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WESCO International

NYSE:WCC
Snowflake Description

Good value with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WCC
NYSE
$2B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

WESCO International, Inc. distributes electrical, industrial, and communications maintenance, repair and operating (MRO) and original equipment manufacturers products and construction materials in North America and internationally. The last earnings update was 13 days ago. More info.


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WCC Share Price and Events
7 Day Returns
-4.5%
NYSE:WCC
-5.2%
US Trade Distributors
-3.9%
US Market
1 Year Returns
-12.3%
NYSE:WCC
-8.8%
US Trade Distributors
1.4%
US Market
WCC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
WESCO International (WCC) -4.5% -7.3% -7% -12.3% -5.4% -39.2%
US Trade Distributors -5.2% -5.4% -3.3% -8.8% 30.2% 8.5%
US Market -3.9% -3.6% 1.8% 1.4% 35.8% 40.8%
1 Year Return vs Industry and Market
  • WCC underperformed the Trade Distributors industry which returned -8.8% over the past year.
  • WCC underperformed the Market in United States of America which returned 1.4% over the past year.
Price Volatility
WCC
Industry
5yr Volatility vs Market
Related Companies

Value

 Is WESCO International undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of WESCO International to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for WESCO International.

NYSE:WCC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 17 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:WCC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Trade Distributors Unlevered Beta Simply Wall St/ S&P Global 0.91
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.915 (1 + (1- 21%) (62.14%))
1.243
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.24
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.243 * 5.96%)
10.14%

Discounted Cash Flow Calculation for NYSE:WCC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for WESCO International is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:WCC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 10.14%)
2019 222.50 Analyst x5 202.01
2020 239.13 Analyst x7 197.12
2021 269.00 Analyst x3 201.33
2022 292.50 Analyst x2 198.76
2023 299.50 Analyst x2 184.78
2024 306.91 Est @ 2.48% 171.92
2025 314.75 Est @ 2.55% 160.07
2026 322.95 Est @ 2.61% 149.12
2027 331.48 Est @ 2.64% 138.97
2028 340.33 Est @ 2.67% 129.54
Present value of next 10 years cash flows $1,733.61
NYSE:WCC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $340.33 × (1 + 2.73%) ÷ (10.14% – 2.73%)
$4,717.44
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $4,717.44 ÷ (1 + 10.14%)10
$1,795.60
NYSE:WCC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $1,733.61 + $1,795.60
$3,529.21
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $3,529.21 / 44.86
$78.68
NYSE:WCC Discount to Share Price
Calculation Result
Value per share (USD) From above. $78.68
Current discount Discount to share price of $51.80
= -1 x ($51.80 - $78.68) / $78.68
34.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price WESCO International is available for.
Intrinsic value
34%
Share price is $51.8 vs Future cash flow value of $78.68
Current Discount Checks
For WESCO International to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • WESCO International's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • WESCO International's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for WESCO International's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are WESCO International's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:WCC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $4.87
NYSE:WCC Share Price ** NYSE (2019-05-15) in USD $51.8
United States of America Trade Distributors Industry PE Ratio Median Figure of 41 Publicly-Listed Trade Distributors Companies 15.52x
United States of America Market PE Ratio Median Figure of 3,087 Publicly-Listed Companies 17.79x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of WESCO International.

NYSE:WCC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:WCC Share Price ÷ EPS (both in USD)

= 51.8 ÷ 4.87

10.63x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • WESCO International is good value based on earnings compared to the US Trade Distributors industry average.
  • WESCO International is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does WESCO International's expected growth come at a high price?
Raw Data
NYSE:WCC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 10.63x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts
8.9%per year
United States of America Trade Distributors Industry PEG Ratio Median Figure of 33 Publicly-Listed Trade Distributors Companies 1.19x
United States of America Market PEG Ratio Median Figure of 2,113 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NYSE:WCC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 10.63x ÷ 8.9%

1.19x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • WESCO International is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on WESCO International's assets?
Raw Data
NYSE:WCC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $49.10
NYSE:WCC Share Price * NYSE (2019-05-15) in USD $51.8
United States of America Trade Distributors Industry PB Ratio Median Figure of 53 Publicly-Listed Trade Distributors Companies 1.67x
United States of America Market PB Ratio Median Figure of 5,195 Publicly-Listed Companies 1.83x
NYSE:WCC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:WCC Share Price ÷ Book Value per Share (both in USD)

