A Glimpse Into The Expert Outlook On WEX Through 5 Analysts

In the latest quarter, 5 analysts provided ratings for WEX WEX, showcasing a mix of bullish and bearish perspectives.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have recently evaluated WEX and provided 12-month price targets. The average target is $211.0, accompanied by a high estimate of $255.00 and a low estimate of $190.00. This upward trend is apparent, with the current average reflecting a 2.63% increase from the previous average price target of $205.60.

Investigating Analyst Ratings: An Elaborate Study

The analysis of recent analyst actions sheds light on the perception of WEX by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to WEX. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of WEX compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for WEX's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of WEX's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on WEX analyst ratings.

Discovering WEX: A Closer Look

WEX Inc is a provider of corporate payment solutions. The company operates three business segments: Mobility, Benefits, and Corporate Payments. Mobility segment, the largest segment by revenue, provides fleet vehicle payment solutions, transaction processing, and information management services for commercial and government fleets. The Corporate Payments segment offers business-to-business payment processing and transaction monitoring services. The Benefits segment generates revenue from healthcare payment products and its consumer-directed software platform. Wex's largest end market is the United States of America.

Financial Insights: WEX

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: WEX displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 8.4%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Financials sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 11.43%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): WEX's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 4.32%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): WEX's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.54%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: WEX's debt-to-equity ratio is notably higher than the industry average. With a ratio of 2.36, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Analyst Ratings: Simplified

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.