WESCO International (NYSE:WCC) Issues Quarterly Earnings Results, Beats Expectations By $0.59 EPS

WESCO International (NYSE:WCC) issued its quarterly earnings results on Thursday. The technology company reported $4.57 EPS for the quarter, topping the consensus estimate of $3.98 by $0.59, Zacks reports. The company had revenue of $6.67 billion during the quarter, compared to analyst estimates of $6.44 billion. WESCO International had a net margin of 2.79% and a return on equity of 13.82%. The firm’s revenue was up 13.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $3.83 EPS. WESCO International updated its FY 2026 guidance to 16.000-17.500 EPS.

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

• Record second-quarter results: Sales rose 13% to $6.7 billion, adjusted EBITDA increased 24% to $487 million, and adjusted EPS grew 35% to a record $4.57. Adjusted EBITDA margin expanded 60 basis points to 7.3%.
• Growth was broad-based beyond data centers, with mid-single-digit sales growth excluding data centers. Data center sales increased approximately 45% to $1.5 billion, while EES and UBS also benefited from infrastructure, industrial, OEM, utility, and broadband demand.
• Record backlog rose 60% year over year, including increases of approximately 95% in CSS, 30% in EES, and 80% in UBS. A multiyear grid-services award from a hyperscale customer expands UBS into data-center power infrastructure and is expected to be margin accretive.
• WESCO raised its full-year outlook, now expecting 9%-11% organic sales growth, 10%-12% reported sales growth, a 6.9%-7.1% adjusted EBITDA margin, and adjusted EPS of $16-$17.50. Third-quarter sales are expected to grow at a low-double-digit rate year over year.
• Free cash flow guidance is now $300 million-$600 million as higher sales require additional working-capital investment. Management expects third-quarter EBITDA margin to decline slightly sequentially because of project mix, while public-power competitive dynamics continue to pressure UBS margins.

WESCO International Price Performance

Shares of NYSE:WCC traded up $35.07 during midday trading on Thursday, hitting $344.43. The company’s stock had a trading volume of 1,207,947 shares, compared to its average volume of 623,082. The company has a market cap of $16.78 billion, a P/E ratio of 24.48, a price-to-earnings-growth ratio of 2.07 and a beta of 1.54. WESCO International has a 12-month low of $197.96 and a 12-month high of $377.90. The business’s 50 day simple moving average is $343.56 and its 200 day simple moving average is $313.83. The company has a debt-to-equity ratio of 1.13, a quick ratio of 1.22 and a current ratio of 2.12.

WESCO International Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Friday, June 12th were paid a $0.50 dividend. This represents a $2.00 annualized dividend and a dividend yield of 0.6%. The ex-dividend date of this dividend was Friday, June 12th. WESCO International’s dividend payout ratio (DPR) is currently 14.21%.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on WCC shares. Barclays lifted their target price on shares of WESCO International from $313.00 to $375.00 and gave the company an “overweight” rating in a research report on Monday, May 4th. Wall Street Zen lowered shares of WESCO International from a “buy” rating to a “hold” rating in a research note on Sunday, July 12th. Weiss Ratings upgraded WESCO International from a “hold (c+)” rating to a “buy (b-)” rating in a report on Monday, May 4th. Royal Bank Of Canada boosted their price objective on WESCO International from $411.00 to $421.00 and gave the stock an “outperform” rating in a research note on Thursday, July 16th. Finally, Stephens raised WESCO International from an “equal weight” rating to an “overweight” rating and increased their target price for the company from $350.00 to $400.00 in a report on Tuesday, July 14th. One equities research analyst has rated the stock with a Strong Buy rating and nine have given a Buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Buy” and an average price target of $341.22.

