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A wirewound resistor uses a metal alloy chosen for stable electrical resistivity. Compared with a typical carbon composition resistor, it can offer tighter resistor tolerance, a smaller temperature coefficient of resistance, lower excess electrical noise, and greater continuous electrical dissipation when its construction provides an adequate heat path. These are design-dependent advantages, rather than guarantees for every alloy or package.

The winding has parasitic inductance and interturn capacitance. Its electrical impedance therefore ceases to be a nearly real electrical resistance at sufficiently high frequencies; an approximate model is a series circuit $R+i\omega L$ shunted by a small parasitic capacitance. A resonance can occur, making a wirewound resistor unsuitable where a nearly frequency-independent electrical resistance is required. Noninductive winding patterns reduce this problem. For comparable small-signal duties it is usually larger and more expensive. A carbon composition resistor is compact and has relatively small parasitic inductance, but commonly has poorer stability, larger resistor tolerance, and more excess electrical noise.