Latest news with #InsightEnterprises
Yahoo
2 days ago
- Business
- Yahoo
1 Cash-Producing Stock on Our Buy List and 2 We Question
Generating cash is essential for any business, but not all cash-rich companies are great investments. Some produce plenty of cash but fail to allocate it effectively, leading to missed opportunities. Not all companies are created equal, and StockStory is here to surface the ones with real upside. Keeping that in mind, here is one cash-producing company that leverages its financial strength to beat its competitors and two best left off your watchlist. Two Stocks to Sell: Iridium (IRDM) Trailing 12-Month Free Cash Flow Margin: 33.9% With a constellation of 66 low-earth orbit satellites providing coverage to every inch of the planet, Iridium Communications (NASDAQ:IRDM) operates a global satellite network that provides voice and data services to customers in remote areas where traditional telecommunications are unavailable. Why Are We Cautious About IRDM? Subscale operations are evident in its revenue base of $841.7 million, meaning it has fewer distribution channels than its larger rivals 3.2 percentage point decline in its free cash flow margin over the last five years reflects the company's increased investments to defend its market position Underwhelming 4.4% return on capital reflects management's difficulties in finding profitable growth opportunities Iridium's stock price of $33 implies a valuation ratio of 21.8x forward P/E. Read our free research report to see why you should think twice about including IRDM in your portfolio, it's free. Insight Enterprises (NSIT) Trailing 12-Month Free Cash Flow Margin: 4.9% With over 35 years of IT expertise and partnerships with more than 8,000 technology providers, Insight Enterprises (NASDAQ:NSIT) provides end-to-end digital transformation solutions that help businesses modernize their IT infrastructure and maximize the value of technology. Why Do We Steer Clear of NSIT? Products and services are facing significant end-market challenges during this cycle as sales have declined by 8.7% annually over the last two years Earnings growth underperformed the sector average over the last two years as its EPS grew by just 1.6% annually Lacking free cash flow generation means it has few chances to reinvest for growth, repurchase shares, or distribute capital At $139.39 per share, Insight Enterprises trades at 13.9x forward P/E. To fully understand why you should be careful with NSIT, check out our full research report (it's free). One Stock to Buy: Blue Bird (BLBD) Trailing 12-Month Free Cash Flow Margin: 6.4% With around a century of experience, Blue Bird (NASDAQ:BLBD) is a manufacturer of school buses and complementary parts. Why Is BLBD a Top Pick? Market share has increased this cycle as its 16.5% annual revenue growth over the last two years was exceptional Incremental sales over the last two years have been highly profitable as its earnings per share increased by 156% annually, topping its revenue gains Returns on capital are growing as management capitalizes on its market opportunities Blue Bird is trading at $42.33 per share, or 10x forward P/E. Is now a good time to buy? Find out in our full research report, it's free. High-Quality Stocks for All Market Conditions Donald Trump's April 2024 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities. The smart money is already positioning for the next leg up. Don't miss out on the recovery - check out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
6 days ago
- Business
- Business Wire
Insight Enterprises, Inc. to Report Second Quarter 2025 Financial Results on July 31, 2025
CHANDLER, Ariz.--(BUSINESS WIRE)-- Insight Enterprises, Inc. (Nasdaq: NSIT) (the 'Company') today announced that it will release financial results for the quarter ended June 30, 2025, prior to market open on July 31, 2025, and will also host a conference call and live webcast at 9:00 a.m. ET to discuss the results of operations. The live webcast and replays of the conference call can be accessed at: To access the live conference call, please register in advance using this event link. Upon registering, participants will receive dial-in information via email, as well as a unique registrant ID, event passcode, and detailed instructions regarding how to join the call. About Insight Insight Enterprises is a leading Solutions Integrator that helps clients solve technology challenges by combining the right hardware, software, and services. We're a global Fortune 500 technology company with a network of over 6,000 partners and experts around the world who provide access to end-to-end IT capabilities. For more than 35 years, we have delivered and optimized technology solutions for our clients efficiently, effectively, and safely. We are rated as a Great Place to Work, a Forbes World's Best Employer, and a Fortune World's Best Workplace. Discover more at NSIT-F
