Is Wex Stock a Good Investment?
Wex Investment Advice | WEX |
- Examine Wex's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Wex's leadership team and their track record. Good management can help Wex navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Data Processing & Outsourced Services space and any emerging trends that could impact Wex's business and its evolving consumer preferences.
- Compare Wex's performance and market position to its competitors. Analyze how Wex is positioned in terms of product offerings, innovation, and market share.
- Check if Wex pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Wex's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Wex Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Wex Inc is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Not Available | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Wex Stock
Researching Wex's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 99.0% of the company outstanding shares are owned by institutional investors. The book value of Wex was at this time reported as 42.15. The company has Price/Earnings To Growth (PEG) ratio of 1.52. Wex Inc recorded earning per share (EPS) of 7.87. The entity had not issued any dividends in recent years. The firm had 11:10 split on the December 17, 2003.
To determine if Wex is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Wex's research are outlined below:
| Wex Inc generated a negative expected return over the last 90 days | |
| Over 99.0% of the company outstanding shares are owned by institutional investors |
Wex uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Wex Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Wex's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 8th of February 2024 Upcoming Quarterly Report | View | |
| 25th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 8th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Wex's market capitalization trends
The company currently falls under 'Mid-Cap' category with a total capitalization of 6.8 B.Wex's profitablity analysis
The company has Net Profit Margin of 0.12 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.3 %, which entails that for every 100 dollars of revenue, it generated $0.3 of operating income.Determining Wex's profitability involves analyzing its financial statements and using various financial metrics to determine if Wex is a good buy. For example, gross profit margin measures Wex's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Wex's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Wex's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Wex Inc. Check Wex's Beneish M Score to see the likelihood of Wex's management manipulating its earnings.
Basic technical analysis of Wex Stock
As of the 24th of December, Wex maintains the Standard Deviation of 2.43, market risk adjusted performance of (0.16), and Mean Deviation of 1.26. Relative to fundamental indicators, the technical analysis model lets you check existing technical drivers of Wex Inc, as well as the relationship between them.Wex's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Wex insiders, such as employees or executives, is commonly permitted as long as it does not rely on Wex's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Wex insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Wex's Outstanding Corporate Bonds
Wex issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Wex Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Wex bonds can be classified according to their maturity, which is the date when Wex Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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| Morgan Stanley 3971 Corp BondUS61744YAL20 | View |
Understand Wex's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Wex's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.16) | |||
| Mean Deviation | 1.26 | |||
| Coefficient Of Variation | (1,001) | |||
| Standard Deviation | 2.43 | |||
| Variance | 5.91 | |||
| Information Ratio | (0.12) | |||
| Jensen Alpha | (0.31) | |||
| Total Risk Alpha | (0.36) | |||
| Treynor Ratio | (0.17) | |||
| Maximum Drawdown | 16.83 | |||
| Value At Risk | (2.20) | |||
| Potential Upside | 1.85 | |||
| Skewness | (3.00) | |||
| Kurtosis | 22.97 |
| Risk Adjusted Performance | (0.07) | |||
| Market Risk Adjusted Performance | (0.16) | |||
| Mean Deviation | 1.26 | |||
| Coefficient Of Variation | (1,001) | |||
| Standard Deviation | 2.43 | |||
| Variance | 5.91 | |||
| Information Ratio | (0.12) | |||
| Jensen Alpha | (0.31) | |||
| Total Risk Alpha | (0.36) | |||
| Treynor Ratio | (0.17) | |||
| Maximum Drawdown | 16.83 | |||
| Value At Risk | (2.20) | |||
| Potential Upside | 1.85 | |||
| Skewness | (3.00) | |||
| Kurtosis | 22.97 |
Consider Wex's intraday indicators
Wex intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Wex stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 959.41 | |||
| Daily Balance Of Power | 0.3656 | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 171.49 | |||
| Day Typical Price | 171.55 | |||
| Price Action Indicator | 0.52 | |||
| Period Momentum Indicator | 0.68 |
Wex Stock media impact
Far too much social signal, news, headlines, and media speculation about Wex that are available to investors today. That information is available publicly through Wex media outlets and privately through word of mouth or via Wex internal channels. However, regardless of the origin, that massive amount of Wex data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Wex news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Wex relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Wex's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Wex alpha.
Wex Corporate Directors
| Daniel Callahan | Independent Director | Profile | |
| John Bachman | Independent Director | Profile | |
| Shikhar Ghosh | Independent Director | Profile | |
| Susan Sobbott | Independent Director | Profile |
Already Invested in Wex Inc?
The danger of trading Wex Inc is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Wex is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Wex. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Wex Inc is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Additional Tools for Wex Stock Analysis
When running Wex's price analysis, check to measure Wex's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Wex is operating at the current time. Most of Wex's value examination focuses on studying past and present price action to predict the probability of Wex's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Wex's price. Additionally, you may evaluate how the addition of Wex to your portfolios can decrease your overall portfolio volatility.