WEX Gears Up to Report Q4 Earnings: What's in the Cards?

WEX WEX is set to report its fourth-quarter 2025 results on Feb. 4, after the bell.

The company’s earnings surprise history has been impressive. It surpassed the Zacks Consensus Estimate in the trailing four quarters, delivering an earnings surprise of 3.6% on average.

Q4 Expectations for WEX

The Zacks Consensus Estimate for revenues in the to-be-reported quarter is pegged at $659.9 million, indicating an increase of 3.7% year over year. The top line is likely to have increased, collectively due to strong demand for integrated payments, proprietary data and banking services that use payment intelligence to deliver actionable insights for faster and better-informed decisions.

The consensus estimate for Mobility revenues is pegged at $347.1 million, indicating a marginal year-over-year increase. The growth is likely to have been driven by recent innovations like the 104 by WEX app, which is designed to help small trucking businesses and partnerships with Trucker Path, a leading mobile app used by more than 1 million professional truck drivers combining with commercial and government fleet vehicle payment processing services that help clients control spending, optimize routing and improve efficiency across millions of daily transactions.

Meanwhile, fluctuations in fuel prices are likely to have affected the segment revenues as declining fuel prices may have resulted in lower transaction values, leading to lower payment processing revenues, while rising fuel prices might have reduced customers' driving and fuel consumption, resulting in reduced overall transaction volumes.

The consensus estimate for Corporate Payments revenues is pegged at $112.2 million, indicating 7.6% year-over-year growth. The growth is anticipated to have resulted from WEX’s enhanced capabilities to process high volumes of virtual card transactions securely and seamlessly across markets, delivering reliability, speed and compliance while gaining customers’ trust.

The consensus estimate for Benefits revenues is pegged at $200.5 million, indicating a 7.2% year-over-year increase. The overall segment is anticipated to have gained largely due to the worldwide popularity of SaaS (Software-as-a-Service), as this segment provides diverse product offerings and eases the administration of benefits for employers, including consumer-directed health accounts in the United States, both directly and via partners.

The consensus estimate for earnings is pegged at $3.90 per share, indicating year-over-year growth of 9.2%. We expect increasing collective operating income to have benefited the bottom line in the quarter.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for WEX this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks before they're reported with our Earnings ESP Filter.

WEX has an Earnings ESP of +1.16% and currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to Consider

Here are a few stocks from the broader Business Services sector, which, according to our model, have the right combination of elements to beat on earnings this season.

Gartner IT has an Earnings ESP of +0.80% and a Zacks Rank of 3. The company is scheduled to report its fourth-quarter 2025 results on Feb. 3.

The Zacks Consensus Estimate for IT’s fourth-quarter 2025 revenues is pegged at $1.74 billion, indicating year-over-year growth of 1.7%. For earnings, the consensus mark is pegged at $3.50 per share, implying a 35.8% decline from the year-ago quarter’s actual. Gartner beat the consensus estimate in each of the trailing four quarters, with the average earnings surprise being 24.4%.

Coherent COHR has an Earnings ESP of +1.03% and a Zacks Rank of 3. The company is scheduled to announce its fourth-quarter 2025 results on Feb. 4.

The Zacks Consensus Estimate for COHR’s second-quarter fiscal 2026 revenues is pegged at $1.63 billion, indicating 13.9% year-over-year growth. The consensus estimate for earnings is pegged at $1.22 per share, implying a year-over-year increase of 28.4%. Coherent beat the consensus estimate in each of the trailing four quarters, delivering an average earnings surprise of 15.1%.

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This article originally published on Zacks Investment Research (zacks.com).

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