= 51.8 ÷ 49.10

1.05x

* Primary Listing of WESCO International.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • WESCO International is good value based on assets compared to the US Trade Distributors industry average.
X
Value checks
We assess WESCO International's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Trade Distributors industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Trade Distributors industry average (and greater than 0)? (1 check)
  5. WESCO International has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is WESCO International expected to perform in the next 1 to 3 years based on estimates from 17 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is WESCO International expected to grow at an attractive rate?
  • WESCO International's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • WESCO International's earnings growth is positive but not above the United States of America market average.
  • WESCO International's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:WCC Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:WCC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 17 Analysts 8.9%
NYSE:WCC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 17 Analysts 3.5%
United States of America Trade Distributors Industry Earnings Growth Rate Market Cap Weighted Average 15.5%
United States of America Trade Distributors Industry Revenue Growth Rate Market Cap Weighted Average 5.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:WCC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:WCC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 9,751 330 347 2
2022-12-31 9,446 323 324 2
2021-12-31 9,003 298 283 4
2020-12-31 8,784 275 264 17
2019-12-31 8,487 262 244 17
NYSE:WCC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 8,144 273 225
2018-12-31 8,177 297 227
2018-09-30 8,162 242 192
2018-06-30 8,095 169 179
2018-03-31 7,900 154 170
2017-12-31 7,679 149 163
2017-09-30 7,476 164 188
2017-06-30 7,331 228 103
2017-03-31 7,333 269 103
2016-12-31 7,336 300 102
2016-09-30 7,404 324 103
2016-06-30 7,473 289 198

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • WESCO International's earnings are expected to grow by 8.9% yearly, however this is not considered high growth (20% yearly).
  • WESCO International's revenue is expected to grow by 3.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:WCC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below

All data from WESCO International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:WCC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 7.72 7.90 7.54 2.00
2022-12-31 7.17 7.30 7.04 2.00
2021-12-31 6.24 6.70 5.52 3.00
2020-12-31 5.96 6.30 5.40 13.00
2019-12-31 5.42 5.55 5.29 13.00
NYSE:WCC Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 4.87
2018-12-31 4.87
2018-09-30 4.08
2018-06-30 3.79
2018-03-31 3.59
2017-12-31 3.42
2017-09-30 3.90
2017-06-30 2.18
2017-03-31 2.26
2016-12-31 2.30
2016-09-30 2.42
2016-06-30 4.66

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • WESCO International is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess WESCO International's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
WESCO International has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has WESCO International performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare WESCO International's growth in the last year to its industry (Trade Distributors).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • WESCO International's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • WESCO International's 1-year earnings growth exceeds its 5-year average (32.4% vs -9.1%)
  • WESCO International's earnings growth has exceeded the US Trade Distributors industry average in the past year (32.4% vs -5.7%).
Earnings and Revenue History
WESCO International's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from WESCO International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:WCC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 8,143.95 225.29 1,155.90
2018-12-31 8,176.60 227.34 1,150.07
2018-09-30 8,161.80 191.75 1,152.36
2018-06-30 8,094.72 178.58 1,147.88
2018-03-31 7,900.35 170.15 1,122.22
2017-12-31 7,679.02 163.46 1,099.80
2017-09-30 7,475.64 188.26 1,064.21
2017-06-30 7,330.69 102.97 1,040.63
2017-03-31 7,332.65 103.26 1,047.92
2016-12-31 7,336.02 101.59 1,049.30
2016-09-30 7,404.30 102.66 1,056.33
2016-06-30 7,472.98 197.77 1,058.93
2016-03-31 7,478.12 199.71 1,059.65
2015-12-31 7,518.49 210.69 1,054.95
2015-09-30 7,652.43 236.66 1,058.92
2015-06-30 7,806.68 253.97 1,072.46
2015-03-31 7,895.13 271.03 1,075.93
2014-12-31 7,889.63 275.91 1,076.81
2014-09-30 7,774.21 259.52 1,064.52
2014-06-30 7,627.32 247.86 1,048.02
2014-03-31 7,516.11 244.35 1,034.82
2013-12-31 7,513.34 276.43 1,032.91
2013-09-30 7,277.63 244.95 1,020.05
2013-06-30 7,002.56 239.20 990.66
2013-03-31 6,781.34 232.79 956.33
2012-12-31 6,579.30 201.78 924.91
2012-09-30 6,524.46 230.12 912.94
2012-06-30 6,448.65 220.59 903.33

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • WESCO International has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • WESCO International used its assets more efficiently than the US Trade Distributors industry average last year based on Return on Assets.
  • WESCO International's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess WESCO International's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Trade Distributors industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
WESCO International has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is WESCO International's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up WESCO International's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • WESCO International is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • WESCO International's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of WESCO International's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from WESCO International Company Filings, last reported 1 month ago.

