WESCO International (NYSE:WCC) Posts Earnings Results, Beats Estimates By $0.59 EPS

WESCO International (NYSE:WCC) released its earnings results on Thursday. The technology company reported $4.57 earnings per share for the quarter, topping analysts’ consensus estimates of $3.98 by $0.59, Zacks reports. The firm had revenue of $6.67 billion for 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 business’s quarterly revenue was up 13.0% compared to the same quarter last year. During the same period in the prior year, the firm earned $3.83 earnings per share. 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 Stock Up 11.3%

Shares of NYSE:WCC traded up $35.07 during trading on Thursday, hitting $344.43. 1,207,948 shares of the company were exchanged, compared to its average volume of 623,082. The stock has a market capitalization of $16.78 billion, a P/E ratio of 24.48, a PEG ratio of 2.07 and a beta of 1.54. The company has a debt-to-equity ratio of 1.13, a current ratio of 2.12 and a quick ratio of 1.22. WESCO International has a 12-month low of $197.96 and a 12-month high of $377.90. The firm’s 50 day moving average price is $343.56 and its 200-day moving average price is $313.83.

WESCO International Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Friday, June 12th were issued a dividend of $0.50 per share. The ex-dividend date of this dividend was Friday, June 12th. This represents a $2.00 dividend on an annualized basis and a yield of 0.6%. WESCO International’s dividend payout ratio (DPR) is presently 14.21%.

Key Stories Impacting WESCO International

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.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the stock. Wall Street Zen downgraded shares of WESCO International from a “buy” rating to a “hold” rating in a research note on Sunday, July 12th. Weiss Ratings raised shares of WESCO International from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Monday, May 4th. DA Davidson started coverage on shares of WESCO International in a research note on Tuesday, June 16th. They set a “buy” rating and a $440.00 target price for the company. KeyCorp increased their target price on WESCO International from $340.00 to $415.00 and gave the company an “overweight” rating in a report on Friday, May 1st. Finally, Barclays raised their price target on WESCO International from $313.00 to $375.00 and gave the company an “overweight” rating in a research note on Monday, May 4th. 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 a consensus price target of $341.22.

Insiders Place Their Bets

In related news, EVP Diane Lazzaris sold 9,910 shares of the stock in a transaction on Wednesday, May 6th. The shares were sold at an average price of $359.48, for a total value of $3,562,446.80. Following the transaction, the executive vice president directly owned 19,611 shares of the company’s stock, valued at $7,049,762.28. This trade represents a 33.57% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO John Engel sold 79,440 shares of WESCO International stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $358.75, for a total transaction of $28,499,100.00. Following the sale, the chief executive officer owned 478,946 shares in the company, valued at $171,821,877.50. This represents a 14.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 144,486 shares of company stock worth $51,846,641. 2.60% of the stock is currently owned by company insiders.

Institutional Trading of WESCO International

Institutional investors and hedge funds have recently made changes to their positions in the company. Brown Brothers Harriman & Co. boosted its position in shares of WESCO International by 166.0% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 133 shares of the technology company’s stock valued at $28,000 after purchasing an additional 83 shares during the period. Los Angeles Capital Management LLC purchased a new stake in WESCO International in the fourth quarter valued at approximately $56,000. Parallel Advisors LLC boosted its holdings in shares of WESCO International by 11.5% in the fourth quarter. Parallel Advisors LLC now owns 581 shares of the technology company’s stock valued at $142,000 after acquiring an additional 60 shares during the period. Danske Bank A S acquired a new stake in shares of WESCO International in the third quarter valued at approximately $127,000. Finally, EverSource Wealth Advisors LLC grew its position in shares of WESCO International by 95.6% during the second quarter. EverSource Wealth Advisors LLC now owns 753 shares of the technology company’s stock worth $139,000 after acquiring an additional 368 shares during the last quarter. 93.75% of the stock is owned by hedge funds and other institutional investors.

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.