Wesco International Inc
NYSE:WCC
Intrinsic Value
WESCO International, Inc. is a holding company, which engages in the provision of electrical, industrial, communications maintenance, repair and operating, and original equipment manufacturers product... [ Read More ]
The intrinsic value of one WCC stock under the Base Case scenario is 174.93 USD. Compared to the current market price of 171.25 USD, Wesco International Inc is Undervalued by 2%.
Valuation Backtest
Wesco International Inc
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Fundamental Analysis
Moderate Sales Growth with Stabilizing Margins
2023-Q4 Earnings Call
In a transformative period, the company faced a sales slump, with organic sales down around 3% amid project delays, mainly within the CSS business. However, sales were up 5% annually, indicative of positive momentum. Adjusted EBITDA remained stable year-on-year, though margins faced slight compression, with headwinds from lower volume rebates and heightened SG&A. A $700 million midpoint free cash flow projection sets a record, reflecting committed efforts at working capital optimization. The 2024 outlook envisions revenue growth up 1% to 4%, organic sales flat to rising 3%, and an adjusted EBITDA margin goal between 7.5% to 7.9%.
Balance Sheet Decomposition
Wesco International Inc
Current Assets | 8.4B |
Cash & Short-Term Investments | 524.1m |
Receivables | 4.1B |
Other Current Assets | 3.8B |
Non-Current Assets | 6.7B |
PP&E | 1.2B |
Intangibles | 5.1B |
Other Non-Current Assets | 364.6m |
Current Liabilities | 3.4B |
Accounts Payable | 2.4B |
Accrued Liabilities | 348.4m |
Other Current Liabilities | 608.5m |
Non-Current Liabilities | 6.6B |
Long-Term Debt | 5.3B |
Other Non-Current Liabilities | 1.3B |
Earnings Waterfall
Wesco International Inc
Revenue
|
22.4B
USD
|
Cost of Revenue
|
-17.5B
USD
|
Gross Profit
|
4.8B
USD
|
Operating Expenses
|
-3.4B
USD
|
Operating Income
|
1.5B
USD
|
Other Expenses
|
-770.4m
USD
|
Net Income
|
708.1m
USD
|
Free Cash Flow Analysis
Wesco International Inc
What is Free Cash Flow?
WCC Profitability Score
Profitability Due Diligence
Wesco International Inc's profitability score is 53/100. The higher the profitability score, the more profitable the company is.
Score
Wesco International Inc's profitability score is 53/100. The higher the profitability score, the more profitable the company is.
WCC Solvency Score
Solvency Due Diligence
Wesco International Inc's solvency score is 43/100. The higher the solvency score, the more solvent the company is.
Score
Wesco International Inc's solvency score is 43/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
WCC Price Targets Summary
Wesco International Inc
According to Wall Street analysts, the average 1-year price target for WCC is 182.38 USD with a low forecast of 166.65 USD and a high forecast of 210 USD.
Ownership
WCC Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
WCC Price
Wesco International Inc
Average Annual Return | 26.97% |
Standard Deviation of Annual Returns | 33.06% |
Max Drawdown | -74% |
Market Capitalization | 8.7B USD |
Shares Outstanding | 50 953 600 |
Percentage of Shares Shorted | 1.99% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
WESCO International, Inc. is a holding company, which engages in the provision of electrical, industrial, communications maintenance, repair and operating, and original equipment manufacturers products. The company is headquartered in Pittsburgh, Pennsylvania and currently employs 18,000 full-time employees. The firm conducts its businesses through three segments: Electrical & Electronic Solutions (EES), Communications & Security Solutions (CSS) and Utility & Broadband Solutions (UBS). The EES segment supplies a range of products and solutions primarily to the construction, industrial and original equipment manufacturer (OEM) markets. Its EES segment supplies various products, including electrical equipment and supplies, automation and connected devices (the Internet of things), security, lighting, wire and cable, safety, and maintenance, repair and operating (MRO) products. Its CSS segment operates in the network infrastructure and security markets. The UBS segment provides products and services to investor-owned utilities, public power companies, including municipalities, as well as global service providers, wireless providers and broadband operators.
Contact
IPO
Employees
Officers
The intrinsic value of one WCC stock under the Base Case scenario is 174.93 USD.
Compared to the current market price of 171.25 USD, Wesco International Inc is Undervalued by 2%.