NYSE:WCC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,196.36 1,443.81 106.10
2018-12-31 2,129.73 1,241.34 96.34
2018-09-30 2,231.84 1,291.88 142.76
2018-06-30 2,165.76 1,326.72 110.94
2018-03-31 2,132.91 1,362.07 123.90
2017-12-31 2,116.14 1,386.20 117.95
2017-09-30 2,107.23 1,435.38 94.08
2017-06-30 2,095.11 1,389.27 87.80
2017-03-31 2,057.48 1,372.54 103.00
2016-12-31 1,963.63 1,414.66 110.13
2016-09-30 1,992.63 1,491.30 112.84
2016-06-30 1,942.57 1,446.06 160.29
2016-03-31 1,893.48 1,486.85 147.83
2015-12-31 1,773.87 1,517.57 160.28
2015-09-30 1,759.85 1,501.27 132.85
2015-06-30 1,865.94 1,485.96 174.31
2015-03-31 1,837.32 1,388.78 154.35
2014-12-31 1,928.17 1,451.61 128.32
2014-09-30 1,908.65 1,517.17 110.37
2014-06-30 1,889.50 1,568.38 101.64
2014-03-31 1,773.56 1,502.77 96.36
2013-12-31 1,764.79 1,525.41 123.73
2013-09-30 1,738.33 1,577.47 98.58
2013-06-30 1,642.65 1,615.89 104.51
2013-03-31 1,617.37 1,674.90 116.79
2012-12-31 1,553.69 1,774.81 86.10
2012-09-30 1,544.53 779.42 107.64
2012-06-30 1,468.47 628.06 72.20
  • WESCO International's level of debt (65.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (84.7% vs 65.7% today).
  • Debt is not well covered by operating cash flow (18.9%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.2x coverage).
X
Financial health checks
We assess WESCO International's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. WESCO International has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is WESCO International's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from WESCO International dividends. Estimated to be 0% next year.
If you bought $2,000 of WESCO International shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate WESCO International's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate WESCO International's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:WCC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 17 Analyst Estimates (S&P Global) See Below
United States of America Trade Distributors Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 2.9%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1997 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:WCC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.00 1.00
2020-12-31 0.00 1.00
2019-12-31 0.00 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as WESCO International has not reported any payouts.
  • Unable to verify if WESCO International's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of WESCO International's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as WESCO International has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of WESCO International's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess WESCO International's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can WESCO International afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. WESCO International has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of WESCO International's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
John Engel
COMPENSATION $7,431,924
AGE 56
TENURE AS CEO 9.7 years
CEO Bio

Mr. John J. Engel has been the Chief Executive Officer and President of WESCO International Inc. since September 1, 2009 and its Chairman of WESCO International Inc. since May 25, 2011. Mr. Engel served as Senior Vice President and Chief Operating Officer of WESCO Distribution Inc. and its subsidiary, WESCO International, Inc. from July 2004 to September 1, 2009. Mr. Engel was responsible for branch-based distribution operations and related headquarters and field support functions at WESCO. He serves as Chief Executive Officer of PerkinElmer Fluid Sciences. He served as a Senior Vice President and General Manager of Gateway, Inc., from 2003 to 2004. He served as an Executive Vice President and Senior Vice President of PerkinElmer, Inc. from 1999 to 2002. He served as President Life Sciences SBU of PerkinElmer. His work experience includes significant Operations, Marketing and General Management roles with General Electric, Allied Signal/Honeywell, PerkinElmer and Gateway. He served as Vice President and General Manager of Allied Signal from 1994 to 1999 and served various management positions in General Electric from 1985 to 1994. He has been Director of WESCO International, Inc. since November 3, 2008. He has been a Director of United States Steel Corporation since April 2011. He is a member of the Business Roundtable and the Business Council, and is a member of the Board of Directors of the National Association of Manufacturers. Mr. Engel graduated from Villanova University in 1984 with a BS degree in Mechanical Engineering. He has an MBA from the University of Rochester in 1991.

