StockStory favors Astec (ASTE), flags Arrow (ARW) and Affirm (AFRM) despite profitability
StockStory said Astec Industries (NASDAQ:ASTE) offers the stronger mix of profitability and growth among three profitable companies reviewed, while expressing caution on Arrow Electronics (NYSE:ARW) and Affirm Holdings (NASDAQ:AFRM). Astec, a maker of roadbuilding and materials-processing equipment, reported a trailing 12-month GAAP operating margin of 5.7% and traded at $54.83, implying a 13.7 times forward price-to-earnings ratio. Arrow Electronics, which supplies electronic components and enterprise computing products, posted a 3.1% trailing 12-month GAAP operating margin and traded at $191.76, or 10.3 times forward earnings. Affirm, the installment-loan provider, had a 6.2% trailing 12-month GAAP operating margin and traded at $64.23, or 18.3 times forward earnings.