Wesco reported third-quarter organic sales growth of 16.6% year over year, driven by over 50% growth in data center equipment sales. Management raised full-year guidance, and shares traded up over 4% the morning of Oct. 29.
Countercyclical cash generation supports a flexible leverage strategy and enables Wesco to make acquisitions during periods when companies are most likely to be distressed and sold at a discount.
Wesco’s acquisition strategy has potentially diluted returns but fueled much of its past growth.
|
Metric
|
WCC
|
MSM
|
GWW
|
|---|---|---|---|
Price/Earnings (Normalized) | 21.30 | 27.82 | 32.28 |
Price/Book Value | 3.15 | 4.71 | 15.94 |
Price/Sales | 0.67 | 1.68 | 3.53 |
Price/Cash Flow | 14.92 | 15.91 | 25.07 |
|
Metric
|
WCC
|
MSM
|
GWW
|
|---|---|---|---|
Quick Ratio | 1.11 | 0.70 | 1.60 |
Current Ratio | 2.01 | 1.78 | 2.81 |
Interest Coverage | 3.55 | 14.41 | 34.15 |
|
Metric
|
WCC
|
MSM
|
GWW
|
|---|---|---|---|
Return on Assets (Normalized) | 4.88% | 10.58% | 22.16% |
Return on Equity (Normalized) | 16.47% | 18.76% | 53.36% |
Return on Invested Capital (Normalized) | 9.85% | 14.24% | 29.93% |
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1-Day Chart
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Morningstar Rating for Stocks
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United States