WEX (NYSE:WEX) Releases Quarterly Earnings Results, Beats Expectations By $0.21 EPS

WEX (NYSE:WEX) posted its earnings results on Wednesday. The business services provider reported $4.11 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.90 by $0.21, FiscalAI reports. The business had revenue of $672.90 million for the quarter, compared to analyst estimates of $660.89 million. WEX had a net margin of 10.81% and a return on equity of 45.10%.

WEX Price Performance

WEX traded up $4.62 during trading on Wednesday, hitting $148.90. The company’s stock had a trading volume of 1,429,223 shares, compared to its average volume of 412,914. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 3.33. The stock has a market capitalization of $5.11 billion, a price-to-earnings ratio of 19.36, a price-to-earnings-growth ratio of 1.14 and a beta of 0.98. The firm’s 50 day moving average price is $153.46 and its two-hundred day moving average price is $158.30. WEX has a 12 month low of $110.45 and a 12 month high of $187.44.

Insider Activity

In other news, COO Robert Joseph Deshaies sold 1,506 shares of the company’s stock in a transaction that occurred on Wednesday, November 26th. The shares were sold at an average price of $149.62, for a total transaction of $225,327.72. Following the transaction, the chief operating officer directly owned 15,699 shares in the company, valued at approximately $2,348,884.38. This represents a 8.75% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Jennifer Kimball sold 494 shares of the firm’s stock in a transaction that occurred on Thursday, December 18th. The shares were sold at an average price of $151.40, for a total transaction of $74,791.60. Following the completion of the sale, the chief accounting officer directly owned 3,671 shares of the company’s stock, valued at approximately $555,789.40. This represents a 11.86% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.40% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On WEX

A number of institutional investors and hedge funds have recently made changes to their positions in WEX. Goldman Sachs Group Inc. lifted its holdings in shares of WEX by 158.3% during the 1st quarter. Goldman Sachs Group Inc. now owns 350,892 shares of the business services provider’s stock valued at $55,097,000 after purchasing an additional 215,036 shares in the last quarter. Empowered Funds LLC acquired a new position in WEX in the 1st quarter worth $394,000. American Century Companies Inc. lifted its holdings in shares of WEX by 1.9% in the second quarter. American Century Companies Inc. now owns 3,205 shares of the business services provider’s stock valued at $471,000 after purchasing an additional 60 shares in the last quarter. EverSource Wealth Advisors LLC raised its position in WEX by 4,837.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 395 shares of the business services provider’s stock valued at $58,000 after buying an additional 387 shares during the last quarter. Finally, Gamco Investors INC. ET AL bought a new position in shares of WEX during the 2nd quarter worth approximately $271,000. Institutional investors own 97.47% of the company’s stock.

Analysts Set New Price Targets

Several brokerages recently weighed in on WEX. JPMorgan Chase & Co. decreased their target price on WEX from $195.00 to $175.00 and set a “neutral” rating for the company in a research note on Friday, October 31st. Cantor Fitzgerald upgraded shares of WEX to a “hold” rating in a research report on Tuesday, January 27th. Morgan Stanley started coverage on shares of WEX in a research note on Monday. They set an “equal weight” rating and a $144.00 price target for the company. Weiss Ratings reiterated a “hold (c)” rating on shares of WEX in a research note on Wednesday, January 21st. Finally, UBS Group decreased their price target on WEX from $185.00 to $172.00 and set a “neutral” rating on the stock in a research note on Friday, October 31st. Four analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the stock. According to data from MarketBeat, WEX has an average rating of “Hold” and an average price target of $168.08.

About WEX

WEX Inc is a global financial technology company specializing in business payment solutions for fleet, travel, and corporate payments. The company delivers software-driven platforms and card-based services that help businesses automate payment processes, manage expenses and improve operational efficiency across a range of industries, including transportation, healthcare and government.

Founded in 1983 as Wright Express in Portland, Maine, the company began by offering fuel card services to trucking fleets.