WEX Inc. provides corporate card payment solutions in North and South America, the Asia Pacific, and Europe.
High growth potential and fair value.
Share Price & News
How has WEX's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WEX's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: WEX underperformed the US IT industry which returned -3.5% over the past year.
Return vs Market: WEX underperformed the US Market which returned -11.5% over the past year.
Price Volatility Vs. Market
How volatile is WEX's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StHave WEX Inc. (NYSE:WEX) Insiders Been Selling Their Stock?
1 month ago | Simply Wall StDid Business Growth Power WEX's (NYSE:WEX) Share Price Gain of 115%?
1 month ago | Simply Wall StHow Much is WEX Inc.'s (NYSE:WEX) CEO Getting Paid?
Is WEX undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: WEX ($108.78) is trading below our estimate of fair value ($199.44)
Significantly Below Fair Value: WEX is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: WEX is poor value based on its PE Ratio (47.6x) compared to the IT industry average (24.8x).
PE vs Market: WEX is poor value based on its PE Ratio (47.6x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: WEX is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: WEX is good value based on its PB Ratio (2.4x) compared to the US IT industry average (2.7x).
How is WEX forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WEX's forecast earnings growth (37.6% per year) is above the savings rate (1.7%).
Earnings vs Market: WEX's earnings (37.6% per year) are forecast to grow faster than the US market (12.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: WEX's revenue (7.9% per year) is forecast to grow faster than the US market (7.3% per year).
High Growth Revenue: WEX's revenue (7.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WEX's Return on Equity is forecast to be high in 3 years time (30.1%)
How has WEX performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WEX has high quality earnings.
Growing Profit Margin: WEX's current net profit margins (5.7%) are lower than last year (11.3%).
Past Earnings Growth Analysis
Earnings Trend: WEX's earnings have declined by -2.2% per year over the past 5 years.
Accelerating Growth: WEX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: WEX had negative earnings growth (-41.2%) over the past year, making it difficult to compare to the IT industry average (14.3%).
Return on Equity
High ROE: WEX's Return on Equity (7.4%) is considered low.
How is WEX's financial position?
Financial Position Analysis
Short Term Liabilities: WEX's short term assets ($3.8B) exceed its short term liabilities ($3.0B).
Long Term Liabilities: WEX's short term assets ($3.8B) exceed its long term liabilities ($3.2B).
Debt to Equity History and Analysis
Debt Level: WEX's debt to equity ratio (141.2%) is considered high.
Reducing Debt: WEX's debt to equity ratio has increased from 123.7% to 141.2% over the past 5 years.
Debt Coverage: WEX's debt is well covered by operating cash flow (22.4%).
Interest Coverage: WEX's interest payments on its debt are not well covered by EBIT (2.4x coverage).
Inventory Level: WEX has a low level of unsold assets or inventory.
Debt Coverage by Assets: WEX's debt is covered by short term assets (assets are 1.3x debt).
What is WEX's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate WEX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate WEX's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if WEX's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if WEX's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of WEX's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Melissa Smith (50yo)
Ms. Melissa D. Smith serves as Chairman of the Board from September 12, 2019. She has been the Chief Executive Officer of WEX Inc. (alternatively Wright Express Corp) since January 1, 2014 and has been its ...
CEO Compensation Analysis
Compensation vs Market: Melissa's total compensation ($USD5.63M) is about average for companies of similar size in the US market ($USD7.47M).
Compensation vs Earnings: Melissa's compensation has been consistent with company performance over the past year.
|Chairman of the Board||6.17yrs||US$5.63m||0.20% $10.0m|
|Chief Financial Officer||4.08yrs||US$2.23m||0.047% $2.4m|
|Chief Human Resources Officer||2.17yrs||US$2.08m||0.011% $570.5k|
|President of Global Fleet||3.67yrs||US$2.12m||0.043% $2.2m|
|Chief Portfolio Risk & Operations Officer||2.25yrs||US$3.75m||0.048% $2.4m|
|Chief Technology Officer||3.25yrs||no data||0.012% $600.3k|
|Senior Vice President of Global Investor Relations||no data||US$650.34k||no data|
|Chief Legal Officer||21.92yrs||US$855.48k||0.037% $1.9m|
|Chief Corporate Development Officer||6.08yrs||US$1.71m||0.034% $1.7m|
|President of Corporate Payments||2.25yrs||no data||0.012% $627.0k|
Experienced Management: WEX's management team is considered experienced (3.7 years average tenure).
|Chairman of the Board||6.17yrs||US$5.63m||0.20% $10.0m|
|Independent Director||3.67yrs||US$228.83k||0.0054% $274.9k|
|Vice Chair & Lead Independent Director||0.50yr||US$232.45k||no data|
|Independent Director||15.08yrs||US$259.95k||0.083% $4.2m|
|Independent Director||15.17yrs||US$234.95k||0.0086% $431.8k|
|Independent Director||15.17yrs||US$244.95k||0.015% $731.4k|
|Independent Director||1.25yrs||US$7.92k||no data|
|Independent Director||3.5yrs||US$227.45k||0.0054% $274.9k|
|Independent Director||0.83yr||no data||no data|
Experienced Board: WEX's board of directors are considered experienced (3.6 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: WEX insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
WEX Inc.'s company bio, employee growth, exchange listings and data sources
- Name: WEX Inc.
- Ticker: WEX
- Exchange: NYSE
- Founded: 1983
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: US$5.044b
- Shares outstanding: 43.34m
- Website: https://www.wexinc.com
Number of Employees
- WEX Inc.
- 1 Hancock Street
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|WEX||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Feb 2005|
|WL9||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Feb 2005|
WEX Inc. provides corporate card payment solutions in North and South America, the Asia Pacific, and Europe. It operates through three segments: Fleet Solutions, Travel and Corporate Solutions, and Health and Employee Benefit Solutions. The Fleet Solutions segment offers fleet vehicle payment processing services. Its services include customer, account activation, and account retention services; authorization and billing inquiries, and account maintenance services; premium fleet services; credit and collections services; and merchant services, as well as offers ClearView analytics platform, a Web-based data analytics platform that offers insights to fleet managers and SmartHub mobile application for business managers to access their account information. This segment markets its products directly to commercial and government vehicle fleet customers with small, medium, and large fleets, as well as with over-the-road and long haul fleets; and indirectly through co-branded and private label relationships. The Travel and Corporate Solutions segment provides payment processing solutions for corporate payment and transaction monitoring needs. Its products include virtual cards that are used for transactions where no card is presented and that require pre-authorization; and prepaid and gift card products that enables secure payment and financial management solutions with single card options, access to open or closed loop redemption, load limits, and with various expirations. This segment markets its products directly to commercial and government organizations. The Health and Employee Benefit Solutions segment offers healthcare payment products and software-as-a-service consumer directed platforms for healthcare market, as well as payroll related and employee benefit products in Brazil. The company was formerly known as Wright Express Corporation and changed its name to WEX Inc. in October 2012. WEX Inc. was founded in 1983 and is headquartered in Portland, Maine.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/03/28 02:15|
|End of Day Share Price||2020/03/27 00:00|
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.