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QXO vs WCC
Which Stock Would AI Choose? QXO, Inc. (QXO) vs. WESCO International (WCC) Stock Comparison
Key Takeaways
- QXO is a rapidly consolidating building products distributor scaling through large acquisitions, while WCC is a diversified electrical, communications, and utility distributor riding data center and electrification demand.
- QXO is prioritizing transformational M&A (mergers and acquisitions) but remains loss-making at the operating level, whereas WCC is generating record sales and rising adjusted earnings per share.
- WCC's data center segment is a key growth engine, with sales up roughly 70% year over year in its most recent reported quarter.
- QXO carries integration and balance-sheet risk from its rapid deal pace, while WCC faces valuation and working-capital concerns despite strong momentum.
- Relative performance and market positioning diverge sharply: one is an early-stage roll-up story, the other an established scale player.
Introduction
Investors evaluating industrial and building materials distribution often weigh a high-growth, deal-driven disruptor against an established, cash-generating incumbent. This stock comparison examines QXO, a consolidator executing an aggressive roll-up strategy in building products, against WESCO International, a Fortune 500 distributor leveraged to data centers, utilities, and electrical infrastructure. The two companies operate in adjacent but distinct markets, offering a useful lens on relative performance, growth drivers, and risk profiles. Growth-oriented traders may be drawn to QXO's acquisition momentum, while investors focused on proven earnings and scale may find WCC's market positioning more compelling.
QXO Overview and Recent Performance
QXO, Inc. is North America's largest publicly traded distributor of roofing, waterproofing, and related products and a major lumber and building materials distributor. Under Chairman and CEO Brad Jacobs, the company is consolidating the roughly $800 billion building products distribution industry and targeting $50 billion in annual revenue within the next decade. Recent weeks have been defined by deal activity: QXO completed its approximately $2.25 billion acquisition of Kodiak Building Partners and announced an agreement to acquire insulation distributor and installer TopBuild in a transaction valued at roughly $14 billion to $17 billion, expected to close in the third quarter of 2026.
This rapid expansion has reshaped QXO's financial profile. Net sales rose sharply year over year, but the company has continued to report operating losses as it absorbs acquisitions and invests in a technology-led operating model. Sentiment has been driven by the scale and ambition of the roll-up rather than near-term profitability, leaving the stock's relative performance sensitive to integration execution and financing terms.
WCC Overview and Recent Performance
WESCO International, headquartered in Pittsburgh, is a global provider of business-to-business distribution, logistics, and supply chain solutions across electrical and electronic, communications and security, and utility and broadband segments. The company is a direct beneficiary of AI-driven data center construction and grid modernization. In its most recent reported quarter, net sales rose about 13% year over year to a record level, while data center sales climbed roughly 70%, contributing a growing share of total revenue. Adjusted earnings per share (EPS) also advanced meaningfully.
Management raised its full-year outlook on the strength of record backlog and demand visibility, and the company recently appointed a new chief financial officer amid a leadership transition. Market sentiment has been broadly constructive, with several analysts lifting price targets, though the stock's sharp appreciation has prompted discussion about valuation, free cash flow, and the concentration of growth in data center and long-cycle projects.
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Head-to-Head Comparison
The two companies represent contrasting growth models. QXO is an acquisition-led consolidator whose thesis rests on scale, procurement synergies, and technology-enabled operating improvements across a fragmented industry. Its addressable market has expanded beyond $200 billion through recent deals, but its income statement still reflects integration costs and operating losses, and its balance sheet has taken on substantial debt to fund transactions.
WCC, by contrast, is a mature distributor generating positive earnings with organic sales growth in the low double digits. Its growth is concentrated in data centers and utility infrastructure, which supports margin expansion but also introduces end-market concentration risk. WCC's valuation has expanded with its share price, while QXO's valuation is harder to assess given current losses and deal-driven revenue growth.
Risk profiles differ meaningfully: QXO faces execution and integration risk tied to rapid M&A, whereas WCC faces working-capital and cash-conversion scrutiny alongside a premium multiple. Both companies are exposed to construction and infrastructure cycles, though WCC's utility and communications businesses provide broader diversification.
Tickeron AI Verdict
Based on observable factors, Tickeron's AI would likely favor WCC in the current environment. WCC demonstrates more consistent trend characteristics, rising adjusted earnings, record backlog, and confirmed revenue and margin momentum across multiple quarters. Its data center catalyst is quantifiable and already reflected in results, supporting a steadier relative positioning. QXO offers a higher-potential but less proven profile, with profitability still to be established and significant integration work ahead. The verdict is probabilistic rather than definitive: WCC's combination of earnings visibility and confirmed demand trends presents a more stable setup, while QXO's upside remains contingent on successful execution of its consolidation strategy.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is QXO is a Hold and WCC is a StrongBuy.
