Insight Enterprises (NSIT) AI Stock Analysis

• Market Cap: $3.72B
• Dividend Yield: N/A
• Average Volume (3M): 309.64K
• Price to Earnings (P/E): 28.0
• Beta (1Y): 1.20
• Revenue Growth: -7.61%
• EPS Growth: -50.01%
• Country: US
• Employees: 14,324
• Sector: Technology
• Sector Strength: 94
• Industry: Technology Distributors
• EPS (TTM): 2.45
• Shares Outstanding: 31,470,776
• 10 Day Avg. Volume: 390,170
• 30 Day Avg. Volume: 309,637
• PEG Ratio: -2.10
• Price to Book (P/B): 2.77
• Price to Sales (P/S): 0.56
• P/FCF Ratio: 8.38
• Enterprise Value/Market Cap: 1.52
• Enterprise Value/Revenue: 0.68
• Enterprise Value/Gross Profit: 3.30
• Enterprise Value/Ebitda: 14.81
• 1Y Price Target: $154.50
• Price Target Upside: 31.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 64 Neutral
• Price Target: $129.00 ▲(10.02% Upside)

Insight Enterprises' overall score is driven by its mixed financial performance and bearish technical indicators. Despite strong profitability in certain segments and positive corporate actions like share repurchase agreements, the company's high P/E ratio and technical weakness weigh heavily on the score. The balanced sentiment from the earnings call provides some positive offset.

Positive Factors

Earnings

EPS exceeds the forecast: Insight reported non-GAAP EPS of $2.06, which was 5% higher than the forecast and 2% higher than the FactSet consensus forecast.

Future Growth

An acceleration of gross profit growth is expected in 2026 as the pivot to the mid-market matures, the device cycle strengthens, and transformation initiatives gain traction in a better demand environment.

Negative Factors

Earnings Guidance

The 2025 non-GAAP EPS forecast has been reduced mostly due to weaker-than-expected product/services demand.

Revenue

Top line misses forecasts: The company reported total net revenue of $2.09 billion, which was 3% less than both the forecast of $2.15 billion and the FactSet consensus forecast of $2.16 billion.

Insight Enterprises Business Overview & Revenue Model

Company Description

Insight Enterprises, Inc. is a global technology company that focuses on providing cutting-edge digital innovation solutions. The company operates in the information technology sector, offering a comprehensive range of IT products and services designed to help businesses implement, maintain, and enhance their technology infrastructure. Insight Enterprises serves a diverse client base, including businesses, government entities, and healthcare organizations, offering solutions such as cloud services, data center transformation, network security, and digital innovation consulting.

How the Company Makes Money

Insight Enterprises makes money through a multi-faceted revenue model that includes the sale of IT hardware, software, and services. The key revenue streams for the company are derived from the resale of technology products from major manufacturers, including hardware like computers and networking equipment and software solutions. Additionally, Insight Enterprises generates income from its consulting services, which involve advising clients on digital strategy and IT optimization. The company also invests in managed services and cloud solutions, providing clients with ongoing IT support and infrastructure management. Significant partnerships with technology giants such as Microsoft, Cisco, and Dell further bolster its earnings by expanding its product offerings and enhancing its service capabilities.

Insight Enterprises Financial Statement Overview

Summary

Insight Enterprises presents a mixed financial picture. While the company maintains solid operational cash flow and reasonable leverage, its profitability and revenue growth have shown signs of slowing. This combination suggests moderate financial health with potential areas for improvement, especially in boosting sales and net income margins.

Income Statement

The company's TTM (Trailing-Twelve-Months) gross profit margin is 20.58%, which is reasonable for the industry. However, net profit margin declined to 1.79% from previous annual levels, indicating pressure on profitability. Revenue growth shows a downward trend with TTM revenues lower than the previous year's annual figures, reflecting potential challenges in sales growth. EBIT margin at 3.68% and EBITDA margin at 4.58% indicate stable but unremarkable operational efficiency.

Balance Sheet

The debt-to-equity ratio is 0.96, suggesting moderate use of leverage. Return on equity (ROE) has decreased to 9.32%, indicating a decline in shareholder returns. The equity ratio of 18.39% reflects a stable capital structure but could benefit from higher equity levels to cushion against liabilities.

