Stock to Sell #6 – Tech Data Corp. (TECD)
Tech Data Corp. (NASDAQ:TECD) is one of the world’s largest distributors of microcomputer hardware and software products to retailers. The company’s exit from Brazil and Columbia, a general global softness in demand, and overdependence on southern Europe, all put pressure on revenues and earnings.
Technically, the stock broke down from a support line at $46 in late September. This confirms a bear market is still in place with a downside target in the mid-$30s. MACD is oversold, and so there may be a bounce shortly but traders and current shareholders should sell into strength.