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WESCO International, Inc.
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$16.9B
Market Cap
18.7
P/E
1.56
PEG
9.0%
ROCE
12.9%
ROE
1.34
D/E
5.4%
OPM
-9.9%
% from 52W High
80
α RS
🔍 WCC is showing a high-conviction setup because it matches 3 of 39 tracked screener presets, Sector RRG has Industrials in the Improving quadrant with the trail still strengthening, and RS Rating is 80. The main caution: margin_expansion's Backtest win rate is only 44.4%. Net: Mixed signal stack, not a recommendation. ? Conviction RRG RS Rating Backtest
Sources
Conviction 3/39 · Industrials in Improving quadrant · RS Rating 80 · Backtest win rate 44.4%
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🌏 Global Investor Returns
Currency-adjusted total returns for WCC including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
📊 Sector Averages
About

WESCO International, Inc. provides business-to-business distribution, logistics services, and supply chain solutions in the United States, Canada, and internationally. It operates through three segments: Electrical & Electronic Solutions (EES), Communications & Security Solutions (CSS), and Utility & Broadband Solutions (UBS). The EES segment offers electrical equipment and supplies, automation and connected devices, security, lighting, wire and cable, and safety, as well as maintenance, repair, and operating (MRO) products. This segment also offers project execution solutions, direct and indirect manufacturing supply chain optimization programs, lighting and renewables advisory services, and digital and automation solutions. The CSS segment provides data center, network infrastructure, and security solutions. This segment sells products directly to security and network, professional audio/visual, and systems integrators, as well as data communications contractors. It also provides professional A/V, safety, facilities, and energy management solutions. The UBS segment offers products and services to investor-owned utilities, electric power cooperatives and municipalities, service and wireless providers, broadband operators, and contractors. This segment’s products include wires and cables, transformers, transmission and distribution hardware, switches, protective devices, connectors, lighting and connectivity products, conduits, fiber and power cables, pole line hardware, racks, cabinets, safety and MRO products, and wireless devices. It also offers fiber project management, high and medium voltage project design and support, pre-wired meters and capacitor banks, meter testing and advanced metering infrastructure installation, personal protective equipment, dielectric testing, and tool repair, as well as emergency response, storage yard, materials, and logistics management solutions. The company was founded in 1922 and is headquartered in Pittsburgh, Pennsylvania.

Key Ratios Snapshot
📈 Growth Pattern
📊 Quick Scorecard
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⭐ Superinvestors Holding WCC
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Manager Shares Value % of Fund Period
Seth Klarman Baupost Group 1.44M $393.2M 7.69% Mar 2026
Steve Cohen Point72 Asset Management 118.4K $32.4M 0.04% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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📊 MIXED WESCO reports record Q1 sales of $6.1B, data center up 70%.
Revenue & Profitability
Revenue was $6.1 billion, up 14% year-over-year. Adjusted EBITDA grew 25% to $389 million, with adjusted EBITDA margin expanding 60 basis points to 6.4%. Adjusted diluted EPS increased 52% to $3.37. Free cash flow was $213 million, representing 128% of adjusted net income. Net debt to adjusted EBITDA stood at 3.2x.
Outlook
Management raised full-year 2026 guidance, expecting reported sales growth of 6%-9% (organic 5%-8%), adjusted EBITDA margin of 6.6%-7%, and adjusted EPS of $15-$17. Macroeconomic uncertainty exists, but no meaningful disruption to revenue or profitability has been observed through April. Data center sales are expected to be up 20%+ for the year.
Growth Drivers
AI-driven data center demand is the primary growth driver, with Q1 data center sales up 70% to $1.4 billion. CSS grew organic sales 22%, EES 7%, and UBS 6%. Significant growth was seen in Wesco Data Center Solutions (CSS up over 60%) and EES data center (up over 100%). Industrial stock and flow grew mid-single digits, and backlog increased double digits across all SBUs.
Balance Sheet & CapEx
Not discussed in this earnings call.
Margins
Adjusted EBITDA margin expanded 60 bps year-over-year to 6.4% in Q1. CSS EBITDA margin improved 110 bps to 9%, EES improved 130 bps to 8.2%, while UBS declined 120 bps to 9.6%. Management expects Q2 enterprise EBITDA margin to be roughly flat year-over-year due to higher incentive compensation (approximately 25 bps headwind).
Key Risks
Macroeconomic uncertainty is noted, but no material impact from tariffs (Wesco is importer of record for low single-digit percent of COGS). Middle East operations generate less than 1% of sales. Extended lead times on switchgear components remain a supply-side constraint. Project timing can cause variability in quarterly results.
Generated by AI · Q1 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-07-30
Record sales, backlog, and profitability were achieved, driven by strong data center and diversified end-market demand. Full-year guidance for sales, EBITDA, and EPS was raised, with major wins in grid services and a strategic acquisition expanding global capabilities.
Q1 2026 Q1 2026 2026-04-30
Record Q1 sales and earnings growth driven by booming data center demand and strong execution across all segments. Backlog and free cash flow reached new highs, prompting a raised full-year outlook for sales, EBITDA, and EPS.
Q4 2025 Q4 2025 2026-02-10
Record sales and strong organic growth in 2025 were driven by data center demand and secular trends. 2026 guidance calls for 5%-8% sales growth, margin expansion, and a significant increase in free cash flow, with continued investment in digital transformation and a focus on high-growth markets.
Q3 2025 Q3 2025 2025-10-30
Record Q3 sales rose 12% year-over-year, led by 60% growth in data center sales and strong gains across all business units. Raised 2025 outlook for sales, EBITDA, and EPS, but lowered free cash flow guidance due to higher working capital needs.
Q2 2025 Q2 2025 2025-07-31
Q2 saw accelerating sales momentum with 7% organic growth, record data center sales up 65%, and strong performance in CSS and EES. Full-year sales outlook was raised, with data center and security segments driving growth, while utility is expected to recover in the second half.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
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Information Sources:
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