WEX (NYSE:WEX) Hits New 52-Week Low - Here's Why

Key Points

• WEX hit a new 52-week low, trading as low as $132.35, as the stock fell about 3.8% and remained well below both its 50-day and 200-day moving averages.
• Analysts are mixed on the name: while Loop Capital and Robert W. Baird have bullish ratings, the overall consensus from MarketBeat is still Hold with an average price target of $173.70.
• The company posted better-than-expected quarterly results with EPS of $4.15 and revenue of $673.8 million, and it also authorized a $1 billion share repurchase plan that may signal management sees the stock as undervalued.

WEX Inc. (NYSE:WEX - Get Free Report)'s share price reached a new 52-week low on Monday . The company traded as low as $132.35 and last traded at $132.8710, with a volume of 133802 shares trading hands. The stock had previously closed at $135.50.

Analysts Set New Price Targets

A number of research firms have commented on WEX. Robert W. Baird raised their target price on WEX from $210.00 to $220.00 and gave the company an "outperform" rating in a report on Thursday, April 23rd. Weiss Ratings reiterated a "hold (c)" rating on shares of WEX in a report on Monday, April 20th. Raymond James Financial reiterated a "market perform" rating on shares of WEX in a research note on Friday, March 6th. Loop Capital initiated coverage on shares of WEX in a report on Monday, April 27th. They set a "buy" rating and a $195.00 price objective on the stock. Finally, Wall Street Zen lowered shares of WEX from a "buy" rating to a "hold" rating in a research report on Sunday, May 24th. Four investment analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Hold" and an average target price of $173.70.

WEX Trading Down 3.8%

The company has a debt-to-equity ratio of 2.83, a current ratio of 1.05 and a quick ratio of 1.05. The business's 50-day moving average price is $151.50 and its two-hundred day moving average price is $153.53. The firm has a market cap of $4.52 billion, a price-to-earnings ratio of 14.63, a price-to-earnings-growth ratio of 0.84 and a beta of 0.85.

WEX (NYSE:WEX - Get Free Report) last released its quarterly earnings data on Wednesday, April 22nd. The business services provider reported $4.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.92 by $0.23. WEX had a net margin of 11.50% and a return on equity of 42.66%. The company had revenue of $673.80 million during the quarter, compared to the consensus estimate of $660.96 million. During the same period in the previous year, the firm earned $3.51 earnings per share. WEX's revenue for the quarter was up 5.8% on a year-over-year basis. WEX has set its FY 2026 guidance at 18.950-19.550 EPS and its Q2 2026 guidance at 4.930-5.130 EPS. Equities analysts expect that WEX Inc. will post 16.49 earnings per share for the current year.

WEX declared that its Board of Directors has authorized a stock repurchase plan on Thursday, May 14th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the business services provider to repurchase up to 21.2% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's management believes its shares are undervalued.

Insider Activity

In other news, COO Robert Joseph Deshaies sold 1,200 shares of the company's stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $144.84, for a total value of $173,808.00. Following the completion of the transaction, the chief operating officer directly owned 22,288 shares in the company, valued at approximately $3,228,193.92. This represents a 5.11% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director James R. Groch bought 1,500 shares of the firm's stock in a transaction dated Monday, May 18th. The stock was purchased at an average price of $142.95 per share, with a total value of $214,425.00. Following the completion of the purchase, the director directly owned 17,957 shares of the company's stock, valued at approximately $2,566,953.15. This trade represents a 9.11% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold a total of 9,019 shares of company stock valued at $1,446,996 over the last ninety days. 1.40% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. AQR Capital Management LLC raised its holdings in WEX by 794.0% in the fourth quarter. AQR Capital Management LLC now owns 889,802 shares of the business services provider's stock valued at $132,563,000 after acquiring an additional 790,271 shares in the last quarter. Turtle Creek Asset Management Inc. acquired a new stake in WEX in the third quarter valued at $93,289,000. Par Capital Management Inc. raised its holdings in WEX by 21.6% in the fourth quarter. Par Capital Management Inc. now owns 2,252,000 shares of the business services provider's stock valued at $335,503,000 after acquiring an additional 400,500 shares in the last quarter. Norges Bank acquired a new stake in WEX in the fourth quarter valued at $50,202,000. Finally, New South Capital Management Inc. raised its holdings in WEX by 627.0% in the fourth quarter. New South Capital Management Inc. now owns 268,023 shares of the business services provider's stock valued at $39,930,000 after acquiring an additional 231,158 shares in the last quarter. 97.47% of the stock is currently owned by hedge funds and other institutional investors.

About WEX

WEX Inc is a global financial technology company specializing in business payment solutions for fleet, travel, and corporate payments. The company delivers software-driven platforms and card-based services that help businesses automate payment processes, manage expenses and improve operational efficiency across a range of industries, including transportation, healthcare and government.

Founded in 1983 as Wright Express in Portland, Maine, the company began by offering fuel card services to trucking fleets.

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