Yahoo
10-07-2025
- Business
- Yahoo
Right Tail Capital Decided to Hold a Small Portion of Insight Enterprises (NSIT)
Right Tail Capital, an investment management company, released its second-quarter 2025 investor letter. A copy of the letter can be downloaded here. Right Tail aims to generate high after-tax returns by investing in high-quality public companies for the long term. The letter discussed the three-year journey of Right Tail Capital since its inception. The firm has grown from approximately $3 million in AUM initially to about $27 million today. In addition, you can check the fund's top 5 holdings to determine its best picks for 2025. In its second quarter 2025 investor letter, Right Tail Capital highlighted stocks such as Insight Enterprises, Inc. (NASDAQ:NSIT). Insight Enterprises, Inc. (NASDAQ:NSIT) offers information technology, hardware, software, and services. The one-month return of Insight Enterprises, Inc. (NASDAQ:NSIT) was 9.07%, and its shares lost 25.97% of their value over the last 52 weeks. On July 9, 2025, Insight Enterprises, Inc. (NASDAQ:NSIT) stock closed at $145.44 per share, with a market capitalization of $4.644 billion. Right Tail Capital stated the following regarding Insight Enterprises, Inc. (NASDAQ:NSIT) in its second quarter 2025 investor letter: "Insight Enterprises, Inc. (NASDAQ:NSIT) (NSIT; exited mid 2025). I discussed NSIT in our Q3 2024 shareholder letter. I considered this part of an investment alongside CDW. For our 2+ year holding period, NSIT was a pretty good investment with the stock arguably performing better than the business. With murky company fundamentals and potential positive change agent ValueAct selling some of their position, I thought it was best to move on from this small position." A professional at a computerscreen, working on a complex hardware solution. Insight Enterprises, Inc. (NASDAQ:NSIT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 25 hedge fund portfolios held Insight Enterprises, Inc. (NASDAQ:NSIT) at the end of the first quarter, which was 26 in the previous quarter. Insight Enterprises, Inc. (NASDAQ:NSIT) generated net revenue of $2.1 billion in the first quarter of 2025, marking a 12% decline from Q1 2024. While we acknowledge the potential of NSIT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. In another article, we covered Insight Enterprises, Inc. (NASDAQ:NSIT) and shared Prosper Stars & Stripes Fund's views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-07-2025
- Business
- Yahoo
An Intrinsic Calculation For Insight Enterprises, Inc. (NASDAQ:NSIT) Suggests It's 27% Undervalued
The projected fair value for Insight Enterprises is US$198 based on 2 Stage Free Cash Flow to Equity Insight Enterprises is estimated to be 27% undervalued based on current share price of US$144 Our fair value estimate is 18% higher than Insight Enterprises' analyst price target of US$169 How far off is Insight Enterprises, Inc. (NASDAQ:NSIT) from its intrinsic value? Using the most recent financial data, we'll take a look at whether the stock is fairly priced by estimating the company's future cash flows and discounting them to their present value. This will be done using the Discounted Cash Flow (DCF) model. Before you think you won't be able to understand it, just read on! It's actually much less complex than you'd imagine. Companies can be valued in a lot of ways, so we would point out that a DCF is not perfect for every situation. For those who are keen learners of equity analysis, the Simply Wall St analysis model here may be something of interest to you. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. We are going to use a two-stage DCF model, which, as the name states, takes into account two stages of growth. The first stage is generally a higher growth period which levels off heading towards the terminal value, captured in the second 'steady growth' period. To start off with, we need to estimate the next ten years of cash flows. