Recent News
April 6, 2026 — WEX filed definitive proxy materials and mailed a letter to shareholders ahead of its May 5, 2026 annual meeting. March 3, 2026 — Chief Executive Officer Melissa Smith presented at the Raymond James Institutional Investors Conference. January 27, 2026 — WEX announced a strategic partnership to integrate its virtual card technology into a global payments processor’s merchant network. Proxy filings during the period note board retirements and shareholder nominations tied to governance discussions.
Technical Analysis
ADX at 12.66 indicates no established trend; range dynamics likely govern price action over the near term rather than a directional breakout. This low trend strength moderates conviction on momentum-based breakouts despite other signals.
DI+ at 14.94 and DI- at 19.07 both show declines. The falling DI+ reads as bearish, while the falling DI- reads as bullish; the simultaneous decline in both directional indicators reinforces a neutral, range-prone outlook rather than a clear directional edge.
MACD registers at 0.24 with an increasing MACD_trend and a MACD signal of -0.39; the MACD currently sits above its signal line, which signals bullish momentum and increases the probability that short-term gains can persist absent a trend-strength pickup.
MRO stands at 15.62 with a dip & reversal pattern; a positive MRO implies price sits above the model target and carries corrective potential even as the recent dip-and-reverse pattern indicates renewed upward pressure.
RSI at 51.07 and rising points to mild bullish momentum without overbought extremes; RSI behavior supports controlled upside rather than a rapid extension.
Price closed at $159.29, above the 12-day EMA ($156.40), 20-day average ($154.91) and 200-day average ($157.26); short-term averages trending up indicate near-term support around the mid-$150s. Price sits modestly above the 1x Bollinger upper band ($158.83), suggesting a stretched short-term position that could consolidate.
Volume at 327,659 trails the 10-day average of 423,648 and the 50-day average of 502,026, implying recent moves lack strong participation and reducing the chance of a sustained breakout until volume confirms direction.
Volatility and beta readings diverge: 42-day beta at 0.19 signals muted recent sensitivity to market moves, while 52-week beta at 1.40 reflects higher historical leverage to market swings; expect lower short-term volatility unless catalysts arrive.
Fundamental Analysis
Reported results cover the period ending December 31, 2025, with the company’s report issued February 4, 2026. EPS came in at $4.11 versus an estimate of $3.93, an EPS surprise of $0.18 or +4.58%, providing an earnings upside that supports the valuation framework.
Total revenue for the reported period: $672.8M. Year-over-year revenue declined 37.31%; quarter-over-quarter revenue growth shows a pronounced drop as well. Net income of $84.3M and EBIT of $168.8M produce an EBIT margin of 25.09%, which sits above the industry peer mean of 23.61% but below the industry peer median of 28.13%; quarter-over-quarter EBIT margin contracted about 3.70% while year-over-year EBIT margin improved ~15.72%.
Operating margin at 24.72% aligns closely with EBIT margin and improved 14.01% year-over-year but fell 6.77% QoQ, reflecting near-term operating pressure in the latest quarter despite stronger annual comparatives.
Cash generation remains a constructive element: operating cash flow reached $294.7M and free cash flow totaled $197.7M, yielding a free cash flow yield of 3.75%. Free cash flow declined materially year-over-year and QoQ, with free cash growth reporting a significant contraction, which tempers liquidity optimism despite positive absolute cash flow.
Balance-sheet and leverage metrics show elevated leverage versus peers. Debt-to-equity stands at 393.54%, materially above the industry peer mean of 61.17% and above the industry peer high of 166.52%. Debt-to-EBITDA registers at 19.38x. Cash and short-term investments total $5.24B while net debt reads $3.95B; the capital structure demonstrates sizeable financial obligations alongside substantial liquid assets.
Return measures skew low: return on equity at 6.83% and return on assets at 0.59%, with ROE rising year-over-year but QoQ contraction present. Asset turnover remains low at 4.67% and sits below the industry peer mean of 10.79%.
