Arrow Electronics (ARW) Rose 22.72% in Q3

Harbor Funds, an investment management company, released its Q3 2025 investor letter for “Harbor Mid Cap Fund”. A copy of the letter can be downloaded here. The Harbor Mid Cap Fund primarily focuses on investing in equity securities, targeting common and preferred stocks of mid-sized U.S. companies. Global equities rebounded strongly in the third quarter, fueled by inflation easing, resilient economic data, and some of the most disruptive trade measures were eased or postponed. The fund returned 4.19% in the quarter, trailing the 8.53% return for the Midcap Index due to momentum trading. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its third-quarter 2025 investor letter, Harbor Mid Cap Fund highlighted stocks such as Arrow Electronics, Inc. (NYSE:ARW). Arrow Electronics, Inc. (NYSE:ARW) offers products, services, and solutions to industrial and commercial users of electronic components and enterprise computing solutions. The one-month return of Arrow Electronics, Inc. (NYSE:ARW) was 4.28%, and its shares lost 2.55% of their value over the last 52 weeks. On December 24, 2025, Arrow Electronics, Inc. (NYSE:ARW) stock closed at $112.52 per share, with a market capitalization of $5.796 billion.

Harbor Mid Cap Fund stated the following regarding Arrow Electronics, Inc. (NYSE:ARW) in its third quarter 2025 investor letter:

“Arrow Electronics, Inc. (NYSE:ARW) also contributed. Arrow is a global leader in electronic components and enterprise computing solutions, serving a wide range of industries, including automotive, aerospace, and technology. Shares advanced 22.72% during the quarter, following better-than-expected earnings and improved margin performance, led by proactive management initiatives, including an improvement in working capital use, generating strong operating cash and working to lower the company’s debt. For the period, the company reported revenue of $6.8 billion, modestly exceeding consensus estimates, while earnings per share surpassed expectations, driven by effective cost management and strength in its components segment. Management highlighted strategic efforts to streamline operations and optimize inventory, positioning the company to benefit as end markets recover. Arrow’s broad customer base and exposure to critical technology supply chains provided resilience in a volatile market. With its global scale, diverse product portfolio, and emphasis on operational efficiency, Arrow remains well-positioned to deliver long-term shareholder value.”

Arrow Electronics, Inc. (ARW): Among Overlooked Tech Stocks to Buy Now

Arrow Electronics, Inc. (NYSE:ARW) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 34 hedge fund portfolios held Arrow Electronics, Inc. (NYSE:ARW) at the end of the third quarter, the same as in the previous quarter. While we acknowledge the risk and potential of Arrow Electronics, Inc. (NYSE:ARW) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Arrow Electronics, Inc. (NYSE:ARW) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.