Company profile

Ticker
WEX
Exchange
Website
CEO
Melissa D. Smith
Employees
Incorporated in
Location
Fiscal year end
Former names
Wright Express CORP
SEC CIK
IRS number
10526993

WEX stock data

(
)

Investment data

Data from SEC filings
Securities sold
Number of investors

Calendar

8 Nov 19
26 Jan 20
31 Dec 20

News

Company financial data Financial data

Quarter (USD) Sep 19 Jun 19 Mar 19 Dec 18
Revenue 459.96M 441.81M 381.88M 381.2M
Net income 43.08M 31.53M 16.13M
Diluted EPS 0.33 0.32 0.37 0.48
Net profit margin 9.37% 7.14% 4.22%
Operating income 118.31M 94.74M 68.94M 93.79M
Net change in cash -236.98M 381.12M -154.22M 8.14M
Cash on hand 531.41M 768.39M 387.27M 541.5M
Cost of revenue 165.68M 160.77M 153.23M
Annual (USD) Dec 18 Dec 17 Dec 16 Dec 15
Revenue 1.49B 1.25B 1.01B 854.64M
Net income 160.27M 60.64M 111.32M
Diluted EPS 3.86 3.71 0.57 2.62
Net profit margin 12.84% 5.99% 13.03%
Operating income 380.64M 233.42M 158.53M 228.79M
Net change in cash 37.98M 312.59M -87.23M -6.61M
Cash on hand 541.5M 503.52M 190.93M 278.16M
Cost of revenue 547.93M 514.29M 458.81M 138.84M

Financial data from WEX earnings reports

98.8% owned by funds/institutions
13F holders
Current Prev Q Change
Total holders 348 335 +3.9%
Opened positions 46 47 -2.1%
Closed positions 33 48 -31.3%
Increased positions 113 119 -5.0%
Reduced positions 116 110 +5.5%
13F shares
Current Prev Q Change
Total value 8.72B 8.92B -2.2%
Total shares 42.78M 42.86M -0.2%
Total puts 436.38K 175.41K +148.8%
Total calls 441.72K 258.2K +71.1%
Total put/call ratio 1.0 0.7 +45.4%
Largest owners
Shares Value Change
Vanguard 4.03M $815.16M +0.9%
Wellington Management 3.96M $800.56M -1.9%
BLK BlackRock 3.86M $780.98M -0.7%
JHG Janus Henderson 3.59M $725.54M -0.8%
Atlanta Capital Management Co L L C 2.22M $448.72M -0.2%
NEU Neuberger Berman 1.51M $304.21M -2.6%
WFC Wells Fargo & Co. 1.44M $290.44M +5.2%
Loring Wolcott & Coolidge Fiduciary Advisors 1.23M $247.69M +0.9%
JPM JPMorgan Chase & Co. 1.16M $235.4M +20.2%
STT State Street 1.03M $207.21M -1.3%
Largest transactions
Shares Bought/sold Change
Balyasny Asset Management 265.62K +261.6K +6499.3%
Williams Jones & Associates 0 -240.88K EXIT
Williams Jones Wealth Management 237.38K +237.38K NEW
Citadel Advisors 10.89K -232.01K -95.5%
Moore Capital Management 0 -200K EXIT
Junto Capital Management 0 -197.29K EXIT
JPM JPMorgan Chase & Co. 1.16M +195.54K +20.2%
Westfield Capital Management 316.99K +184.53K +139.3%
Carlson Capital L P 157.88K +157.88K NEW
United Services Automobile Association 0 -148.85K EXIT

