William Blair has recently reduced WEX Inc (WEX) stock to Mkt Perform rating, as announced on February 6, 2025, according to Finviz. Earlier, on February 6, 2025, BofA Securities had reduced the stock from a Buy to Neutral. Citigroup also reduced Neutral rating with a price target of $190. Additionally, Barclays reduced Equal Weight rating on December 17, 2024, with a target price of $200. Wolfe Research analysts, in their report published on October 28, 2024, also reduced Peer Perform rating for WEX Inc’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
WEX Inc (WEX) Stock Trading Recap
On Tuesday, WEX Inc (WEX) stock saw a decline, ending the day at $153.02 which represents a decrease of $-3.33 or -2.13% from the prior close of $156.35. The stock opened at $156 and touched a low of $151.23 during the day, reaching a high of $157.33. The volume of shares traded was 1.21 million exceeding the average volume of 0.53 million.
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WEX Stock Performance and Moving Averages
In recent trading, WEX Inc (WEX) stock price has shown some volatility, fluctuating -1.07% over the last five trades and 0.62% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -17.89%, and it has plunged by -16.25% in the previous three months. Currently, WEX is trading at -1.22%, -8.98%, and -15.70% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, WEX, a Technology sector stock, is trading -37.30% below its 52-week high but remains 4.79% above its 52-week low. The Average True Range (ATR) (14 days) of 5.11 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
WEX Inc’s Profitability and Valuation Ratios
WEX Inc’s profitability metrics reveal financial health. The company currently boasts an operating margin of 26.33% and a profit margin of 11.78%, with a gross margin of -17.89%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, WEX Inc’s market capitalization stands at $5.94 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 20.39, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 9.14. Additionally, the Price-to-Sales Ratio is 2.26, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 4.01, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 0.83% of WEX Inc (WEX)’s shares, while financial institutions hold 105.46%.
Notable insider trades include Tinto Melanie J, Chief People Officer at WEX Inc (WEX), who sold 3,243 shares on Feb 11 ’25, at $152.65 each, totaling $0.50 million. On Sep 13 ’24, Narula Jagtar, Chief Financial Officer, sold 508 shares for $200.00 each, amounting to $0.10 million. Additionally, on Aug 21 ’24, Deshaies Robert Joseph sold 1,651 shares at $181.67 each, generating $0.30 million.