Key WESCO International News

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

• Positive Sentiment: WESCO reported record second-quarter net sales of approximately $6.7 billion, up 13% year over year and 10% sequentially. Organic sales also increased 13%. WESCO International Reports Second Quarter 2026 Results
• Positive Sentiment: Adjusted diluted EPS reached a record $4.57, up about 35% from the prior year and above consensus estimates near $3.96-$3.98. Adjusted EBITDA margin improved to 7.3% from 6.7% a year earlier. WESCO International Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Data-center sales rose roughly 45% to $1.5 billion, while company backlog increased approximately 60% year over year. Investors viewed these trends as evidence of strong demand visibility tied to artificial-intelligence infrastructure and broader capital spending.
• Positive Sentiment: Management raised its 2026 outlook to adjusted EPS of $16.00-$17.50 and revenue of $25.9-$26.3 billion, above consensus revenue expectations of about $25.4 billion. The company also highlighted a multi-year grid-services award from a hyperscale data-center customer and the Newark Engineering acquisition, which expands cooling and lifecycle-service capabilities. WESCO International Raises Outlook After Record Q2 Results
• Neutral Sentiment: Institutional positioning was mixed, with major investors including BlackRock and Wellington adding shares while several other funds reduced holdings. Recent analyst targets have generally remained above the current trading level, but the stock is near its 52-week high.
• Negative Sentiment: Insiders have been net sellers over the past six months, including substantial sales by senior executives. These transactions may reflect compensation or diversification rather than a change in business outlook, but they are a potential cautionary signal.

Insider Activity at WESCO International

In other WESCO International news, CFO David S. Schulz sold 31,951 shares of the stock in a transaction dated Wednesday, May 6th. The shares were sold at an average price of $360.44, for a total value of $11,516,418.44. Following the completion of the sale, the chief financial officer owned 77,038 shares in the company, valued at approximately $27,767,576.72. This represents a 29.32% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Hemant Porwal sold 4,445 shares of the firm’s stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $363.21, for a total transaction of $1,614,468.45. Following the completion of the transaction, the executive vice president directly owned 16,618 shares in the company, valued at $6,035,823.78. This trade represents a 21.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 144,486 shares of company stock worth $51,846,641 in the last 90 days. 2.60% of the stock is owned by insiders.

Hedge Funds Weigh In On WESCO International

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Lazard Asset Management LLC grew its holdings in WESCO International by 1.4% in the 2nd quarter. Lazard Asset Management LLC now owns 4,006 shares of the technology company’s stock valued at $740,000 after buying an additional 54 shares in the last quarter. Parallel Advisors LLC raised its holdings in shares of WESCO International by 11.5% during the 4th quarter. Parallel Advisors LLC now owns 581 shares of the technology company’s stock worth $142,000 after acquiring an additional 60 shares during the period. Brown Brothers Harriman & Co. raised its holdings in shares of WESCO International by 166.0% during the 3rd quarter. Brown Brothers Harriman & Co. now owns 133 shares of the technology company’s stock worth $28,000 after acquiring an additional 83 shares during the period. Third Avenue Management LLC boosted its position in shares of WESCO International by 1.0% during the 4th quarter. Third Avenue Management LLC now owns 20,295 shares of the technology company’s stock valued at $4,965,000 after acquiring an additional 202 shares during the last quarter. Finally, Los Angeles Capital Management LLC acquired a new position in shares of WESCO International during the 4th quarter valued at about $56,000. Institutional investors and hedge funds own 93.75% of the company’s stock.

About WESCO International

WESCO International, Inc is a leading global distributor of electrical, industrial, communications and utility products, serving a diverse customer base across maintenance, repair and operations (MRO), original equipment manufacturing (OEM) and construction markets. The company offers a comprehensive portfolio of products ranging from power distribution and automation solutions to data communications, security systems and lighting controls. Through an extensive branch network, WESCO provides critical components and value‐added services that help organizations streamline operations and improve reliability in their facilities and infrastructure.

In addition to its broad product offering, WESCO delivers advanced supply chain management and logistics solutions designed to optimize inventory levels, reduce downtime and lower overall procurement costs.