Jefferies analyst Trevor Williams said he is "wary" and sees modest risk into Wex's Q4 report as he believes travel data points and early reporting season commentary from others in the sector suggest a continuation of soft Q3 trends. Additionally, he thinks Wex's initial FY20 guidance could miss current Street estimates given his view that the consenuss is embedding fuel prices well above what's implied by the futures curve. While he thinks the stock's valuation "feels fair," he sees potential pressure on estimates as a more likely near-term driver and lowered his price target on Wex shares to $215 from $230 ahead of the report while maintaining a Hold rating on the stock.

Consensus for FY24 EPS is $16.25. Raises FY24 revenue view to $2.73B-$2.77B from $2.70B-$2.74B, consensus $2.73B.

Reports Q1 revenue $652.7M, consensus $654.7M. "WEX delivered impressive financial results in the first quarter, including record first quarter revenue, marking a strong start to 2024 and reinforcing our ability to drive robust performance in any macroeconomic environment," said CEO Melissa Smith. "Moreover, we continued to execute against our strategic initiatives. During the quarter, we made great progress integrating our recent acquisitions, launched the pilot for an enhanced acceptance offering for our North American Mobility customers, and continued to drive innovation to expand our customer value proposition. We are also laser-focused on leveraging technology and AI to improve efficiency and further enhance our offerings. Looking ahead, I remain confident in our ability to drive growth across the business in the near- and long-term."

WEX (WEX) announced that it has reached a new long-term agreement with Booking.com (BKNG), effective April 2024. This agreement distinguishes WEX as Booking.com's preferred virtual card provider as it continues providing WEX payment solutions in support of Booking.com's payments vision to make buying and selling travel-related products and services easier for everyone. "With more than 800,000 active customer relationships worldwide, WEX is proud to work with eight of the top ten online travel agencies globally, including Booking.com," said Carlos Carriedo, WEX's Chief Operating Officer, International. "Building on years of working together, we remain committed to delivering WEX's deep expertise in both payments and travel, as well as the reliability of our technology platform, to help Booking.com power its B2B travel payment activities 24/7 and 365 days/year at scale, globally." Booking.com first became a WEX customer in 2013. Over a decade later, WEX now processes payments for Booking.com across the world.