Cash Flow

Operating cash flow to net income ratio is favorable at 1.61, indicating strong cash generation relative to earnings. However, free cash flow growth is negative, suggesting potential issues in maintaining cash reserves. The free cash flow to net income ratio of 1.34 is healthy, but lower compared to historical performance, indicating possible strain on cash flow due to capital investments or operational needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.36B	8.70B	9.18B	10.43B	9.44B	8.34B
Gross Profit	1.72B	1.77B	1.67B	1.64B	1.45B	1.30B
EBITDA	382.90M	388.58M	481.45M	476.52M	385.85M	351.74M
Net Income	149.67M	249.69M	281.31M	280.61M	219.34M	172.64M
Balance Sheet
Total Assets	8.73B	7.45B	6.29B	5.11B	4.69B	4.31B
Cash, Cash Equivalents and Short-Term Investments	309.13M	259.23M	268.73M	163.64M	103.84M	128.31M
Total Debt	1.55B	1.08B	1.17B	637.90M	361.61M	438.69M
Total Liabilities	7.12B	5.68B	4.55B	3.47B	3.18B	2.97B
Stockholders Equity	1.61B	1.77B	1.74B	1.64B	1.51B	1.34B
Cash Flow
Free Cash Flow	200.76M	586.06M	580.28M	27.17M	111.63M	331.40M
Operating Cash Flow	240.88M	632.85M	619.53M	98.11M	163.71M	355.58M
Investing Cash Flow	-36.21M	-303.28M	-505.20M	-137.84M	-21.07M	9.71M
Financing Cash Flow	-161.53M	-321.27M	-16.71M	114.01M	-161.38M	-361.79M

Insight Enterprises Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 117.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NSIT, the sentiment is Negative. The current price of 117.25 is below the 20-day moving average (MA) of 135.20, below the 50-day MA of 135.52, and below the 200-day MA of 151.55, indicating a bearish trend. The MACD of -5.34 indicates Positive momentum. The RSI at 27.77 is Positive, neither overbought nor oversold. The STOCH value of 5.83 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NSIT.

Insight Enterprises Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNX	78 Outperform	$11.66B	16.52	8.83%	1.20%	6.60%	19.93%
CNXN	69 Neutral	$1.53B	18.38	9.78%	0.83%	4.94%	-1.79%
SCSC	69 Neutral	$871.51M	14.24	7.32%	―	-14.07%	-9.65%
ARW	65 Neutral	$6.06B	13.14	7.74%	―	-3.95%	-16.72%
AVT	64 Neutral	$4.35B	14.55	4.83%	2.58%	-6.55%	-49.61%
NSIT	64 Neutral	$3.72B	27.97	8.67%	―	-7.61%	-50.01%
Sector *	57 Neutral	HK$14.13B	9.47	-2.83%	4.86%	9.29%	-48.65%

Insight Enterprises Corporate Events

Insight Enterprises Enters Share Repurchase Agreement

On May 26, 2025, Insight Enterprises entered into a Share Repurchase Agreement with ValueAct Capital, purchasing 600,000 shares of its common stock for approximately $76 million. This transaction, part of Insight’s existing $300 million stock repurchase program, aims to optimize the company’s capital structure and enhance shareholder value. The deal also marks a continued partnership with ValueAct, which will now serve as an advisor to Insight during its transformation into a leading AI Solutions Integrator.

The most recent analyst rating on (NSIT) stock is a Buy with a $225.00 price target. To see the full list of analyst forecasts on Insight Enterprises stock, see the NSIT Stock Forecast page.

Insight Enterprises Holds Annual Stockholders Meeting

On May 13, 2025, Insight Enterprises held its Annual Meeting of Stockholders, where ten directors were elected to serve until the 2026 meeting. The stockholders also approved executive officer compensation and ratified KPMG LLP as the independent public accounting firm for 2025, indicating continued confidence in the company’s leadership and financial oversight.

The most recent analyst rating on (NSIT) stock is a Buy with a $225.00 price target. To see the full list of analyst forecasts on Insight Enterprises stock, see the NSIT Stock Forecast page.