Episode Details

ePlus inc. Q4 FY2026 earnings breakdown - conversational walkthrough with a price-aware verdict and Wall Street consensus comparison. THE CALL: BUY (4/5 conviction, STRONG) - CURRENT @ $88.65 -> BUY - BUY below $85.00 with $62.00 stop - AVOID above $110.00 TRIGGER: Q1 FY27 print confirms mid-single-digit-plus growth AND gross margin holds near 25 percent WINDOW: 12-18 months - services-mix shift and AI-infrastructure reselling demand WALL STREET CONSENSUS - Ratings: 0 Strong Buy / 3 Buy / 2 Hold / 0 Sell / 0 Strong Sell -> BUY - Median 12-month PT: $94.00 (range $85 - $105) THESIS ePlus is a cash-rich IT-solutions reseller and services provider compounding on A.I., cloud and networking demand, growing net sales twenty one percent with earnings up fifty three percent. Bull lever: A simpler, services-richer model after the financing divestiture, record gross billings, a net-cash balance sheet, and steady capital return via an eight percent dividend hike and buybacks. Key risk: Gross margin eased to twenty four point six percent on richer product mix; IT reselling is cyclical and exposed to a memory-supply shortage; the FY27 guide is only mid-single-digit growth. KEY METRICS - Q4 FY2026 (continuing operations) - Net sales: $576.2M (+20.6% YoY) - Diluted EPS: $0.78 (+52.9% YoY) - Product net sales: $466.2M, +25% YoY - Services revenues: $110.0M, +4.9% YoY - Gross billings: $881.0M (record run rate) - Adjusted EBITDA: $40.1M, +40% YoY - Operating income: $30.9M, +64% YoY - Gross margin: 24.6% (richer product mix) - Cash $410.8M / net cash; dividend raised 8% to $0.27 - FY27 guide: mid-single-digit growth in net sales, gross profit, adj EBITDA DISCLAIMER This is for informational and educational purposes only. Not financial advice. Charged Alpha does not have a position in PLUS. #PLUS #ePlus #earnings #investing #stocks #ChargedAlpha #ITsolutions #VAR #AI #cloud