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, and so the sum of these future cash flows is then discounted to today's value: 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Levered FCF ($, Millions) US$282.9m US$383.0m US$379.0m US$379.6m US$383.4m US$389.4m US$397.2m US$406.2m US$416.2m US$427.1m Growth Rate Estimate Source Analyst x3 Analyst x1 Est @ -1.04% Est @ 0.16% Est @ 0.99% Est @ 1.58% Est @ 1.99% Est @ 2.27% Est @ 2.47% Est @ 2.61% Present Value ($, Millions) Discounted @ 8.3% US$261 US$327 US$299 US$276 US$258 US$242 US$228 US$215 US$203 US$193 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$2.5b We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.9%. We discount the terminal cash flows to today's value at a cost of equity of 8.3%. Terminal Value (TV)= FCF2035 × (1 + g) ÷ (r – g) = US$427m× (1 + 2.9%) ÷ (8.3%– 2.9%) = US$8.2b Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$8.2b÷ ( 1 + 8.3%)10= US$3.7b The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is US$6.2b. To get the intrinsic value per share, we divide this by the total number of shares outstanding. Compared to the current share price of US$144, the company appears a touch undervalued at a 27% discount to where the stock price trades currently. Valuations are imprecise instruments though, rather like a telescope - move a few degrees and end up in a different galaxy. Do keep this in mind. The calculation above is very dependent on two assumptions. The first is the discount rate and the other is the cash flows. If you don't agree with these result, have a go at the calculation yourself and play with the assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Insight Enterprises as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 8.3%, which is based on a levered beta of 1.233. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. View our latest analysis for Insight Enterprises Strength Debt is well covered by earnings and cashflows. Weakness Earnings declined over the past year. Opportunity Annual earnings are forecast to grow faster than the American market. Good value based on P/E ratio and estimated fair value. Threat Annual revenue is forecast to grow slower than the American market. Whilst important, the DCF calculation is only one of many factors that you need to assess for a company. DCF models are not the be-all and end-all of investment valuation. Instead the best use for a DCF model is to test certain assumptions and theories to see if they would lead to the company being undervalued or overvalued. For example, changes in the company's cost of equity or the risk free rate can significantly impact the valuation. What is the reason for the share price sitting below the intrinsic value? For Insight Enterprises, we've compiled three relevant items you should further research: Risks: Consider for instance, the ever-present spectre of investment risk. We've identified 3 warning signs with Insight Enterprises , and understanding them should be part of your investment process. Future Earnings: How does NSIT's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart. Other Solid Businesses: Low debt, high returns on equity and good past performance are fundamental to a strong business. Why not explore our interactive list of stocks with solid business fundamentals to see if there are other companies you may not have considered! PS. Simply Wall St updates its DCF calculation for every American stock every day, so if you want to find the intrinsic value of any other stock just search here. — Investing narratives with Fair Values Suncorp's Next Chapter: Insurance-Only and Ready to Grow By Robbo – Community Contributor Fair Value Estimated: A$22.83 · 0.1% Overvalued Thyssenkrupp Nucera Will Achieve Double-Digit Profits by 2030 Boosted by Hydrogen Growth By Chris1 – Community Contributor Fair Value Estimated: €14.40 · 0.3% Overvalued Tesla's Nvidia Moment – The AI & Robotics Inflection Point By BlackGoat – Community Contributor Fair Value Estimated: $359.72 · 0.1% Overvalued View more featured narratives — Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
03-07-2025
- Business
- Forbes
Harnessing AI-Driven Innovation—Emerging Industry Trends
Mohan Subrahmanya, Country Leader & Executive Director, India at Insight Enterprises. AI is transforming our lives at an unprecedented rate. It is now the cornerstone of all technological advancements, driving innovation and efficiency, enabling automation, data analysis and intelligent decision making across various fields and industries. It is reshaping the way we work, interact and make business decisions. With new breakthroughs, AI is continuously pushing the boundaries of what's possible. Organizations are utilizing AI and GenAI to automate processes, streamline workflows and generate content, while still measuring their actual effects. According to a McKinsey survey, 78% of organizations are using AI for at least one business function. IT and marketing and sales demonstrate the highest levels of AI integration. Technology trends and user needs are driving innovations in AI and GenAI in two critical ways—first, within an organization, and second, across industry sectors. Business Processes That Benefit From Innovation Driven By AI AI-driven automation is transforming industries by handling repetitive