QXO's Indicator enters downward trend
The Aroon Indicator for QXO entered a downward trend on October 22, 2026. Tickeron's A.I.dvisor identified a pattern where the AroonDown red line was above 70 while the AroonUp green line was below 30 for three straight days. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options. A.I.dvisor looked at 210 similar instances where the Aroon Indicator formed such a pattern. In 177 of the 210 cases the stock moved lower. This puts the odds of a downward move at 84%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 05, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on QXO as a result. In 75 of 91 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 82%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where QXO declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 76%.
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where QXO's RSI Indicator exited the oversold zone, 28 of 30 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 90%.
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 53 of 62 cases where QXO's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 85%.
The Moving Average Convergence Divergence (MACD) for QXO just turned positive on October 22, 2026. Looking at past instances where QXO's MACD turned positive, the stock continued to rise in 36 of 43 cases over the following month. The odds of a continued upward trend are 84%.
Following a +3.16% 3-day Advance, the price is estimated to grow further. Considering data from situations where QXO advanced for three days, in 218 of 259 cases, the price rose further within the following month. The odds of a continued upward trend are 84%.
QXO may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 1 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.148) is normal, around the industry mean (4.092). P/E Ratio (-11.207) is within average values for comparable stocks, (1.310). Projected Growth (PEG Ratio) (0.947) is also within normal values, averaging (2.538). QXO's Dividend Yield (10.149) is considerably higher than the industry average of (0.500). P/S Ratio (0.839) is also within normal values, averaging (3.013).
The Tickeron Price Growth Rating for this company is 84 (best 1 - 100 worst), indicating slightly worse than average price growth. QXO’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 93 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is 100 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. QXO’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 66, placing this stock worse than average.
WCC's Stochastic Oscillator is remaining in oversold zone for 6 days
The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an uptrend is expected.
Technical Analysis (Indicators)
Bullish Trend Analysis
Following a +6.16% 3-day Advance, the price is estimated to grow further. Considering data from situations where WCC advanced for three days, in 261 of 333 cases, the price rose further within the following month. The odds of a continued upward trend are 78%.
WCC may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In 211 of 279 cases where WCC Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 76%.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 08, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on WCC as a result. In 53 of 84 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 63%.
The Moving Average Convergence Divergence Histogram (MACD) for WCC turned negative on October 09, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 47 similar instances when the indicator turned negative. In 35 of the 47 cases the stock turned lower in the days that followed. This puts the odds of success at 74%.
WCC moved below its 50-day moving average on October 14, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for WCC crossed bearishly below the 50-day moving average on October 21, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 13 of 21 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 62%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WCC declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 65%.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 11 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 66, placing this stock better than average.
The Tickeron PE Growth Rating for this company is 14 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is 42 (best 1 - 100 worst), indicating steady price growth. WCC’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 58 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 73 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.258) is normal, around the industry mean (4.092). P/E Ratio (23.736) is within average values for comparable stocks, (1.310). Projected Growth (PEG Ratio) (1.553) is also within normal values, averaging (2.538). Dividend Yield (0.006) settles around the average of (0.500) among similar stocks. P/S Ratio (0.664) is also within normal values, averaging (3.013).
The Tickeron Seasonality Score of 95 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
QXO | WCC | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 71 | 71 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 1 Undervalued | 73 Overvalued | |
PROFIT vs RISK RATING 1..100 | 100 | 11 | |
SMR RATING 1..100 | 93 | 58 | |
PRICE GROWTH RATING 1..100 | 84 | 42 | |
P/E GROWTH RATING 1..100 | 100 | 14 | |
SEASONALITY SCORE 1..100 | n/a | 90 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
QXO's Valuation (1) in the Information Technology Services industry is significantly better than the same rating for WCC (73) in the Wholesale Distributors industry. This means that QXO’s stock grew significantly faster than WCC’s over the last 12 months.
WCC's Profit vs Risk Rating (11) in the Wholesale Distributors industry is significantly better than the same rating for QXO (100) in the Information Technology Services industry. This means that WCC’s stock grew significantly faster than QXO’s over the last 12 months.
WCC's SMR Rating (58) in the Wholesale Distributors industry is somewhat better than the same rating for QXO (93) in the Information Technology Services industry. This means that WCC’s stock grew somewhat faster than QXO’s over the last 12 months.