CEO Compensation
  • John's compensation has been consistent with company performance over the past year.
  • John's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the WESCO International management team in years:

4.3
Average Tenure
56
Average Age
  • The tenure for the WESCO International management team is about average.
Management Team

John Engel

TITLE
Chairman
COMPENSATION
$7M
AGE
56
TENURE
9.7 yrs

Dave Schulz

TITLE
Senior VP & CFO
COMPENSATION
$3M
AGE
52
TENURE
2.6 yrs

Robert Minicozzi

TITLE
VP & Chief Information Officer
COMPENSATION
$987K
AGE
56
TENURE
3.3 yrs

Diane Lazzaris

TITLE
Senior VP & General Counsel
COMPENSATION
$2M
AGE
51
TENURE
5.3 yrs

Christine Wolf

TITLE
Senior VP & Chief Human Resources Officer
COMPENSATION
$997K
AGE
57
TENURE
0.9 yrs

Will Ruthrauff

TITLE
Director of Investor Relations

Brian Begg

TITLE
VP & Treasurer
TENURE
10.6 yrs
Board of Directors Tenure

Average tenure and age of the WESCO International board of directors in years:

9.6
Average Tenure
60
Average Age
  • The tenure for the WESCO International board of directors is about average.
Board of Directors

Jamie Singleton

TITLE
Lead Director
COMPENSATION
$249K
AGE
62

John Engel

TITLE
Chairman
COMPENSATION
$7M
AGE
56
TENURE
8 yrs

Sandy Lin

TITLE
Independent Director
COMPENSATION
$234K
AGE
60
TENURE
16.4 yrs

Steve Raymund

TITLE
Independent Director
COMPENSATION
$244K
AGE
63
TENURE
13.3 yrs

John Morgan

TITLE
Independent Director
COMPENSATION
$239K
AGE
64
TENURE
11.2 yrs

Lynn Utter

TITLE
Independent Director
COMPENSATION
$229K
AGE
55
TENURE
13.3 yrs

Bobby Griffin

TITLE
Independent Director
COMPENSATION
$224K
AGE
69
TENURE
5 yrs

Matt Espe

TITLE
Independent Director
COMPENSATION
$229K
AGE
59
TENURE
2.5 yrs

Eash Sundaram

TITLE
Director
COMPENSATION
$102K
AGE
47
TENURE
0.8 yrs
Who owns this company?
Recent Insider Trading
  • WESCO International insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
27. Mar 19 Buy Blue Harbour Group, L.P. Company 22. Mar 19 26. Mar 19 305,600 $51.49 $15,678,829
15. Mar 19 Buy Christine Wolf Individual 14. Mar 19 14. Mar 19 1,874 $53.35 $99,987
07. Mar 19 Sell James Singleton Individual 06. Mar 19 06. Mar 19 -3,000 $53.46 $-160,383
15. Aug 18 Buy Christine Wolf Individual 14. Aug 18 14. Aug 18 1,690 $59.20 $100,048
02. Jul 18 Buy Blue Harbour Group, L.P. Company 03. May 18 02. Jul 18 1,278,947 $59.90 $76,608,925
14. Jun 18 Sell Lynn Utter Individual 13. Jun 18 13. Jun 18 -1,327 $61.71 $-81,889
X
Management checks
We assess WESCO International's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. WESCO International has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Should You Worry About WESCO International, Inc.'s (NYSE:WCC) CEO Pay Cheque?

First, this article will compare CEO compensation with compensation at similar sized companies. … View our latest analysis for WESCO International How Does John Engel's Compensation Compare With Similar Sized Companies? … Thus we can conclude that John Engel receives more in total compensation than the median of a group of companies in the same market, and of similar size to WESCO International, Inc..

Simply Wall St -

A Note On WESCO International, Inc.'s (NYSE:WCC) ROE and Debt To Equity

Our data shows WESCO International has a return on equity of 11% for the last year. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.11 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is There An Opportunity With WESCO International, Inc.'s (NYSE:WCC) 32% Undervaluation?

by taking the expected future cash flows and discounting them to today's value. … We generally believe that a company's value is the present value of all of the cash it will generate in the future. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.

