The Discounted Cash Flow (DCF) valuation of WEX Inc (WEX) is 183.32 USD. With the latest stock price at 154.19 USD, the upside of WEX Inc based on DCF is 18.9%.
Based on the latest price of 154.19 USD and our DCF valuation, WEX Inc (WEX) is a buy. Buying WEX stocks now will result in a potential gain of 18.9%.
Range | Selected | |
WACC / Discount Rate | 6.5% - 8.2% | 7.3% |
Long-term Growth Rate | 1.0% - 3.0% | 2.0% |
Fair Price | 106.69 - 342.21 | 183.32 |
Upside | -30.8% - 121.9% | 18.9% |
(USD in millions) | Projections | |||||
12-2024 | 12-2025 | 12-2026 | 12-2027 | 12-2028 | 12-2029 | |
Revenue | 2,628 | 2,563 | 2,756 | 2,855 | 2,912 | 3,137 |
% Growth | 3% | -2% | 8% | 4% | 2% | 8% |
Cost of goods sold | (934) | (911) | (979) | (1,014) | (1,035) | (1,115) |
% of Revenue | 36% | 36% | 36% | 36% | 36% | 36% |
Selling, G&A expenses | (712) | (694) | (746) | (773) | (788) | (849) |
% of Revenue | 27% | 27% | 27% | 27% | 27% | 27% |
Research & Development | 0 | 0 | 0 | 0 | 0 | 0 |
% of Revenue | 0% | 0% | 0% | 0% | 0% | 0% |
Net interest & other expenses | (565) | (551) | (593) | (614) | (626) | (675) |
% of Revenue | 22% | 22% | 22% | 22% | 22% | 22% |
Tax expense | (108) | (113) | (121) | (126) | (128) | (138) |
Tax rate | 26% | 28% | 28% | 28% | 28% | 28% |
Net profit | 310 | 295 | 317 | 328 | 335 | 361 |
% Margin | 12% | 11% | 11% | 11% | 11% | 11% |