WESCO International (NYSE:WCC) Posts Quarterly Earnings Results, Beats Expectations By $1.08 EPS

WESCO International (NYSE:WCC) released its earnings results on Thursday. The technology company reported $5.77 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.69 by $1.08, FiscalAI reports. WESCO International had a net margin of 2.84% and a return on equity of 14.95%. The business had revenue of $7.23 billion during the quarter, compared to analyst estimates of $6.87 billion. During the same quarter in the prior year, the firm earned $3.92 earnings per share. The company’s revenue for the quarter was up 16.6% compared to the same quarter last year.

Here are the key takeaways from WESCO International’s conference call:

• WESCO reported record third-quarter results, with organic sales up 17% to $7.2 billion, adjusted EBITDA up 33% to $562 million, EBITDA margin expanding 100 basis points to 7.8%, and adjusted EPS up 47% to $5.77.
• Data center demand remains a major growth engine, with sales up 55% year over year to $1.8 billion and CSS backlog up approximately 140%; management said the business is now margin-accretive and increasingly spans hyperscale, multi-tenant, enterprise, private AI, and edge infrastructure.
• Growth is broadening beyond data centers. EES sales rose 18%, driven by OEM, construction, and industrial demand, while UBS sales increased 6%, utility grew at a high-single-digit rate, and backlog reached records across all three business units.
• WESCO significantly raised its 2026 outlook to 13%–14% organic sales growth, approximately $26.8 billion–$27.0 billion in sales, 7.2% adjusted EBITDA margin, and $18.00–$18.50 adjusted EPS; October sales per workday were up in the high teens, though fourth-quarter guidance reflects seasonal factors and continued business investment.
• Free cash flow was $184 million and net leverage improved to 2.8 times from 3.4 times at year-end. Management expects mid- to high-single-digit sales growth and continued margin expansion in 2027, but will provide detailed guidance with fourth-quarter results.

WESCO International Price Performance

Shares of NYSE WCC traded down $22.23 during trading on Friday, reaching $344.48. The company had a trading volume of 136,721 shares, compared to its average volume of 606,251. The stock has a market capitalization of $16.79 billion, a PE ratio of 23.76, a price-to-earnings-growth ratio of 2.07 and a beta of 1.54. The stock has a 50-day moving average price of $350.49 and a two-hundred day moving average price of $326.66. WESCO International has a twelve month low of $240.55 and a twelve month high of $388.64. The company has a current ratio of 2.09, a quick ratio of 1.23 and a debt-to-equity ratio of 1.13.

WESCO International Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Friday, September 11th were paid a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend was Friday, September 11th. WESCO International’s dividend payout ratio (DPR) is 13.82%.

Insider Buying and Selling

In other WESCO International news, EVP Akash Khurana sold 3,400 shares of the company’s stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $366.78, for a total transaction of $1,247,052.00. Following the completion of the sale, the executive vice president directly owned 27,404 shares in the company, valued at $10,051,239.12. This represents a 11.04% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Laura K. Thompson sold 270 shares of the firm’s stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $368.45, for a total transaction of $99,481.50. Following the completion of the transaction, the director owned 10,720 shares in the company, valued at $3,949,784. The trade was a 2.46% decrease in their position. The disclosure for this sale is available in the SEC filing. 2.60% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

A number of research firms have commented on WCC. Barclays lifted their target price on WESCO International from $390.00 to $437.00 and gave the company an “overweight” rating in a research report on Monday, October 12th. Stephens upgraded WESCO International from an “equal weight” rating to an “overweight” rating and lifted their target price for the company from $350.00 to $400.00 in a report on Tuesday, July 14th. Weiss Ratings cut shares of WESCO International from a “buy (b)” rating to a “buy (b-)” rating in a report on Friday, October 23rd. Wall Street Zen upgraded shares of WESCO International from a “hold” rating to a “buy” rating in a research report on Saturday, October 24th. Finally, Royal Bank Of Canada lifted their price objective on shares of WESCO International from $430.00 to $435.00 and gave the company an “outperform” rating in a research note on Wednesday, October 14th. Seven research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat.com, WESCO International currently has an average rating of “Moderate Buy” and a consensus target price of $402.83.

More WESCO International News

Here are the key news stories impacting WESCO International this week:

• Positive Sentiment: WESCO reported record third-quarter sales of $7.2 billion, up 16.6% year over year and 8% sequentially. Adjusted diluted EPS reached a record $5.77, well above the $4.61-$4.69 analyst estimates, while revenue also exceeded expectations. Wesco International Tops Q3 Earnings and Revenue Estimates
• Positive Sentiment: Growth was led by data-center demand: sales in that business rose approximately 55% year over year to $1.8 billion. Total backlog increased about 80%, supporting expectations for continued demand tied to data-center and infrastructure investment. Wesco International Tops Q3 2026 Estimates on Data Center Surge
• Positive Sentiment: Profitability and cash generation improved. Operating margin expanded to 6.2%, adjusted EBITDA margin reached 7.8%, operating cash flow was $194 million, and financial leverage declined to 2.8 times from 3.4 times at the end of 2025. Wesco International Reports Record Third Quarter 2026 Results
• Positive Sentiment: Management raised its full-year 2026 earnings guidance and provided an outlook for the fourth quarter, citing record sales, profitability and backlog. The higher outlook reinforces confidence in sustained operating momentum. WESCO International Raises Earnings Guidance for Full Year 2026
• Neutral Sentiment: Despite the earnings and guidance beats, WCC shares have decreased. The move may reflect profit-taking or elevated investor expectations following a substantial rally, rather than deterioration in the reported fundamentals.

WESCO International Company Profile

WESCO International, Inc is a business-to-business provider of electrical, communications, security, and supply chain solutions. The company distributes products used in electrical and electronic systems, including wire and cable, lighting, circuit protection, automation and control equipment, data communications infrastructure, security products, and other electrical and industrial supplies.

WESCO serves a broad range of customers, including electrical and data communications contractors, industrial companies, original equipment manufacturers, utilities, commercial and institutional businesses, government entities, and telecommunications providers.