Insight Enterprises Q4 adjusted EPS beats expectations as margins expand

Insight Enterprises

05/02/2026 13:08

Overview

IT solutions provider's Q4 net sales fell 1% yr/yr, missing analyst expectations

Adjusted EPS for Q4 beat analyst expectations, rising 11% yr/yr

Company's Q4 gross profit rose 9%, driven by Cloud and Core Services growth

Outlook

Insight Enterprises expects 2026 adjusted EPS between $10.10 and $10.60, including stock-based compensation

Company projects 2026 adjusted EPS between $11.00 and $11.50, excluding stock-based compensation

Insight Enterprises anticipates 2026 gross margin to be approximately 21%

Result Drivers

CLOUD AND CORE SERVICES - Strong execution in Cloud and Core Services businesses drove record gross profit and margin expansion

SERVICES GROWTH - Services net sales increased 11% year over year, contributing to overall gross profit growth

REGIONAL PERFORMANCE - Gross profit increased across all regions, with notable growth in EMEA and APAC

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Miss
$2.05 bln
$2.08 bln (4 Analysts)
Q4 Adjusted EPS
Beat
$2.96
$2.84 (4 Analysts)
Q4 EPS
$1.67
Q4 Net Income
$51.95 mln
Q4 Gross Margin
23.40%
Q4 Earnings From Operations
$95.22 mln
Q4 Gross Profit
$478.43 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and 1 "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 $120.00, about 47% above its February 4 closing price of $81.65

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nBw7WWyYMa

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(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.)