Insight Enterprises Q3 sales beat estimates, lifts gross profit growth outlook

Insight Enterprises

05/11/2026 13:11

Overview
IT solutions provider's Q3 sales rose 22% yr/yr, beating analyst expectations
Adjusted diluted EPS for Q3 rose 34% yr/yr
Net earnings fell 57% due to higher earnout and restructuring costs

Outlook
Insight raises 2026 gross profit growth outlook to 12.5%-14.0%
Company expects 2026 gross margin of about 21.5%
Insight forecasts 2026 adjusted diluted EPS between $13.55 and $13.75

Result Drivers
HARDWARE GROWTH - Co said infrastructure hardware gross profit increased more than 50% yr/yr, driving overall results
CLOUD AND SERVICES - Co said Cloud and Insight Core Services gross profit grew more than 20% yr/yr
HIGHER EXPENSES - Increased earnout valuation adjustments, variable compensation, and acquisition-related costs contributed to higher selling and administrative expenses

Company press release: ID:nBw6KDZMLa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$2.44 bln
$2.15 bln (4 Analysts)
Q3 EPS
 
$0.74
 
Q3 Net Income
 
$22.16 mln
 
Q3 Gross Margin
 
21.40%
 
Q3 Earnings From Operations
 
$68.69 mln
 
Q3 Gross Profit
 
$523.20 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Insight Enterprises Inc is $165.89, about 5.5% below its November 4 closing price of $175.62
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads
Nov 4 - CDW Q3 sales beat estimates on financial services segment
Nov 4 - FIS Q3 revenue beats estimates on acquisition boost
Nov 3 - Arista Networks Q3 revenue beats estimates on strong momentum across customer sectors

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)