Insight Enterprises (NSIT) AI Stock Analysis

• Market Cap: $4.31B
• Dividend Yield: N/A
• Average Volume (3M): 260.50K
• Price to Earnings (P/E): 27.0
• Beta (1Y): 1.10
• Revenue Growth: -8.73%
• EPS Growth: -35.37%
• Country: US
• Employees: 14,324
• Sector: Technology
• Sector Strength: 86
• Industry: Technology Distributors
• EPS (TTM): 2.06
• Shares Outstanding: 31,928,217
• 10 Day Avg. Volume: 267,117
• 30 Day Avg. Volume: 260,505
• PEG Ratio: 0.44
• Price to Book (P/B): 2.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 128.82
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 0.11
• Enterprise Value/Gross Profit: 2.30
• Enterprise Value/Ebitda: 1.94
• 1Y Price Target: $157.67
• Price Target Upside: 16.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 71 Outperform
• Price Target: $150.00 ▲(11.09%Upside)

Insight Enterprises scores a 71, driven primarily by stable financial performance and positive corporate events. However, concerns about valuation and mixed technical indicators temper the outlook. The earnings call provided balanced sentiment, reflecting strengths in AI and partnerships but offset by revenue challenges.

Positive Factors

EPS Performance

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 Expectations

An acceleration of revenue/gross profit growth is expected in 2026 as the device cycle strengthens and transformation initiatives gain traction in a better demand environment.

Investment Rating

Maintaining an OUTPERFORM investment rating on NSIT shares and a 12-month price target of $164.

Negative Factors

EPS Forecast Adjustment

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

Gross Profit Performance

Insight reported gross profit of $406.5 million, which was 3% less than the forecast and the FactSet consensus forecast.

Revenue Performance

The company reported total net revenue of $2.10 billion, which was 4% less than the forecast and the FactSet consensus forecast.

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 stable financial position with solid cash flow and satisfactory profitability. However, challenges in revenue growth and net profit margins indicate room for improvement in cost management.

Income Statement

The TTM (Trailing-Twelve-Months) gross profit margin is 20.55%, which is solid for the industry. However, the net profit margin of 2.26% indicates room for improvement in profitability. Revenue has decreased by 3.17% from the previous year, highlighting a challenge in maintaining growth. The EBIT margin is 3.9%, suggesting moderate operational efficiency.

Balance Sheet

The debt-to-equity ratio is 0.6, indicating a balanced leverage position. Return on equity (ROE) stands at 11.96%, reflecting satisfactory profitability from shareholder investments. The equity ratio is 23.02%, showing a reasonable proportion of equity financing compared to total assets.

Cash Flow

Free cash flow growth rate is negative due to a reduction from the previous year, but the operating cash flow to net income ratio of 2.44 shows strong cash generation relative to profits. The free cash flow to net income ratio of 2.19 underlines robust cash flow compared to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.43B	8.70B	9.18B	10.43B	9.44B	8.34B
Gross Profit	1.73B	1.77B	1.67B	1.64B	1.45B	1.30B
EBITDA	431.14M	388.58M	481.45M	476.52M	385.85M	351.74M
Net Income	190.18M	249.69M	281.31M	280.61M	219.34M	172.64M
Balance Sheet
Total Assets	6.91B	7.45B	6.29B	5.11B	4.69B	4.31B
Cash, Cash Equivalents and Short-Term Investments	321.85M	259.23M	268.73M	163.64M	103.84M	128.31M
Total Debt	961.19M	1.08B	1.17B	637.90M	361.61M	438.69M
Total Liabilities	5.32B	5.68B	4.55B	3.47B	3.18B	2.97B
Stockholders Equity	1.59B	1.77B	1.74B	1.64B	1.51B	1.34B
Cash Flow
Free Cash Flow	416.29M	586.06M	580.28M	27.17M	111.63M	331.40M
Operating Cash Flow	463.72M	632.85M	619.53M	98.11M	163.71M	355.58M
Investing Cash Flow	-303.93M	-303.28M	-505.20M	-137.84M	-21.07M	9.71M
Financing Cash Flow	-211.48M	-321.27M	-16.71M	114.01M	-161.38M	-361.79M

Insight Enterprises Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 135.03
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NSIT, the sentiment is Positive. The current price of 135.03 is above the 20-day moving average (MA) of 133.13, above the 50-day MA of 134.22, and below the 200-day MA of 162.23, indicating a neutral trend. The MACD of 0.05 indicates Negative momentum. The RSI at 51.89 is Neutral, neither overbought nor oversold. The STOCH value of 71.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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	$11.31B	15.75	8.85%	1.30%	6.60%	20.21%
CNXN	75 Outperform	$1.68B	19.99	10.11%	0.91%	4.21%	6.38%
ARW	74 Outperform	$6.60B	17.52	6.68%	―	-11.13%	-43.00%
AVT	73 Outperform	$4.42B	14.76	6.42%	2.51%	-10.52%	-42.40%
NSIT	71 Outperform	$4.31B	27.02	11.37%	―	-8.73%	-35.37%
SCSC	67 Neutral	$947.89M	15.12	7.32%	―	-14.07%	-9.65%
Sector *	49 Neutral	C$2.90B	2.14	-80.91%	2.95%	6.62%	-18.96%

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.

Insight Enterprises Announces Board Member Retirement

On March 28, 2025, Alexander Baum announced his retirement from the Board of Directors of Insight Enterprises, effective at the 2025 Annual Meeting. His departure will result in a reduction of the Board size to 10 directors. The company has also entered into a letter agreement with ValueAct Capital Management to continue sharing confidential information for strategic consultations, indicating ongoing collaboration and strategic alignment.