New York, February 2 (FinanceEnquiry.com) - Analyst Dylan Cathers of S&P Capital IQ reiterates his BUY rating on the shares of Arrow Electronics (NYSE: ARW), while reducing his estimates for the company. The 12-month target price is set to $47.

In a research note published yesterday, the analyst mentions that Arrow Electronics has reported its operating Q4 EPS results substantially ahead of the estimates. Arrow Electronics' revenues may decline 0.5 percent in 2012, reflecting tough comparisons and weakness in select geographic markets, the analyst says.

The analyst expects larger Global Components segment to underperform due to weak economic environment. In addition, visibility will remain poor, although the company stated book-to-bill ratios are nearing parity. Though, the operating margins will be flat this year, the 2012 EPS estimate has been reduced from $5.10 to $4.99, according to S&P Capital IQ.