IES Holdings (IESC) AI Stock Analysis

• Market Cap: $6.53B
• Dividend Yield: N/A
• Average Volume (3M): 154.05K
• Price to Earnings (P/E): 27.3
• Beta (1Y): 2.04
• Revenue Growth: 17.83%
• EPS Growth: 34.73%
• Country: US
• Employees: 9,423
• Sector: Industrials
• Sector Strength: 84
• Industry: Engineering & Construction
• EPS (TTM): 3.95
• Shares Outstanding: 19,854,464
• 10 Day Avg. Volume: 151,632
• 30 Day Avg. Volume: 154,049
• PEG Ratio: 0.15
• Price to Book (P/B): 6.59
• Price to Sales (P/S): 1.40
• P/FCF Ratio: 21.27
• Enterprise Value/Market Cap: 0.90
• Enterprise Value/Revenue: 1.81
• Enterprise Value/Gross Profit: 7.25
• Enterprise Value/Ebitda: 15.14
• 1Y Price Target: $319.00
• Price Target Upside: -4.97% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: $396.00 ▲(17.96% Upside)

IES Holdings' overall stock score reflects a robust financial performance, positive technical indicators, and favorable corporate events. The strong financials and strategic corporate actions are offset by moderately high valuation metrics, indicating that while the company is well-positioned for growth, its current stock price may reflect these prospects.

IES Holdings Business Overview & Revenue Model

Company Description

IES Holdings, Inc. designs and installs integrated electrical and technology systems, and provides infrastructure products and services in the United States. Its Commercial & Industrial segment offers electrical and mechanical design, construction, and maintenance services for office buildings, manufacturing facilities, data centers, chemical plants, refineries, wind farms, solar facilities, municipal infrastructures, and health care facilities. Its Communications segment designs, installs, and maintains network infrastructure within data centers for co-location and managed hosting customers; corporate, educational, financial, hospitality, and healthcare buildings; e-commerce distribution centers; and high-tech manufacturing facilities. This segment also provides design and installation services for audio/visual, telephone, fire, and wireless access and intrusion alarm systems; and engages in designing/building, servicing, and maintaining data network systems. Its Infrastructure Solutions segment maintains and repairs alternating and direct current electric motors and generators, and power generating and distribution equipment; manufactures custom-engineered metal enclosed bus duct solutions used in power distribution; manufactures custom commercial and industrial generator enclosures; manufactures, re-manufactures, and repairs industrial lifting magnets; and maintains and repairs railroad main and auxiliary generators, main alternators, and traction motors. Its Residential segment offers electrical installations to single-family housing and multi-family apartments; and cable television installations to residential and light commercial applications, as well as installs residential solar power for new construction and existing residences. The company was formerly known as Integrated Electrical Services, Inc. and changed its name to IES Holdings, Inc. in May 2016. The company was incorporated in 1997 and is headquartered in Houston, Texas.

How the Company Makes Money

IES Holdings generates revenue through its diversified operations across its four main segments. The Communications segment focuses on providing network infrastructure services, including the design, installation, and maintenance of data centers and other critical communication systems. The Residential segment offers electrical installation services for single-family homes, apartments, and multifamily units. In the Infrastructure Solutions segment, IES provides electrical and mechanical infrastructure design and installation services for industrial and public sector clients. Lastly, the Commercial & Industrial segment delivers electrical and mechanical services for large-scale commercial and industrial projects. The company leverages its expertise and reputation to secure contracts and partnerships with various clients, contributing to a stable and diverse revenue stream.

IES Holdings Financial Statement Overview

Summary

IES Holdings exhibits a solid financial position with strong profitability, stable balance sheet, and efficient cash flow management. The company has a strong revenue growth rate, impressive profit margins, low leverage, and a high return on equity, indicating minimal financial risk and a positive growth trajectory.

Income Statement

IES Holdings shows robust financial performance with a strong revenue growth rate of 12.64% from the previous year and significant improvement in gross profit and net profit margins. The TTM (Trailing-Twelve-Months) gross profit margin is 25.02%, and the net profit margin is 8.29%, indicating efficient cost management and profitability. EBIT and EBITDA margins at 10.90% and 11.71%, respectively, further underline operational efficiency.