WCC's Price Growth Rating (42) in the Wholesale Distributors industry is somewhat better than the same rating for QXO (84) in the Information Technology Services industry. This means that WCC’s stock grew somewhat faster than QXO’s over the last 12 months.
WCC's P/E Growth Rating (14) in the Wholesale Distributors industry is significantly better than the same rating for QXO (100) in the Information Technology Services industry. This means that WCC’s stock grew significantly faster than QXO’s over the last 12 months.
| QXO | WCC | |
|---|---|---|
| RSI ODDS (%) | 1 day ago 90% | N/A |
| Stochastic ODDS (%) | 1 day ago 85% | 1 day ago 90% |
| Momentum ODDS (%) | 1 day ago 82% | 1 day ago 63% |
| MACD ODDS (%) | 1 day ago 84% | 1 day ago 74% |
| TrendWeek ODDS (%) | 1 day ago 76% | 1 day ago 66% |
| TrendMonth ODDS (%) | 1 day ago 76% | 1 day ago 64% |
| Advances ODDS (%) | 21 days ago 84% | 21 days ago 78% |
| Declines ODDS (%) | 4 days ago 76% | 7 days ago 65% |
| BollingerBands ODDS (%) | 1 day ago 84% | 1 day ago 90% |
| Aroon ODDS (%) | 1 day ago 84% | 1 day ago 76% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
QXO’s FA Score shows that 1 FA rating(s) are green while WCC’s FA Score has 2 green FA rating(s).
- QXO’s FA Score: 1 green, 4 red.
- WCC’s FA Score: 2 green, 3 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
QXO’s TA Score shows that 4 TA indicator(s) are bullish while WCC’s TA Score has 4 bullish TA indicator(s).
- QXO’s TA Score: 4 bullish, 4 bearish.
- WCC’s TA Score: 4 bullish, 5 bearish.
Price Growth
QXO (@Electronics Distributors) experienced а -0.19% price change this week, while WCC (@Electronics Distributors) price change was -6.63% for the same time period.
The average weekly price growth across all stocks in the @Electronics Distributors industry was +0.02%. For the same industry, the average monthly price growth was -3.32%, and the average quarterly price growth was +6.73%.
Reported Earning Dates
QXO is expected to report earnings on Nov 05, 2026.
WCC is expected to report earnings on Oct 29, 2026.
Industries' Descriptions
@Electronics Distributors (+0.02% weekly)Electronics distributors are companies that are involved in distribution of one or more of the following: electronic components, computer products/ peripherals and software products & services. Several electronics distributors are also becoming the point of contact for technical/pre- & post-sale support in many cases, in an attempt to bolster their position in the market. Tariffs and/or cross-border trade barriers are some of the potential threats to the electronics supply chain, but that could also potentially lead to re-directing to markets where tariffs/restrictions are lower depending on demand. The industry is also vulnerable in the event of economic slowdowns. Arrow Electronics, Inc., SYNNEX Corporation and Versum Materials, Inc. are some of the major electronics distributors in the U.S.
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QXO and
Correlation & Price change
A.I.dvisor indicates that over the last year, QXO has been loosely correlated with SITE. These tickers have moved in lockstep 54% of the time. This A.I.-generated data suggests there is some statistical probability that if QXO jumps, then SITE could also see price increases.
| Ticker / NAME | Correlation To QXO | 1D Price Change % | ||
|---|---|---|---|---|
| QXO | 100% | +6.89% | ||
| SITE - QXO | 54% Loosely correlated | +5.87% | ||
| CNM - QXO | 53% Loosely correlated | +2.17% | ||
| BXC - QXO | 51% Loosely correlated | +6.30% | ||
| FERG - QXO | 51% Loosely correlated | -0.29% | ||
| WCC - QXO | 50% Loosely correlated | -7.23% | ||
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WCC and
Correlation & Price change
A.I.dvisor indicates that over the last year, WCC has been loosely correlated with AIT. These tickers have moved in lockstep 59% of the time. This A.I.-generated data suggests there is some statistical probability that if WCC jumps, then AIT could also see price increases.
| Ticker / NAME | Correlation To WCC | 1D Price Change % | ||
|---|---|---|---|---|
| WCC | 100% | -7.23% | ||
| AIT - WCC | 59% Loosely correlated | -5.75% | ||
| CNM - WCC | 53% Loosely correlated | +2.17% | ||
| FERG - WCC | 53% Loosely correlated | -0.29% | ||
| QXO - WCC | 50% Loosely correlated | +6.89% | ||
| TITN - WCC | 49% Loosely correlated | +0.44% | ||
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