Valuation multiples: trailing P/E near 37.48x, forward P/E about 31.10x, price-to-book roughly 4.28x and price-to-sales about 7.85x. WMDST values the stock as under-valued given the combination of earnings beat, positive cash flow, and the present multiples relative to modeled intrinsic assumptions.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-04 |
| NEXT REPORT DATE: | 2026-05-06 |
| CASH FLOW | Begin Period Cash Flow | $ 1.5 B |
| Operating Cash Flow | $ 294.7 M | |
| Capital Expenditures | $ -97.00 M | |
| Change In Working Capital | $ 65.8 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 196.9 M | |
| End Period Cash Flow | $ 1.7 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 672.8 M | |
| Forward Revenue | $ 334.4 M | |
| COSTS | ||
| Cost Of Revenue | $ 283.6 M | |
| Depreciation | $ 81.9 M | |
| Depreciation and Amortization | $ 81.9 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 506.5 M | |
| PROFITABILITY | ||
| Gross Profit | $ 389.2 M | |
| EBITDA | $ 250.7 M | |
| EBIT | $ 168.8 M | |
| Operating Income | $ 166.3 M | |
| Interest Income | — | |
| Interest Expense | $ 58.8 M | |
| Net Interest Income | $ -58.80 M | |
| Income Before Tax | $ 110.0 M | |
| Tax Provision | $ 25.8 M | |
| Tax Rate | 23.454 % | |
| Net Income | $ 84.3 M | |
| Net Income From Continuing Operations | $ 84.3 M | |
| EARNINGS | ||
| EPS Estimate | $ 3.93 | |
| EPS Actual | $ 4.11 | |
| EPS Difference | $ 0.18 | |
| EPS Surprise | 4.58 % | |
| Forward EPS | $ 4.89 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 14.4 B | |
| Intangible Assets | $ 4.1 B | |
| Net Tangible Assets | $ -2.87 B | |
| Total Current Assets | $ 9.7 B | |
| Cash and Short-Term Investments | $ 5.2 B | |
| Cash | $ 905.8 M | |
| Net Receivables | $ 3.4 B | |
| Inventory | — | |
| Long-Term Investments | $ 218.2 M | |
| LIABILITIES | ||
| Accounts Payable | $ 925.3 M | |
| Short-Term Debt | $ 1.3 B | |
| Total Current Liabilities | $ 9.3 B | |
| Net Debt | $ 4.0 B | |
| Total Debt | $ 4.9 B | |
| Total Liabilities | $ 13.2 B | |
| EQUITY | ||
| Total Equity | $ 1.2 B | |
| Retained Earnings | $ 2.4 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 36.03 | |
| Shares Outstanding | 34.289 M | |
| Revenue Per-Share | $ 19.64 | |
| VALUATION | Market Capitalization | $ 5.3 B |
| Enterprise Value | $ 4.9 B | |
| Enterprise Multiple | 19.538 | |
| Enterprise Multiple QoQ | -7.199 % | |
| Enterprise Multiple YoY | 6.588 % | |
| Enterprise Multiple IPRWA | high: 90.617 median: 90.617 mean: 83.27 WEX: 19.538 low: -3.16 |
|
| EV/R | 7.28 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 11.664 | |
| Asset To Liability | 1.094 | |
| Debt To Capital | 0.797 | |
| Debt To Assets | 0.337 | |
| Debt To Assets QoQ | -3.107 % | |
| Debt To Assets YoY | 247.574 % | |
| Debt To Assets IPRWA | high: 0.433 WEX: 0.337 median: 0.219 mean: 0.212 low: 0.003 |
|
| Debt To Equity | 3.935 | |
| Debt To Equity QoQ | -12.424 % | |
| Debt To Equity YoY | 353.105 % | |
| Debt To Equity IPRWA | WEX: 3.935 high: 1.665 mean: 0.612 median: 0.554 low: 0.005 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 4.276 | |
| Price To Book QoQ | -12.612 % | |
| Price To Book YoY | -10.294 % | |
| Price To Book IPRWA | high: 18.834 median: 17.052 mean: 15.718 WEX: 4.276 low: -4.686 |
|
| Price To Earnings (P/E) | 37.482 | |
| Price To Earnings QoQ | 7.725 % | |
| Price To Earnings YoY | -26.46 % | |
| Price To Earnings IPRWA | high: 199.486 median: 106.804 mean: 101.899 WEX: 37.482 low: -1.995 |
|
| PE/G Ratio | -3.584 | |
| Price To Sales (P/S) | 7.846 | |
| Price To Sales QoQ | -0.831 % | |
| Price To Sales YoY | -29.63 % | |
| Price To Sales IPRWA | high: 19.807 median: 19.807 mean: 16.03 WEX: 7.846 low: 1.046 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 31.098 | |
| Forward PE/G | -2.974 | |
| Forward P/S | 15.893 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 2.315 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.047 | |
| Asset Turnover Ratio QoQ | -1.809 % | |