Financial report summary

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Competition
CanadaMastercardExxonmobilVisaPacific
Risks
  • Risks Relating to Our Company
  • A significant portion of our revenues are related to the dollar amount of fuel purchased by our customers, and, as a result, volatility in fuel prices could have an adverse effect on our revenues.
  • A portion of our revenue in Europe is derived from the difference between the negotiated price of the fuel from the supplier and the price charged to the fleet customer. As a result, a contraction in these differences would reduce revenues and could adversely affect our operating results.
  • Changes in interchange fees could decrease our revenue.
  • If we fail to adequately assess and monitor credit risks posed by our customers, we could experience an increase in credit loss.
  • We may incur substantial losses due to fraudulent use of our payment cards, payment systems or vouchers.
  • Fluctuations in foreign currency exchange rates could affect our financial results.
  • Our exposure to counterparty risk could create an adverse effect on our financial condition.
  • We have substantial indebtedness, which may materially and adversely affect our financial flexibility and our ability to meet our debt service obligations.
  • Despite our substantial indebtedness, we may still be able to incur more debt, intensifying the risks described above.
  • Volatility in the financial markets may negatively impact our ability to access credit and the terms at which we would access such credit.
  • Volatility in the financial markets may negatively impact WEX Bank’s ability to attract and retain deposits.
  • Our industrial bank subsidiary is subject to funding risks associated with its reliance on brokered deposits.
  • To service our indebtedness, we will require a significant amount of cash. Our ability to generate cash depends on many factors beyond our control.
  • In an environment of increasing interest rates, interest expense on the variable rate portion of our borrowings would increase and we may not be able to replace our maturing debt with new debt that carries the same interest rates. We may be adversely affected by significant changes in the brokered deposit market.
  • The Dodd-Frank Act may have a significant impact on our business, results of operation and financial condition.
  • Decreased demand for fuel and other vehicle products and services could harm our business and results of operations.
  • Our business is dependent on several key strategic relationships, the loss of which could adversely affect our results of operations.
  • We may never realize the anticipated benefits of acquisitions we have completed or may undertake.
  • We are exposed to risks associated with operations outside of the United States, which could harm both our U.S. and international operations.
  • The United Kingdom’s departure from the EU, or Brexit, could adversely affect us.
  • New laws, regulations and enforcement activities could negatively impact our business and the markets we presently operate in or could limit our expansion opportunities.
  • Laws or regulations developed in one jurisdiction or for one product could result in new laws or regulations in other jurisdictions or for other products.
  • Regulations and industry standards intended to protect or limit access to personal information could adversely affect our ability to effectively provide our services.
  • Changes in our tax rates, the adoption of new U.S. or international tax legislation or exposure to additional tax liabilities could affect our future results.
  • The healthcare industry changes often and technology-enabled services used by consumers are relatively new and unproven.
  • We may incur impairment charges on goodwill or other intangible assets.
  • If our industrial bank subsidiary fails to meet certain criteria, we may become subject to regulation under the Bank Holding Company Act, which could force us to divest WEX Bank or cease all of our non-banking activities, which could have an adverse effect on our revenue and business or could create a default under our 2016 Credit Agreement.
  • The loss or suspension of the charter for our Utah industrial bank or changes in regulatory requirements could be disruptive to operations and increase costs.
  • We are subject to extensive supervision and regulation that could restrict our activities and impose financial requirements or limitations on the conduct of our business and limit our ability to generate income.
  • Our industrial bank subsidiary is subject to regulatory capital requirements that may require us to make capital contributions to this subsidiary, and that may restrict the ability of the subsidiary to make cash available to us.
  • We are subject to limitations on transactions with our industrial bank subsidiary, which may limit our ability to engage in transactions with and obtain credit from our industrial bank.
  • If the technologies we use in operating our business and interacting with our customers fail, are unavailable, or do not operate to expectations, or we fail to successfully implement technology strategies and capabilities in connection with our outsourcing arrangements, our business and results of operation could be adversely impacted.
  • Our business is regularly subject to cyberattacks and attempted security and privacy breaches and we may not be able to adequately protect our information systems, including the data we collect about our customers, which could subject us to liability and damage our reputation.
  • Our failure to effectively implement new technology could jeopardize our position as a leader in our industry.
  • We are dependent on technology systems and electronic communications networks managed by third parties, which could result in our inability to prevent service disruptions.
  • Our industry continues to become increasingly competitive, which makes it more challenging for us to maintain profit margins at historical levels.
  • Compliance with anti-money laundering laws and regulations creates additional compliance costs and reputational risk.
  • Evolution and expansion of our business may subject us to additional regulatory requirements and other risks, for which failure to comply or adapt could harm our operating results.
  • Our increased presence in foreign jurisdictions increases the possibility of foreign law violations or violation of the U.S. Foreign Corrupt Practices Act (“FCPA”), the United Kingdom Bribery Act of 2010 (“UKBA”) and the Brazilian Anti-Corruption Law (“ACL”).
  • The failure to maintain effective systems of internal control over financial reporting and disclosure controls and procedures could result in the inability to accurately report our financial results or prevent material misstatement due to fraud, which could cause current and potential shareholders to lose confidence in our financial reporting, adversely affect the trading price of our securities, harm our operating results or trigger a default under the 2016 Credit Agreement.
  • We have identified material weaknesses in our internal control over financial reporting, and if we are unable to remediate such material weaknesses and to maintain effective internal control over financial reporting in the future, there could be an elevated possibility of a material misstatement, and such a misstatement could cause investors to lose confidence in our financial statements, which could have a material adverse effect on our stock price.
  • Our ability to attract and retain qualified employees is critical to our success and the failure to do so may materially adversely affect our performance.
  • Risks Relating to Our Common Stock
  • If any entity controls 10 percent or more of our common stock and such entity has caused a violation of applicable banking laws by its failure to obtain any required approvals prior to acquiring that common stock, we have the power to, and may be required to, restrict such entity’s ability to vote shares held by it.
  • Provisions in our charter documents, Delaware law and applicable banking law may delay or prevent our acquisition by a third party.
Management Discussion
  • The Company does not allocate foreign currency gains and losses, financing interest expense, unrealized and realized gains and losses on financial instruments, income taxes and adjustments attributable to non-controlling interests to our operating segments as management believes these items are unpredictable and can obscure underlying trends. In addition, the Company does not allocate certain corporate expenses to our operating segments, as these items are centrally controlled and are not directly attributable to any reportable segment.
  • (a) The impact of foreign currency exchange rate fluctuations decreased Fleet Solutions revenue by $1.6 million and $6.2 million in the three and nine months ended September 30, 2019, respectively, compared to the same periods in the prior year.
  • Fleet Solutions revenue increased $28.0 million for the third quarter of 2019 and $56.3 million for the nine months ended September 30, 2019 as compared to the same periods in the prior year, primarily due to higher late fee revenue, payment processing volumes and the acquisition of the Go Fuel Card business. Over half of the late fee and volume increases were due to the onboarding of two major North American oil portfolios. These favorable impacts were partly offset by lower average fuel prices in North America and the impact of foreign currency exchange rate fluctuations.
Content analysis ?
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New words: cooperating, departure, forfeiture, possession, PPG
Removed: advance, affiliated, agreed, ASC, ascribe, Asia, Canada, captured, cardholder, constitute, controlling, customized, daily, derived, determinable, determining, directing, dispute, distinct, EFS, elapsed, evenly, exist, facilitating, FleetOne, governed, indirect, IRS, Lexington, licensing, Likewise, Mustang, obligor, obtain, output, permit, processor, proprietary, quantity, remit, replacement, responsible, return, sponsor, subscription, subsequently, support, tied, Topco, validated, variability, Warburg, WP, XI, Zealand