WCCWESCO International, Inc.
Is the business good?
The checks split: margins widening, but thin cash backing (0.3×).
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit outpaces operating cash flow, watch accruals and working capital. Conversion is worsening vs a year ago.
Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.
A balanced mix of margins, efficiency, and leverage. ROE 13% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is WCC?
WESCO International, Inc. earns 10% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 1.3 points above what the capital costs: growth creates value
- Operating margin
- 5.4%
Operating margin · Industrial Distribution median 8.3% · 12 months to Q2 2026
- Cash conversion
- 0.26×
Cash conversion · 0.79× a year ago · the operating profit has not turned into cash yet
- Share count, year on year
- 0.00%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 2.8% |
| FY2021 | 4.4% |
| FY2022 | 6.7% |
| FY2023 | 6.3% |
| FY2024 | 5.6% |
| FY2025 | 5.2% |
Details›
- Gross margin12 months to Q2 2026
- 21%
- Operating margin12 months to Q2 2026
- 5.4%
- Net margin12 months to Q2 2026
- 2.8%
- Free cash flow margin
- 0.62%
- Revenue, trailing twelve months
- $25.0B
- Free cash flow, trailing twelve months
- $155M
- Net income, trailing twelve months
- $710M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 10%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Industrial Distribution
Ranks #6 of 17 by RyuScore