WESCO International
Market Cap
US$2.3b
Last Updated
2019/12/11 23:40 UTC
Data Sources
Company Financials +
Executive Summary
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.
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with proven track record.
Similar Companies
Share Price & News
How has WESCO International's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WCC has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
8.0%
WCC
2.6%
US Trade Distributors
0.8%
US Market
1 Year Return
11.7%
WCC
22.8%
US Trade Distributors
17.8%
US Market
Return vs Industry: WCC underperformed the US Trade Distributors industry which returned 22.8% over the past year.
Return vs Market: WCC underperformed the US Market which returned 17.8% over the past year.
Shareholder returns
| WCC | Industry | Market | |
|---|---|---|---|
| 7 Day | 8.0% | 2.6% | 0.8% |
| 30 Day | 2.9% | -0.6% | 1.8% |
| 90 Day | 14.7% | 8.2% | 4.1% |
| 1 Year | 11.7%11.7% | 25.1%22.8% | 20.4%17.8% |
| 3 Year | -18.4%-18.4% | 31.2%25.6% | 45.9%36.4% |
| 5 Year | -24.1%-24.1% | 44.0%33.7% | 68.1%49.6% |
Price Volatility Vs. Market
How volatile is WESCO International's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did WESCO International, Inc. (NYSE:WCC) Use Debt To Deliver Its ROE Of 10%?2 weeks ago | Simply Wall St
Want To Invest In WESCO International, Inc. (NYSE:WCC)? Here's How It Performed Lately1 month ago | Simply Wall St
Do You Like WESCO International, Inc. (NYSE:WCC) At This P/E Ratio?Valuation
Is WESCO International undervalued compared to its fair value and its price relative to the market?
30.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: WCC ($56.05) is trading below our estimate of fair value ($81.05)
Significantly Below Fair Value: WCC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: WCC is good value based on its PE Ratio (10.8x) compared to the Trade Distributors industry average (18x).
PE vs Market: WCC is good value based on its PE Ratio (10.8x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: WCC is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: WCC is good value based on its PB Ratio (1.1x) compared to the US Trade Distributors industry average (1.7x).
Next Steps
Future Growth
How is WESCO International forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
7.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WCC's forecast earnings growth (7.1% per year) is above the savings rate (1.7%).
Earnings vs Market: WCC's earnings (7.1% per year) are forecast to grow slower than the US market (14.2% per year).
High Growth Earnings: WCC's earnings are forecast to grow, but not significantly.
Revenue vs Market: WCC's revenue (2.3% per year) is forecast to grow slower than the US market (7.4% per year).
High Growth Revenue: WCC's revenue (2.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WCC's Return on Equity is forecast to be low in 3 years time (9.6%).
Next Steps
Past Performance
How has WESCO International performed over the past 5 years?
-4.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WCC has high quality earnings.
Growing Profit Margin: WCC's current net profit margins (2.8%) are higher than last year (2.3%).
Past Earnings Growth Analysis
Earnings Trend: WCC's earnings have declined by -4.6% per year over the past 5 years.
Accelerating Growth: WCC's earnings growth over the past year (19.1%) exceeds its 5-year average (-4.6% per year).
Earnings vs Industry: WCC earnings growth over the past year (19.1%) exceeded the Trade Distributors industry -8.5%.
Return on Equity
High ROE: WCC's Return on Equity (10.4%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is WESCO International's financial position?
Financial Position Analysis
Short Term Liabilities: WCC's short term assets ($2.6B) exceed its short term liabilities ($1.1B).
Long Term Liabilities: WCC's short term assets ($2.6B) exceed its long term liabilities ($1.8B).
Debt to Equity History and Analysis
Debt Level: WCC's debt to equity ratio (63.6%) is considered high.
Reducing Debt: WCC's debt to equity ratio has reduced from 79.4% to 63.6% over the past 5 years.
Debt Coverage: WCC's debt is not well covered by operating cash flow (17.2%).
Interest Coverage: WCC's interest payments on its debt are well covered by EBIT (5.3x coverage).
Balance Sheet
Inventory Level: WCC has a high level of physical assets or inventory.
Debt Coverage by Assets: WCC's debt is covered by short term assets (assets are 1.9x debt).