Simply Wall St -

What Investors Should Know About WESCO International, Inc.'s (NYSE:WCC) Financial Strength

While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Understanding the company's financial health becomes. … We'll look at some basic checks that can form a snapshot the company’s financial strength.

Simply Wall St -

Why WESCO International, Inc. (NYSE:WCC) Could Be Your Next Investment

Today I've chosen to put the spotlight on WESCO International, Inc. … is a company that has been able to sustain great financial health, trading at an attractive share price. … report on WESCO International here

Simply Wall St -

What Are Analysts Saying About WESCO International, Inc.'s (NYSE:WCC) Earnings Trajectory?

The most recent earnings release WESCO International, Inc.'s (NYSE:WCC) announced in December 2018a

Simply Wall St -

Is It Too Late To Consider Buying WESCO International, Inc. (NYSE:WCC)?

(NYSE:WCC), which is in the trade distributors business, and is based in United States,. … As a mid-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Let’s take a look at WESCO International’s outlook and value based on the most recent financial data to see if the opportunity still exists

Simply Wall St -

Should You Be Worried About Insider Transactions At WESCO International, Inc. (NYSE:WCC)?

So shareholders might well want to know whether insiders have been buying or selling shares in WESCO International, Inc. … WESCO International Insider Transactions Over The Last Year. … Over the last year we saw more insider selling of WESCO International shares, than buying

Simply Wall St -

If You Had Bought WESCO International Stock Five Years Ago, You'd Be Sitting On A 38% Loss, Today

By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. … Looking back five years, both WESCO International's share price and EPS declined; the latter at a rate of 4.9% per year. … Readers should note that the share price has fallen faster than the EPS, at a rate of 9.1% per year, over the period.

Simply Wall St -

How Financially Strong Is WESCO International, Inc. (NYSE:WCC)?

Stocks with market capitalization between $2B and $10B, such as WESCO International, Inc. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis. … See our latest analysis for WESCO International

Simply Wall St -

Company Info

Description

WESCO International, Inc. distributes electrical, industrial, and communications maintenance, repair and operating (MRO) and original equipment manufacturers products and construction materials in North America and internationally. The company sells general supplies, such as wiring devices, fuses, terminals, connectors, boxes, enclosures, fittings, lugs, terminations, wraps, splicing and marking equipment, tools and testers, safety, personal protection, sealants, cutting tools, adhesives, consumables, fasteners, janitorial, and other MRO supplies. It also distributes wires, cables, raceways, and metallic and non-metallic conduits; and communications and security products, including structured cabling systems, broadband products, low voltage specialty systems, specialty wire and cable products, equipment racks and cabinets, access controls, alarms, cameras, and paging and voice solutions. In addition, the company sells electrical distribution and controls comprising circuit breakers, transformers, switchboards, panel boards, metering products, and busway products; lamps, fixtures, ballasts, and lighting control products; and motor control devices, drives, relays, timers, pushbuttons, operator interfaces, switches, sensors, interconnects, and surge and power protection products. Further, it provides supply chain management and logistics services; and value-added services in the areas of construction, e-commerce, energy and sustainability, engineering, production support, safety and security, supply chain optimization, training, and working capital. The company serves industrial firms, electrical and data communications contractors, utilities, commercial organizations, institutions, and governmental entities. WESCO International, Inc. was founded in 1922 and is headquartered in Pittsburgh, Pennsylvania.

Details
Name: WESCO International, Inc.
WCC
Exchange: NYSE
Founded: 1922
$2,323,581,411
44,856,784
Website: http://www.wesco.com
Address: WESCO International, Inc.
225 West Station Square Drive,
Suite 700,
Pittsburgh,
Pennsylvania, 15219,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE WCC Common Stock New York Stock Exchange US USD 12. May 1999
DB WP7 Common Stock Deutsche Boerse AG DE EUR 12. May 1999
Number of employees
Current staff
Staff numbers
9,300
WESCO International employees.
Industry
Trading Companies and Distributors
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/16 01:34
End of day share price update: 2019/05/15 00:00
Last estimates confirmation: 2019/05/15
Last earnings filing: 2019/05/03
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.