| Asset Turnover Ratio YoY | 0.021 % | |
| Asset Turnover Ratio IPRWA | high: 0.229 median: 0.111 mean: 0.108 WEX: 0.047 low: 0.026 |
|
| Receivables Turnover | 0.187 | |
| Receivables Turnover Ratio QoQ | 4.885 % | |
| Receivables Turnover Ratio YoY | -0.186 % | |
| Receivables Turnover Ratio IPRWA | high: 17.681 median: 3.43 mean: 3.065 low: 0.374 WEX: 0.187 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 486.814 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 47.08 median: 44.147 mean: 39.576 WEX: 0 low: -20.402 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.578 | |
| CapEx To Revenue | -0.144 | |
| CapEx To Depreciation | -1.184 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 4.8 B | |
| Net Invested Capital | $ 6.1 B | |
| Invested Capital | $ 6.1 B | |
| Net Tangible Assets | $ -2.87 B | |
| Net Working Capital | $ 426.4 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.564 | |
| Current Ratio | 1.046 | |
| Current Ratio QoQ | -0.383 % | |
| Current Ratio YoY | 2.28 % | |
| Current Ratio IPRWA | high: 2.186 median: 1.111 mean: 1.092 WEX: 1.046 low: 0.589 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 19.379 | |
| Cost Of Debt | 0.84 % | |
| Interest Coverage Ratio | 2.871 | |
| Interest Coverage Ratio QoQ | 1.639 % | |
| Interest Coverage Ratio YoY | 19.407 % | |
| Interest Coverage Ratio IPRWA | high: 35.67 median: 35.67 mean: 29.768 WEX: 2.871 low: -1.697 |
|
| Operating Cash Flow Ratio | 0.009 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 396.819 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -0.234 % | |
| Revenue Growth | -2.732 % | |
| Revenue Growth QoQ | -156.133 % | |
| Revenue Growth YoY | -37.311 % | |
| Revenue Growth IPRWA | high: 19.613 % mean: 2.11 % median: 1.651 % WEX: -2.732 % low: -4.062 % |
|
| Earnings Growth | -10.458 % | |
| Earnings Growth QoQ | -164.544 % | |
| Earnings Growth YoY | -41.676 % | |
| Earnings Growth IPRWA | high: 50.0 % median: 6.376 % mean: 6.129 % WEX: -10.458 % low: -81.818 % |
|
| MARGINS | ||
| Gross Margin | 57.848 % | |
| Gross Margin QoQ | -4.136 % | |
| Gross Margin YoY | -2.848 % | |
| Gross Margin IPRWA | high: 81.681 % median: 81.681 % mean: 73.27 % WEX: 57.848 % low: 1.105 % |
|
| EBIT Margin | 25.089 % | |
| EBIT Margin QoQ | -3.696 % | |
| EBIT Margin YoY | 15.719 % | |
| EBIT Margin IPRWA | high: 28.125 % median: 28.125 % WEX: 25.089 % mean: 23.611 % low: 4.12 % |
|
| Return On Sales (ROS) | 24.718 % | |
| Return On Sales QoQ | -6.774 % | |
| Return On Sales YoY | 14.008 % | |
| Return On Sales IPRWA | high: 26.151 % median: 26.151 % WEX: 24.718 % mean: 20.828 % low: -30.32 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 197.7 M | |
| Free Cash Flow Yield | 3.745 % | |
| Free Cash Flow Yield QoQ | -40.003 % | |
| Free Cash Flow Yield YoY | -55.686 % | |
| Free Cash Flow Yield IPRWA | high: 6.561 % WEX: 3.745 % mean: 1.084 % median: 0.982 % low: -3.602 % |
|
| Free Cash Growth | -42.125 % | |
| Free Cash Growth QoQ | -186.816 % | |
| Free Cash Growth YoY | -97.885 % | |
| Free Cash Growth IPRWA | high: 97.687 % mean: 19.539 % median: 9.455 % WEX: -42.125 % low: -77.383 % |
|
| Free Cash To Net Income | 2.345 | |
| Cash Flow Margin | 12.574 % | |
| Cash Flow To Earnings | 1.004 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 0.585 % | |
| Return On Assets QoQ | 5.978 % | |
| Return On Assets YoY | 25.0 % | |
| Return On Assets IPRWA | high: 5.959 % median: 5.959 % mean: 4.985 % WEX: 0.585 % low: 0.078 % |
|
| Return On Capital Employed (ROCE) | 3.301 % | |
| Return On Equity (ROE) | 0.068 | |
| Return On Equity QoQ | -4.889 % | |
| Return On Equity YoY | 59.11 % | |
| Return On Equity IPRWA | high: 0.173 median: 0.153 mean: 0.145 WEX: 0.068 low: -0.089 |
|
| DuPont ROE | 7.166 % | |
| Return On Invested Capital (ROIC) | 2.121 % | |
| Return On Invested Capital QoQ | 4.948 % | |
| Return On Invested Capital YoY | -159.378 % | |
| Return On Invested Capital IPRWA | high: 24.817 % median: 10.135 % mean: 9.579 % WEX: 2.121 % low: 0.367 % |
|