Citi Revises Down Revenue Assumptions On Synnex

According to Citi, Synnex SNX reported solid 2FQ results with in-line revs and a modest beat on earnings due to better distribution margins. Citi said that it is modestly revising down our revenue assumptions for FY11-13 by 2-3% primarily due to concerns over Japan. “However, our FY12-13 earnings estimates actually go up by 1-2% due to the lower tax guidance of 34-35% (vs previous 36%) and a lower diluted share count after reflecting the new share repo program into our model.” Synnex closed yesterday at $31.46.