WEX (WEX) Stock: Is it Undervalued with a Zacks Rank #2 (Buy) and A Value Grade?

WEX (WEX) stock is undervalued according to its low P/E ratio of 10.98, compared to its industry average of 22.19. Its P/B ratio of 6.15 and P/S ratio of 2.32 also suggest value. The stock has a Zacks Rank #2 (Buy) and an A grade in the Value category.

Title: WEX Inc. (WEX) Stock: Analysts Raise Price Target Amid Strong Earnings

WEX Inc. (WEX), a leading financial technology service provider, has seen a significant boost in its stock price target by Barclays analyst Ramsey El-Assal. The analyst raised the price target for WEX from $135.00 to $170.00, an approximate increase of 25.93% [1]. This adjustment suggests a positive outlook for the company, with the new price target effective from July 28, 2025.

The current analyst rating for WEX remains unchanged at "Equal-Weight," indicating a neutral stance on the stock. The previous rating was also "Equal-Weight," reflecting consistent confidence in the company's market position. According to GuruFocus estimates, the estimated GF Value for WEX Inc. (WEX) in one year is $251.05, suggesting an upside of 43.65% from the current price of $174.76 [1].

WEX Inc. reported its second-quarter 2025 earnings, with revenue of $659.6 million, a decrease of 2.1% year-over-year. Adjusted net income per diluted share was $3.95, an increase of 1% compared to the same quarter last year. The company's Mobility, Benefits, and Corporate Payments segments performed in line with expectations, with Mobility delivering fleet payment solutions, transaction processing, and data-driven insights globally [2].

Analysts' consensus recommendation for WEX Inc. (WEX) is currently 2.7, indicating a "Hold" status. The average target price from 10 analysts is $176.69, with a high estimate of $200.00 and a low estimate of $150.00. The average target implies an upside of 1.10% from the current price of $174.76 [1].

WEX Inc. (WEX) stock is currently trading at a low P/E ratio of 10.98, compared to its industry average of 22.19. Its P/B ratio of 6.15 and P/S ratio of 2.32 also suggest value. The stock has a Zacks Rank #2 (Buy) and an A grade in the Value category, indicating strong potential for investors [1].

References

[1] https://www.gurufocus.com/news/3009187/barclays-raises-price-target-for-wex-to-170-wex-stock-news
[2] https://www.marketscreener.com/news/wex-second-quarter-2025-transcript-ce7c5fd8de89f72d