Insight Enterprises (NASDAQ:NSIT) Releases Quarterly Earnings Results, Beats Expectations By $0.14 EPS

Insight Enterprises (NASDAQ:NSIT) issued its earnings results on Thursday. The software maker reported $2.96 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.82 by $0.14, FiscalAI reports. The business had revenue of $2.05 billion for the quarter, compared to analyst estimates of $2.08 billion. Insight Enterprises had a net margin of 1.72% and a return on equity of 19.20%. The company’s revenue for the quarter was down 1.2% on a year-over-year basis. During the same quarter in the prior year, the business posted $2.66 EPS. Insight Enterprises updated its FY 2026 guidance to 11.000-11.500 EPS.

Here are the key takeaways from Insight Enterprises’ conference call:

• Insight reported Q4 net revenue of $2.0B (down 1%) but delivered record gross profit and expanded margins to 23.4%, driving Q4 adjusted diluted EPS of $2.96 (+11%) and record adjusted earnings from operations of $504M for FY2025.
• Cloud and core services were primary growth drivers — Q4 cloud gross profit rose 11% and FY cloud gross profit hit a record $495M, while core services gross profit grew 16% in Q4 to a record $320M (margin >32%), helped by acquisitions (Inspire11, Sekuro) and stronger advisory/cross‑sell momentum (including the new Prism AI platform).
• 2026 guidance is cautious: the company expects low‑single‑digit gross profit growth and ~21% gross margin, with adjusted diluted EPS of $10.10–$10.60 (or $11.00–$11.50 excluding stock‑based comp) and results weighted to the first half as corporate/large‑enterprise spending remains subdued.
• Liquidity and capital moves include ~$300M cash from operations in 2025, an increased buyback authorization (~$299M) and a planned $75M repurchase starting Q1, while total debt rose to ~$1.4B after acquisitions and warrant settlements.
• Key near‑term headwinds — a ~$70M gross profit impact from prior partner program changes (with a tail into 2026, concentrated in the Google/SADA solution line into H2) and expected memory/supply constraints that could raise PC and infrastructure prices and pressure unit demand.

Insight Enterprises Price Performance

Shares of NASDAQ NSIT traded up $1.10 during midday trading on Thursday, reaching $82.75. The company’s stock had a trading volume of 296,147 shares, compared to its average volume of 417,939. Insight Enterprises has a one year low of $77.10 and a one year high of $181.92. The company has a market cap of $2.56 billion, a price-to-earnings ratio of 19.22, a price-to-earnings-growth ratio of 0.38 and a beta of 0.93. The company has a 50 day moving average price of $83.51 and a 200 day moving average price of $104.04. The company has a current ratio of 1.30, a quick ratio of 1.27 and a debt-to-equity ratio of 0.88.

Institutional Investors Weigh In On Insight Enterprises

A number of institutional investors and hedge funds have recently modified their holdings of NSIT. EverSource Wealth Advisors LLC increased its stake in Insight Enterprises by 26.0% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 775 shares of the software maker’s stock worth $107,000 after purchasing an additional 160 shares in the last quarter. State of Wyoming bought a new stake in shares of Insight Enterprises in the 2nd quarter valued at approximately $184,000. Integrated Wealth Concepts LLC bought a new stake in Insight Enterprises in the first quarter worth approximately $221,000. Cerity Partners LLC increased its position in Insight Enterprises by 22.7% during the second quarter. Cerity Partners LLC now owns 1,643 shares of the software maker’s stock worth $227,000 after buying an additional 304 shares during the last quarter. Finally, Blair William & Co. IL increased its holdings in shares of Insight Enterprises by 18.1% during the 3rd quarter. Blair William & Co. IL now owns 2,598 shares of the software maker’s stock valued at $295,000 after acquiring an additional 398 shares during the last quarter.

Analyst Ratings Changes

Several brokerages recently issued reports on NSIT. Canaccord Genuity Group began coverage on Insight Enterprises in a research note on Wednesday, November 19th. They set a “hold” rating and a $100.00 price objective on the stock. Weiss Ratings cut shares of Insight Enterprises from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Monday, January 5th. JPMorgan Chase & Co. reissued an “underweight” rating and issued a $90.00 price target (down previously from $117.00) on shares of Insight Enterprises in a research note on Monday, December 15th. Wall Street Zen raised Insight Enterprises from a “hold” rating to a “buy” rating in a report on Saturday, January 10th. Finally, Barrington Research reaffirmed an “outperform” rating and issued a $120.00 price objective on shares of Insight Enterprises in a report on Tuesday, January 27th. One analyst has rated the stock with a Buy rating, one has issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Reduce” and a consensus price target of $103.33.

Insight Enterprises Company Profile

Insight Enterprises, Inc is a global technology provider headquartered in Tempe, Arizona. Founded in 1988, the company specializes in helping organizations harness the power of digital transformation by offering a comprehensive portfolio of IT hardware, software, cloud and licensing management solutions. Insight’s expertise spans across the full technology lifecycle, from initial strategy and consulting to implementation, integration and ongoing managed services.

At the core of Insight’s business are its consulting and professional services, which guide clients through complex technology environments and ensure optimal deployment of solutions.