Zacks Research Weighs in on WEX's Q3 Earnings (NYSE:WEX)

Key Points

• Zacks Research raised its WEX earnings forecasts, including Q3 2026 EPS to $4.83 from $4.52 and FY2026 EPS to $17.03. Estimates for FY2027 and FY2028 also increased to $17.93 and $19.58, respectively.
• WEX’s latest quarter exceeded expectations, with EPS of $5.35 versus the $5.08 consensus and revenue of $753.5 million versus $740.72 million. Revenue increased 14.2% year over year, while management guided to Q3 2026 EPS of $5.45–$5.65 and FY2026 EPS of $19.68–$20.08.
• The stock has a consensus “Hold” rating from analysts, with a $183.30 average price target, while WEX has authorized a $1 billion share-repurchase program covering up to 21.2% of outstanding shares.

WEX Inc. (NYSE:WEX - Free Report) - Analysts at Zacks Research upped their Q3 2026 earnings per share (EPS) estimates for shares of WEX in a research report issued to clients and investors on Wednesday, August 12th. Zacks Research analyst Team now expects that the business services provider will post earnings per share of $4.83 for the quarter, up from their previous forecast of $4.52. The consensus estimate for WEX's current full-year earnings is $17.11 per share. Zacks Research also issued estimates for WEX's FY2026 earnings at $17.03 EPS, Q1 2027 earnings at $3.95 EPS, Q2 2027 earnings at $4.43 EPS, Q3 2027 earnings at $5.00 EPS, Q4 2027 earnings at $4.54 EPS, FY2027 earnings at $17.93 EPS, Q1 2028 earnings at $4.47 EPS, Q2 2028 earnings at $4.82 EPS and FY2028 earnings at $19.58 EPS.

WEX (NYSE:WEX - Get Free Report) last issued its earnings results on Wednesday, July 22nd. The business services provider reported $5.35 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.08 by $0.27. WEX had a return on equity of 43.19% and a net margin of 12.56%.The business had revenue of $753.50 million during the quarter, compared to analysts' expectations of $740.72 million. During the same quarter in the prior year, the firm earned $3.95 EPS. The business's revenue for the quarter was up 14.2% compared to the same quarter last year. WEX has set its Q3 2026 guidance at 5.450-5.650 EPS and its FY 2026 guidance at 19.680-20.080 EPS.

A number of other research firms have also weighed in on WEX. Wall Street Zen lowered shares of WEX from a "buy" rating to a "hold" rating in a report on Sunday, May 24th. Evercore raised shares of WEX to an "outperform" rating in a research note on Tuesday, July 21st. Weiss Ratings upgraded shares of WEX from a "hold (c-)" rating to a "hold (c)" rating in a report on Friday, August 7th. Deutsche Bank Aktiengesellschaft reduced their price objective on shares of WEX from $180.00 to $160.00 and set a "hold" rating on the stock in a research note on Friday, June 12th. Finally, Cantor Fitzgerald set a $178.00 target price on WEX in a research report on Monday, July 27th. Six analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $183.30.

WEX Stock Performance

WEX stock opened at $191.62 on Monday. The business has a 50 day moving average of $158.88 and a 200-day moving average of $155.90. The company has a market capitalization of $6.53 billion, a P/E ratio of 19.09, a P/E/G ratio of 1.00 and a beta of 0.82. WEX has a 1 year low of $125.29 and a 1 year high of $199.69. The company has a debt-to-equity ratio of 2.62, a current ratio of 1.04 and a quick ratio of 1.04.

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

Insider Activity

In other news, COO Robert Joseph Deshaies sold 2,000 shares of the business's stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $148.40, for a total value of $296,800.00. Following the transaction, the chief operating officer owned 20,288 shares in the company, valued at approximately $3,010,739.20. The trade was a 8.97% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Ann Elena Drew sold 3,400 shares of the company's stock in a transaction on Monday, July 27th. The shares were sold at an average price of $176.02, for a total transaction of $598,468.00. Following the completion of the sale, the insider directly owned 7,988 shares in the company, valued at approximately $1,406,047.76. This represents a 29.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 9,858 shares of company stock worth $1,662,835 in the last 90 days. 1.40% of the stock is owned by company insiders.

Institutional Trading of WEX

A number of large investors have recently bought and sold shares of the business. Los Angeles Capital Management LLC bought a new stake in WEX in the fourth quarter worth approximately $25,000. Global Retirement Partners LLC bought a new position in shares of WEX during the 2nd quarter worth approximately $26,000. First Horizon Corp grew its position in shares of WEX by 65.7% during the 4th quarter. First Horizon Corp now owns 237 shares of the business services provider's stock worth $35,000 after buying an additional 94 shares during the period. Caitong International Asset Management Co. Ltd grew its position in shares of WEX by 368.1% during the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 220 shares of the business services provider's stock worth $35,000 after buying an additional 173 shares during the period. Finally, Northwestern Mutual Wealth Management Co. acquired a new stake in WEX in the second quarter worth $41,000. 97.47% of the stock is currently owned by institutional investors and hedge funds.

More WEX News

Here are the key news stories impacting WEX this week:

• Positive Sentiment: Broad-based earnings estimate increases: Zacks Research raised its EPS forecasts for WEX’s third quarter of 2026 to $4.83 from $4.52, fiscal 2026 to $17.03 from $16.45, fiscal 2027 to $17.93 from $17.08, and fiscal 2028 to $19.58 from $18.35. Higher profit forecasts generally support the investment case for WEX.
• Positive Sentiment: Improved longer-term quarterly outlook: Zacks increased estimates for first-quarter 2027 EPS to $3.95 from $3.69, third-quarter 2027 EPS to $5.00 from $4.57, fourth-quarter 2027 EPS to $4.54 from $4.39, first-quarter 2028 EPS to $4.47 from $4.19, and second-quarter 2028 EPS to $4.82 from $4.62. The revisions indicate stronger expected earnings momentum through 2028.
• Neutral Sentiment: One minor reduction: Zacks trimmed its second-quarter 2027 EPS forecast to $4.43 from $4.44, a negligible change that does not materially alter the overall positive revision trend.
• Negative Sentiment: Limited immediate catalyst: The changes came from one research firm and largely concern future periods. WEX’s current full-year consensus remains $17.12 per share, while the shares are trading close to their 52-week high, which may encourage investors to lock in gains despite the stronger estimates.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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