Next Steps
Dividend
What is WESCO International's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate WCC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate WCC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if WCC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if WCC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of WCC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
What is the CEO of WESCO International's salary, the management and board of directors tenure and is there insider trading?
3.9yrs
Average management tenure
CEO
John Engel (57yo)
10.3yrs
Tenure
US$7,431,924
Compensation
Mr. John J. Engel has been the Chief Executive Officer and President of WESCO International Inc. since September 1, 2009 and its Chairman of WESCO International Inc. since May 25, 2011. Mr. Engel served as ...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD7.43M) is above average for companies of similar size in the US market ($USD3.87M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Management Age and Tenure
3.9yrs
Average Tenure
57yo
Average Age
Experienced Management: WCC's management team is considered experienced (3.9 years average tenure).
Board Age and Tenure
7.1yrs
Average Tenure
60yo
Average Age
Experienced Board: WCC's board of directors are considered experienced (7.1 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 1,513 |
| Max Price | US$48.97 |
| Entity | Company |
| Shares | 305,600 |
| Max Price | US$51.49 |
| Entity | Individual |
| Shares | 1,874 |
| Max Price | US$53.35 |
| Entity | Individual |
| Role | Lead Director Lead Director |
| Shares | 3,000 |
| Max Price | US$53.46 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
John Engel (57yo)
Chairman
- Tenure: 10.3yrs
- Compensation: US$7.43m
Nelson Squires (58yo)
Senior VP & COO
- Tenure: 0.2yrs
Diane Lazzaris (52yo)
Senior VP & General Counsel
- Tenure: 5.9yrs
- Compensation: US$1.55m
Dave Schulz (53yo)
Senior VP & CFO
- Tenure: 3.2yrs
- Compensation: US$2.58m
Brian Begg
VP & Treasurer
- Tenure: 11.2yrs
Juan Picon (49yo)
Group VP & GM of United States
- Tenure: 0yrs
Will Ruthrauff
Director of Investor Relations & Corporate Communications
- Tenure: 0yrs
Robert Minicozzi (57yo)
VP & Chief Information Officer
- Tenure: 3.9yrs
- Compensation: US$987.39k
Christine Wolf (58yo)
Senior VP & Chief Human Resources Officer
- Tenure: 1.5yrs
- Compensation: US$996.78k
Hemant Porwal
Vice President of Global Supply Chain & Operations
- Tenure: 0yrs
Board Members
Jamie Singleton (63yo)
Lead Director
- Tenure: 0yrs
- Compensation: US$249.00k
John Engel (57yo)
Chairman
- Tenure: 10.3yrs
- Compensation: US$7.43m
Steve Raymund (64yo)
Independent Director
- Tenure: 13.9yrs
- Compensation: US$244.00k
Matt Espe (60yo)
Independent Director
- Tenure: 3.1yrs
- Compensation: US$229.00k
Bobby Griffin (70yo)
Independent Director
- Tenure: 5.6yrs
- Compensation: US$224.00k
John Morgan (65yo)
Independent Director
- Tenure: 11.8yrs
- Compensation: US$239.00k
Laura Thompson (55yo)
Director
- Tenure: 0.2yrs
Lynn Utter (56yo)
Independent Director
- Tenure: 13.9yrs
- Compensation: US$229.00k
Eash Sundaram (48yo)
Independent Director
- Tenure: 1.3yrs
- Compensation: US$102.10k
Company Information
WESCO International, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: WESCO International, Inc.
- Ticker: WCC
- Exchange: NYSE
- Founded: 1922
- Industry: Trading Companies and Distributors
- Sector: Capital Goods
- Market Cap: US$2.322b
- Shares outstanding: 41.80m
- Website: https://www.wesco.com
Number of Employees
Location
- WESCO International, Inc.
- 225 West Station Square Drive
- Suite 700
- Pittsburgh
- Pennsylvania
- 15219
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| WCC | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | May 1999 |
| WP7 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | May 1999 |
Biography
WESCO International, Inc. distributes electrical, industrial, and communications maintenance, repair and operating (MRO) and original equipment manufacturers products and construction materials in North Am ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/12/11 23:40 |
| End of Day Share Price | 2019/12/11 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.