A need for a large logistics and supply chain network in the era of global trade is almost a given, and this is where Wesco International (NYSE: WCC) enters the scene in providing such services.
Shareholders of the company have possibly had reasons to smile as in the past six months, the stock has gained 10.40%, while the S&P 500 index has lost also exactly 10.40%.
Furthermore, in the latest របាយការណ៍ប្រាក់ចំណូល, the company produced $4.93 billion of revenue, a 22% increase year-on-year (YoY), beating estimates by $310 million. Similarly, earnings per share (EPS) were $3.63, beating estimates by $1.39.
WCC Chart and analysis
In general, shares of the company have had a steady 2022, which cannot be said of many stocks in the S&P 500. Trading sessions in May have seen significant volume increases, and the stock has shot over the November resistance above $141.
Currently, shares trade above all daily ការផ្លាស់ទីវាលសាមញ្ញ, perhaps indicating an accumulation stage where the stock might again test the above $141 level.
Additionally, analysts on Wall Street deem the shares a strong buy, predicting that the average next 12 months price will reach $183.75, representing a potential increase of 38.90% from the current trading price of $132.29.
Abundance of growth
Equally important, the company ទិញ a global distributor of communication and security products in Anixter, in June 2020. This acquisition could help the company in its cross-selling synergies and efforts for complementary services, which is expected to improve margins.
Additionally, the company’s management expects sales for the full year 2022 to increase by 12% to 15%, which would enable them to grow their margin from 7.3% to 7.6%. This all could translate into $1.54 billion in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA).
បង្គត់វាទាំងអស់។
In essence, Wesco has gone through some significant changes in the past few years, acquiring various companies that could fit nicely in their portfolio of offerings.
It seems as if it will be more difficult to judge the company’s historical performance due to these acquisitions, as the new sum of parts has yet to perform for an extended period of time.
Nevertheless, if the company keeps growing its sales and margins, significant growth can still be in the cards for WCC. Recently, the company made the Oppenheimer បញ្ជី of companies likely to outperform in 2022, which could give investors more peace of mind.
ការមិនទទួលខុសត្រូវ៖ ខ្លឹមសារនៅលើគេហទំព័រនេះមិនគួរត្រូវបានចាត់ទុកថាជាដំបូន្មានវិនិយោគទេ។ ការវិនិយោគគឺជាការប៉ាន់ស្មាន។ នៅពេលវិនិយោគ ដើមទុនរបស់អ្នកមានហានិភ័យ។
Source: https://finbold.com/this-small-cap-stock-has-outperformed-the-sp-500-index-in-the-past-6-months/