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

WESCO International (NYSE:WCC) released its earnings results on Thursday. The technology company reported $4.57 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.98 by $0.59, Zacks reports. The company had revenue of $6.67 billion for the quarter, compared to the consensus estimate of $6.44 billion. WESCO International had a net margin of 2.84% and a return on equity of 14.95%. WESCO International’s quarterly revenue was up 13.0% compared to the same quarter last year. During the same quarter in the previous year, the company 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 Stock Up 0.5%

WCC traded up $1.65 during midday trading on Friday, reaching $344.32. 585,361 shares of the company were exchanged, compared to its average volume of 778,316. The company has a market cap of $16.77 billion, a price-to-earnings ratio of 23.80, a price-to-earnings-growth ratio of 2.13 and a beta of 1.54. WESCO International has a one year low of $197.96 and a one year high of $377.90. The company’s fifty day moving average price is $342.99 and its 200 day moving average price is $314.57. The company has a debt-to-equity ratio of 1.13, a quick ratio of 1.22 and a current ratio of 2.09.

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. This represents a $2.00 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend was Friday, June 12th. WESCO International’s payout ratio is currently 14.21%.

Key Headlines Impacting WESCO International

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

• Positive Sentiment: WESCO reported record second-quarter sales of approximately $6.7 billion, up 13% year over year and above the roughly $6.44 billion analyst estimate. Adjusted EPS reached a record $4.57, exceeding consensus estimates near $3.98 and rising from $3.83 a year earlier. WESCO International Reports Second Quarter 2026 Results
• Positive Sentiment: Data-center sales increased about 45% year over year to $1.5 billion, while total company backlog grew approximately 60%. The figures provide stronger demand visibility and reinforce investor optimism about data-center, electrical infrastructure and grid-related spending.
• Positive Sentiment: Management raised its fiscal 2026 outlook to adjusted EPS of $16.00–$17.50 and revenue of $25.9–$26.3 billion, above the prior consensus revenue estimate of about $25.4 billion. Adjusted EBITDA margin also improved to 7.3% from 6.7% a year earlier. Wesco International Raises Outlook After Record Q2 Results
• Positive Sentiment: Royal Bank of Canada raised its price target from $421 to $430 and reiterated an “outperform” rating, signaling continued confidence in WCC’s earnings momentum and backlog-driven growth potential. Benzinga analyst action
• Neutral Sentiment: WESCO highlighted a significant multiyear grid-services award from a hyperscale data-center customer and the Newark Engineering acquisition, which expands its cooling and lifecycle capabilities. These initiatives may strengthen long-term growth but also require execution.
• Negative Sentiment: Reported operating cash flow was $54 million and free cash flow was $32 million, relatively modest compared with the company’s revenue scale. In addition, disclosed insider activity over the past six months was heavily weighted toward sales, although one insider purchase was also reported.

Insider Buying and Selling

In related news, CEO John Engel sold 79,440 shares of WESCO International stock in a transaction that occurred 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 transaction, the chief executive officer owned 478,946 shares of the company’s stock, valued at $171,821,877.50. The trade was a 14.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CFO David S. Schulz sold 31,951 shares of the company’s stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $360.44, for a total value of $11,516,418.44. Following the sale, the chief financial officer owned 77,038 shares of the company’s stock, valued at $27,767,576.72. This trade represents a 29.32% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 144,486 shares of company stock valued at $51,846,641. 2.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the company. Brown Brothers Harriman & Co. grew its position in WESCO International by 166.0% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 133 shares of the technology company’s stock worth $28,000 after purchasing an additional 83 shares in the last quarter. Los Angeles Capital Management LLC bought a new position in shares of WESCO International during the 4th quarter worth approximately $56,000. Parallel Advisors LLC boosted its stake in shares of WESCO International by 11.5% in the 4th quarter. Parallel Advisors LLC now owns 581 shares of the technology company’s stock worth $142,000 after buying an additional 60 shares during the last quarter. Danske Bank A S bought a new position in shares of WESCO International in the third quarter valued at approximately $127,000. Finally, EverSource Wealth Advisors LLC grew its holdings in shares of WESCO International by 95.6% in the second quarter. EverSource Wealth Advisors LLC now owns 753 shares of the technology company’s stock valued at $139,000 after acquiring an additional 368 shares in the last quarter. 93.75% of the stock is owned by institutional investors.

Analyst Ratings Changes

WCC has been the subject of several research analyst reports. Barclays lifted their price target on shares of WESCO International from $313.00 to $375.00 and gave the company an “overweight” rating in a research note on Monday, May 4th. Stephens raised WESCO International from an “equal weight” rating to an “overweight” rating and upped their price target for the stock from $350.00 to $400.00 in a research note on Tuesday, July 14th. DA Davidson began coverage on WESCO International in a report on Tuesday, June 16th. They issued a “buy” rating and a $440.00 price target on the stock. KeyCorp raised their price objective on WESCO International from $340.00 to $415.00 and gave the company an “overweight” rating in a research note on Friday, May 1st. Finally, Weiss Ratings upgraded WESCO International from a “hold (c+)” rating to a “buy (b-)” rating in a report on Monday, May 4th. Nine investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat, the stock currently has an average rating of “Buy” and an average target price of $355.00.

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.