Balance Sheet

The company maintains a solid balance sheet with a debt-to-equity ratio of 0.09, showcasing low leverage and a strong equity base. The TTM equity ratio stands at 53.16%, indicating financial stability and a healthy balance sheet structure. Return on equity (ROE) is impressive at 34.47%, reflecting effective use of shareholder funds.

Cash Flow

IES Holdings demonstrates strong cash flow management with a positive operating cash flow to net income ratio of 0.92 and free cash flow to net income ratio of 0.69. The free cash flow growth rate is slightly negative, indicating a small decline from the previous period, but overall cash flow metrics remain strong and supportive of the company's operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.25B	2.88B	2.38B	2.17B	1.54B	1.19B
Gross Profit	812.88M	696.59M	444.54M	318.90M	288.00M	228.00M
EBITDA	389.34M	343.11M	178.92M	81.68M	107.78M	69.56M
Net Income	267.34M	219.12M	108.29M	34.76M	66.66M	41.60M
Balance Sheet
Total Assets	1.47B	1.24B	981.60M	934.70M	766.60M	560.50M
Cash, Cash Equivalents and Short-Term Investments	168.26M	135.84M	75.77M	24.80M	23.10M	53.60M
Total Debt	72.67M	72.72M	61.59M	137.02M	68.30M	20.70M
Total Liabilities	647.30M	591.92M	481.66M	544.20M	396.10M	275.40M
Stockholders Equity	781.44M	611.11M	449.99M	361.30M	345.90M	283.30M
Cash Flow
Free Cash Flow	185.34M	189.25M	136.24M	-13.00M	30.50M	72.00M
Operating Cash Flow	246.88M	234.40M	153.90M	16.30M	37.90M	76.70M
Investing Cash Flow	-126.55M	-108.85M	2.77M	-29.50M	-99.60M	-33.60M
Financing Cash Flow	-56.78M	-100.50M	-105.75M	15.00M	31.20M	-8.50M

IES Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 335.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IESC, the sentiment is Positive. The current price of 335.7 is above the 20-day moving average (MA) of 330.37, above the 50-day MA of 300.20, and above the 200-day MA of 242.27, indicating a bullish trend. The MACD of 12.10 indicates Positive momentum. The RSI at 56.49 is Neutral, neither overbought nor oversold. The STOCH value of 26.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IESC.

IES Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PRIM	80 Outperform	$5.97B	25.09	17.01%	0.27%	12.45%	42.45%
STRL	78 Outperform	$9.02B	32.55	36.72%	―	4.84%	77.84%
IESC	76 Outperform	$6.53B	27.27	36.85%	―	17.83%	34.73%
DY	76 Outperform	$7.84B	35.05	19.76%	―	12.77%	1.55%
GVA	74 Outperform	$4.13B	41.54	15.89%	0.52%	7.18%	77.84%
ROAD	73 Outperform	$5.44B	80.29	10.60%	―	39.18%	1.79%
Sector *	71 Outperform	¥258.28B	14.57	8.48%	2.82%	6.30%	11.95%

IES Holdings Corporate Events

IES Holdings Reports Strong Q3 2025 Financial Performance

IES Holdings reported a strong financial performance for the third quarter of fiscal 2025, with a 16% increase in revenue and a 24% rise in operating income compared to the same period in 2024. The Communications segment saw significant growth, driven by demand in the data center market, while the Residential segment faced challenges due to a sluggish housing market. The company continued to expand its capacity and capabilities through acquisitions and capital investments, including the purchase of Qypsys and a fabrication operation in Wisconsin, positioning itself for future growth despite current economic uncertainties.

IES Holdings Appoints New CEO Matthew J. Simmes

On May 19, 2025, IES Holdings announced the appointment of Matthew J. Simmes as the new President and Chief Executive Officer, effective July 1, 2025, succeeding Jeffrey L. Gendell. Mr. Simmes, who has been with the company for over 31 years, will continue as President and join the Board of Directors, while Mr. Gendell will transition to the role of Executive Chairman. This leadership change is part of IES’s executive succession plan and reflects the company’s strategic focus on long-term growth and operational success.

IES Holdings Appoints Kelly C. Janzen to Board

On May 12, 2025, IES Holdings appointed Kelly C. Janzen to its Board of Directors and the Audit Committee, recognizing her extensive experience in finance and accounting. Ms. Janzen, who has held significant leadership roles in various companies, is expected to bring valuable insights to the board, enhancing IES Holdings’ strategic direction and governance.