Wex Inc is a leading payment solutions company. It provides fleet cards, corporate payment solutions, corporate travel solutions, workforce payment products, and healthcare payment technology. Wex Inc customers include government institutions, oil companies, commercial fleets, and businesses around the world. Wex Inc is headquartered in Portland, Maine, and considered a growth company. If you are looking to invest in IT stocks, then Wex Inc can be a decent candidate to look at.
COVID Continues To Impact Q32020 Earnings
Wex Inc reported its Q32020 earnings results towards the end of October of 2020. Revenues for the third quarter were down 17% year-on-year from $459 million to $382 million. Adjusted net income was also down from $2.59 per share to $1.59 per share.
Company CEO Melissa Smith said, “As expected, the COVID-19 pandemic continues to impact business activity within our customer base. The quarter’s revenue was $382.1 million, an increase of 10% compared to the second quarter. As previously discussed, trends continue to improve as we progress through the year. We’re down 17% compared to the prior-year quarter primarily due to compressed volumes and lower fuel prices.” She further added, “Although profitability remains down due to the impact of COVID, we continue to execute well on the items we can control and drove better-than-expected results for the quarter.”
IT Stocks To Buy Right Now
Wex Inc’s stock has had a challenging year. It is down more than 9% for the past year but up significantly since the March market crash. The stock is up to $201 on 22nd January 2021 from the lows of $83 hit in March 2020. Another similar business is Fleetcor. Its stock is down 15% over one year and up from $172 in March 2020 to $267 on 22nd January 2021. Another peer, Broadridge Financial Solutions, is up 13% for the past year.