Data last refreshed 17 days ago — analysis may not reflect the latest market data

WEXWEX

US

CAUTIOUS

$145.51

P/E

16.33

PEG

1.10

FCF Yield

Rev Growth YoY

+3.3% YoY

Gross Margin

62.9%

Health Score

3/10

D/E Ratio

3.94

Confidence

LOW


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Business Snapshot

WEX (WEX) is a financial technology services provider, primarily known for its fleet card payment solutions and corporate payment systems for businesses. The company operates in the specialized payments processing market, holding a competitive position as a significant challenger in the fleet and fuel card space alongside broader commercial payment networks. With a market cap that is not available in this data set, and no TTM revenue figure available, the company’s absolute financial scale is partially obscured; however, its niche focus suggests it competes in a specialized segment. A defining characteristic of WEX is its reliance on transaction-based revenue from its fleet and corporate payment solutions, creating an economic sensitivity to fuel prices and commercial activity levels but also a degree of recurring transaction volume.

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Financial Health

Gross margin stands at 62.9% with no prior-year figure for comparison, while net margin is 11.5%, indicating the company retains a reasonable portion of revenue after all expenses. The business carries a high debt/equity ratio of 3.94x, indicating significant financial leverage, and a low current ratio of 0.54x, suggesting potential near-term liquidity constraints relative to current liabilities...

Risk Assessment

  • DEBT / LIQUIDITY — Debt/equity of 3.94x indicates a highly leveraged balance sheet, while a current ratio of 0.54x signals potential short-term liquidity risk.
  • EARNINGS QUALITY — The company has beaten estimates in all 4 recent quarters, which is a positive indicator, so this category does not present a risk.
  • VALUATION — P/B ratio of 4.14x may be considered elevated for a company with a P/E of 16.33x, though this is sector-dependent.
  • TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
  • FCF / CASH BURN — Free cash flow data is unavailable, preventing an assessment of the company's cash generation or potential cash burn risk....

Gross margin stands at 62.9% with no prior-year figure for comparison, while net margin is 11.5%, indicating the company retains a reasonable portion of revenue after all expenses. The business carries a high debt/equity ratio of 3.94x, indicating significant financial leverage, and a low current ratio of 0.54x, suggesting potential near-term liquidity constraints relative to current liabilities. Return on equity is a robust 27.0%, which is a positive sign of profitability on shareholder equity, but this metric is amplified by the high leverage. Free cash flow and FCF yield data are not available, making it impossible to assess the company's cash generation ability or its capacity to service its debt. Overall, the financial health is weakened by the heavy debt load and thin liquidity position.

- DEBT / LIQUIDITY — Debt/equity of 3.94x indicates a highly leveraged balance sheet, while a current ratio of 0.54x signals potential short-term liquidity risk. - EARNINGS QUALITY — The company has beaten estimates in all 4 recent quarters, which is a positive indicator, so this category does not present a risk. - VALUATION — P/B ratio of 4.14x may be considered elevated for a company with a P/E of 16.33x, though this is sector-dependent. - TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed. - FCF / CASH BURN — Free cash flow data is unavailable, preventing an assessment of the company's cash generation or potential cash burn risk.

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Full 8-section analysis includes:

Financial Health
Growth Momentum
Valuation Snapshot
Risk Flags
Sentiment & News
Technical Snapshot
Full Verdict with Confidence Rating
Last updated 420 hours ago · Data sourced from FMP & Finnhub · Not financial advice