tasks, optimizing workflow processes and augmenting human capabilities. Firms are refining AI models to enhance workflows, sales and employee relationships. A recent study on AI adoption shows that 40% of all global companies have embraced AI. The highest use is for customer services, at 56%, followed by cybersecurity and fraud prevention, at 51%. By automating repetitive tasks, AI frees up employees for more strategic work. In human resources, AI streamlines processes such as performance management, payroll and workforce planning. It enhances employee engagement through personalized communication and feedback while enabling self-service tools for HR services. AI-powered training and upskilling tools further improve workforce development, reducing HR workload and boosting efficiency. Sales and marketing teams benefit from AI innovations, enhancing hyper-personalization and customer engagement. Machine learning delivers deep customer insights, enabling personalized communication and trend prediction. This can improve lead generation, conversion rates and engagement. It impacts customized product recommendations, dynamic email marketing and smart shopping. It helps brands deliver seamless omnichannel experiences and optimize marketing campaigns by testing variations and adapting in real time. GenAI supports cross-channel marketing orchestration for a cohesive experience. AI-driven sales forecasting enables predicting trends, identifying risks and optimizing sales. It helps detect customer churn, allowing brands to take proactive retention measures. Aligning AI Innovations With Industry Needs AI is transforming industries through automation, data-driven insights and efficiency. Sectors benefiting most include cybersecurity, healthcare, BFSI, retail, manufacturing, energy, sustainability and education. Cybersecurity relies on AI to detect vulnerabilities and prevent AI-driven cyberattacks. Organizations use AI to build cyber resilience in critical infrastructure. Healthcare and pharmaceuticals are witnessing transformative AI breakthroughs, particularly in the early detection of diseases such as cancer. Soon, we will witness tailor-made treatments by AI, based on genetic profiles and patient history. AI chatbots are already being used for patient query resolution, and AI-powered automation to reduce paperwork, scheduling and billing errors. In pharmacology, this technology will facilitate drug discovery by accelerating the analysis of vast datasets and identifying potential compounds. The banking, financial services and insurance (BFSI) sector continues to use AI for steady improvements in fraud detection and trading. It helps detect suspicious transactions and prevent fraud in real time. The education sector is also heavily adapting AI for lesson customization, virtual teaching and adaptive learning. It automates grading, customizes curriculum and streamlines administrative tasks, enhancing both teaching and learning. In the agriculture domain, AI aids resource management, promoting sustainable and efficient farming practices to enhance food security and environmental conservation. Lastly, climate and sustainability initiatives have joined forces to effectively utilize AI in predicting climate patterns and natural disasters, helping regions mitigate potential damage and enhance climate modeling and impact assessments. AI-driven solutions optimize energy usage, reduce waste and integrate renewable sources into power grids, improving energy efficiency and lowering carbon emissions. In Conclusion While AI continues to become commonplace, AI adoption in enterprises has been slower due to multiple factors. Data quality needs a lot of improvement before AI adoption reaches critical mass. Another concern is data security and the risk of data privacy that has hindered broader-scale adoption. As AI companies drive further innovations in the technology, the demand for mature AI tools is increasing. Expect to see innovations in Multimodal AI, the next generation of AI models that combine different types of data (text, images, audio and video) to enhance decision-making and creativity. Similarly, agentic AI is considered to be a game-changer with its exceptional reasoning and execution capabilities to carry out a complex sequence of actions. Gartner says that by 2029, agentic AI will autonomously resolve 80% of common customer service issues without human intervention. In fact, we are already on the journey of having AI models that process text, images, audio simultaneously to deliver enhanced AI-driven customer tools for better engagement and experience. Forbes Technology Council is an invitation-only community for world-class CIOs, CTOs and technology executives. Do I qualify?
