ingram Micro is currently dealing with a ransomware attack that has disrupted its ability to process and ship orders, a situation that could potentially impact its quarterly financial performance if not resolved swiftly.
Morgan Stanley analysts recently downgraded Ingram Micro's stock from an Overweight rating to Equalweight, also lowering the price target from $23.00 to $22.00. They cited that while the company may benefit from long-term IT spending, its path to outperforming peers might take longer than expected. In terms of leadership changes, Ingram Micro announced the appointment of Matthew Sanderson as the new Executive Vice President and President of the EMEA region, effective June 1, 2025. Sanderson is expected to drive growth and innovation across the region, succeeding Mark Snider, who will retire at the end of the year. These developments underscore significant changes and challenges facing Ingram Micro in the current business environment.
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