SCSCScanSource, Inc.

$60.90+39% 1Y

$60.90

$34.2752 weeks$62.22

Is the business good?

Good

A genuinely good business: 7 of 9 health tests passed and earnings fully cash-backed (1.6×).

2 good, 2 neutral

Fundamental health (F-score)7 / 9SEC EDGAR · Jun 30, 2026

High fundamental quality. Nine pass/fail tests of year-over-year health from the filings.

Profits arrive as cash1.64×derived · Jun 30, 2026

Operating profit is fully backed by cash.

Margin direction, 3 years−0.5 pts

Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.

Where ROE comes from4% ROA

A balanced mix of margins, efficiency, and leverage. ROE 8% = margin × turnover × leverage.

Unless marked, from derived.

Against the whole market›

Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.

FCF conversionbetter than 72% of the market

Leverage (Debt/EBITDA)better than 83% of the market

Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.

ScanSource, Inc. earns 8.4% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.

8.4%

Return on invested capital · cost of capital 9.0% · 0.57 points below what the capital costs: growth destroys value

Operating margin: 3.1%
Operating margin · Electronics & Computer Distribution median 3.4% · 12 months to Q4 2026
Cash conversion: 1.64×
Cash conversion · 1.74× a year ago · operating cash flow covers the operating profit after tax
Gross margin: 14%
Gross margin

Details›

Gross margin12 months to Q4 2026: 14%
Operating margin12 months to Q4 2026: 3.1%
Net margin12 months to Q4 2026: 2.4%
Free cash flow margin: 3.5%
Revenue, trailing twelve months: $3.23B
Free cash flow, trailing twelve months: $114M
Net income, trailing twelve months: $79M
Return on invested capitaloperating profit after tax ÷ debt + equity − cash: 8.4%

Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.

Ranks #3 of 7 by RyuScore