Insight Enterprises (NASDAQ:NSIT) Announces Quarterly Earnings Results

Key Points

• Insight Enterprises beat quarterly estimates: EPS was $3.59 versus the $2.85 consensus, while revenue reached $2.44 billion, up 21.8% year over year. The company raised its FY 2026 EPS guidance to $13.55–$13.75.
• AI-related demand fueled growth: Infrastructure gross profit rose more than 50%, alongside gains in cloud and core services, as clients invested in on-premises and cloud environments for AI.
• Shares fell 13% despite the strong results, while management cautioned that growth may moderate in Q4 amid tougher comparisons and uncertainty around memory prices, supply chains, and the broader economy.

Insight Enterprises (NASDAQ:NSIT - Get Free Report) announced its quarterly earnings results on Thursday. The software maker reported $3.59 EPS for the quarter, topping the consensus estimate of $2.85 by $0.74, FiscalAI reports. The business had revenue of $2.44 billion for the quarter, compared to analysts' expectations of $2.15 billion. Insight Enterprises had a net margin of 2.45% and a return on equity of 22.70%. The business's quarterly revenue was up 21.8% compared to the same quarter last year. During the same quarter in the previous year, the company earned $2.43 EPS. Insight Enterprises updated its FY 2026 guidance to 13.550-13.750 EPS.

Here are the key takeaways from Insight Enterprises' conference call:

• Strong Q3 results led to raised full-year guidance. Gross profit rose 20% and adjusted diluted EPS increased 34%; Insight now expects 2026 gross profit growth of 12.5%–14% and adjusted diluted EPS of $13.55–$13.75, excluding stock-based compensation.
• AI-related infrastructure demand and services growth were key drivers. Infrastructure gross profit increased more than 50%, while cloud gross profit grew 26% and Insight Core Services gross profit rose 21%; management said clients are investing in both on-premises and cloud environments for AI.
• Management expects growth to moderate in Q4. The outlook reflects tougher comparisons, the impact of Google Partner Program changes, and uncertainty around memory pricing, supply chains, and the broader economy, although the company reported healthy bookings and elevated backlog entering the quarter.
• Insight is pursuing operating leverage while investing in growth. A voluntary separation program is expected to generate about $30 million in annualized gross savings, with resources redirected toward AI, cybersecurity, and technical talent; the company also intends to complete its remaining $74 million share-repurchase authorization this year.

Insight Enterprises Trading Down 13.0%

NASDAQ NSIT traded down $22.90 during trading hours on Thursday, hitting $152.72. 610,334 shares of the company were exchanged, compared to its average volume of 437,679. The stock has a 50-day moving average price of $162.67 and a 200 day moving average price of $114.51. The company has a quick ratio of 1.15, a current ratio of 1.18 and a debt-to-equity ratio of 0.92. Insight Enterprises has a 52 week low of $63.62 and a 52 week high of $182.12. The stock has a market cap of $4.48 billion, a PE ratio of 22.36, a price-to-earnings-growth ratio of 1.21 and a beta of 1.06.

Insider Activity

In other news, General Counsel Karim Adatia sold 248 shares of Insight Enterprises stock in a transaction that occurred on Friday, August 28th. The stock was sold at an average price of $157.40, for a total value of $39,035.20. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 1.21% of the stock is owned by insiders.

Insight Enterprises News Roundup

Here are the key news stories impacting Insight Enterprises this week:

• Positive Sentiment: Q3 adjusted EPS was $3.59, ahead of the roughly $2.85 analyst consensus and up from $2.43 a year earlier. Revenue of $2.44 billion also topped expectations of $2.15 billion and rose 21.8% year over year. Zacks Q3 earnings article
• Positive Sentiment: Insight raised its FY 2026 EPS guidance to $13.55–$13.75, above the cited analyst consensus of $12.30. The higher outlook may support earnings expectations, with coverage pointing to demand for AI infrastructure as a growth driver. Seeking Alpha outlook article
• Neutral Sentiment: Despite the earnings beat and raised guidance, one report characterized Q3 profit as falling. That may be a counterpoint to the strong adjusted EPS and sales figures, though the provided article details do not quantify the decline. RTT News Q3 report

Analysts Set New Price Targets

NSIT has been the subject of a number of research reports. Barrington Research set a $180.00 price target on Insight Enterprises in a research note on Monday, August 10th. JPMorgan Chase & Co. lifted their price objective on Insight Enterprises from $135.00 to $160.00 and gave the stock a "neutral" rating in a research note on Friday, August 7th. Wall Street Zen downgraded Insight Enterprises from a "strong-buy" rating to a "buy" rating in a research report on Saturday, September 12th. Raymond James Financial reissued an "outperform" rating and issued a $175.00 target price on shares of Insight Enterprises in a report on Thursday, August 6th. Finally, Zacks Research cut shares of Insight Enterprises from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, October 6th. Three equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $147.50.

Insight Enterprises Company Profile

Insight Enterprises, Inc is a global technology solutions provider that helps businesses and public-sector organizations plan, acquire, implement and manage information technology. The company offers hardware, software and cloud solutions, along with consulting, systems integration, managed services and technical support.

Its portfolio includes workplace and data-center technologies, cloud and data-center modernization, cybersecurity, networking, data and artificial intelligence solutions, and software licensing and asset management.

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