IES Holdings (IESC) AI Stock Analysis

• Market Cap: $6.04B
• Dividend Yield: N/A
• Average Volume (3M): 161.57K
• Price to Earnings (P/E): 26.9
• Beta (1Y): 1.91
• Revenue Growth: 21.53%
• EPS Growth: 66.65%
• Country: US
• Employees: 9,423
• Sector: Industrials
• Sector Strength: 89
• Industry: Engineering & Construction
• EPS (TTM): 3.50
• Shares Outstanding: 19,854,416
• 10 Day Avg. Volume: 127,394
• 30 Day Avg. Volume: 161,569
• PEG Ratio: -0.30
• Price to Book (P/B): 1.58
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -43.91
• Enterprise Value/Market Cap: 0.11
• Enterprise Value/Revenue: 0.06
• Enterprise Value/Gross Profit: 0.89
• Enterprise Value/Ebitda: 0.50
• 1Y Price Target: $319.00
• Price Target Upside: 4.81% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 80 Outperform
• Price Target: $357.00 ▲(17.30%Upside)

IES Holdings receives a strong overall stock score of 80, driven by robust financial performance, positive technical momentum, and favorable corporate events. The high valuation is a potential risk, but strategic leadership changes and strong financial results support the company's growth prospects.

IES Holdings Business Overview & Revenue Model

Company Description

IES Holdings, Inc. (IESC) is a diversified holding company that specializes in providing a wide range of electrical contracting and infrastructure services. The company's operations are categorized into four primary segments: Communications, Residential, Infrastructure Solutions, and Commercial & Industrial. IES Holdings is committed to delivering high-quality services and solutions in electrical, data communications, and other specialty services across various industries, including commercial, industrial, and residential markets throughout the United States.

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 strong financial performance with notable revenue growth and profitability. The income statement highlights significant growth and efficient operating performance. The balance sheet shows low leverage and high ROE, indicating stability and low risk. Cash flow is healthy despite a slight decrease in free cash flow, suggesting robust cash generation and management.

Income Statement

IES Holdings demonstrates strong revenue growth and profitability. The TTM gross profit margin is approximately 24.55%, with a net profit margin of 8.12%. Revenue has shown consistent growth over the years, with a significant increase of 9.18% from the previous year. The EBIT margin is 10.63%, indicating efficient operating performance. These figures reflect robust financial health and effective cost management.

Balance Sheet

The company's balance sheet is solid with a debt-to-equity ratio of 0.07, showcasing low leverage. Return on Equity (ROE) stands at 36.00%, indicating strong profitability relative to equity. The equity ratio is 51.72%, suggesting a stable financial structure with more than half of the assets financed by equity. Overall, the balance sheet reflects financial stability with low risk.

Cash Flow

Cash flow performance is commendable with operating cash flow to net income ratio of 0.94 and a free cash flow to net income ratio of 0.69. Free cash flow has decreased slightly compared to the previous year, but overall cash flow management remains strong. These metrics suggest healthy cash generation and efficient capital expenditure management.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	3.13B	2.88B	2.38B	2.17B	1.54B	1.19B
Gross Profit	768.07M	696.59M	444.54M	318.90M	288.00M	228.00M
EBITDA	368.76M	343.11M	178.92M	81.68M	107.78M	69.56M
Net Income	252.21M	219.12M	108.29M	34.76M	66.66M	41.60M
Balance Sheet
Total Assets	1.36B	1.24B	981.60M	934.70M	766.60M	560.50M
Cash, Cash Equivalents and Short-Term Investments	88.28M	135.84M	75.77M	24.80M	23.10M	53.60M
Total Debt	51.65M	62.43M	61.59M	137.02M	68.30M	20.70M
Total Liabilities	618.03M	591.92M	481.66M	544.20M	396.10M	275.40M
Stockholders Equity	705.78M	611.11M	449.99M	361.30M	345.90M	283.30M
Cash Flow
Free Cash Flow	175.89M	189.25M	136.24M	-13.00M	30.50M	72.00M
Operating Cash Flow	237.81M	234.40M	153.90M	16.30M	37.90M	76.70M
Investing Cash Flow	-194.59M	-108.85M	2.77M	-29.50M	-99.60M	-33.60M
Financing Cash Flow	-126.77M	-100.50M	-105.75M	15.00M	31.20M	-8.50M

IES Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 304.36
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• 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 304.36 is above the 20-day moving average (MA) of 284.48, above the 50-day MA of 263.65, and above the 200-day MA of 229.19, indicating a bullish trend. The MACD of 11.89 indicates Negative momentum. The RSI at 63.79 is Neutral, neither overbought nor oversold. The STOCH value of 72.53 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
IESC	80 Outperform	$6.04B	26.92	37.73%	―	21.53%	66.65%
PRIM	79 Outperform	$4.50B	22.10	15.30%	0.38%	12.45%	42.45%
ROAD	78 Outperform	$5.75B	89.87	9.21%	―	31.49%	-0.13%
STRL	77 Outperform	$6.90B	27.28	36.67%	―	4.84%	77.84%
DY	76 Outperform	$7.30B	31.74	19.76%	―	12.77%	1.55%
GVA	75 Outperform	$4.05B	40.73	12.75%	0.56%	11.42%	247.33%
Sector *	68 Neutral	€2.72B	19.17	7.73%	2.90%	-1.49%	-31.61%

IES Holdings Corporate Events

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.

IES Holdings Reports Strong Q2 2025 Financial Results

IES Holdings reported strong financial results for the second quarter of fiscal 2025, with an 18% increase in revenue and a 19% increase in operating income compared to the previous year. The company experienced robust demand in its Communications, Infrastructure Solutions, and Commercial & Industrial segments, particularly in the data center market. However, the Residential segment faced challenges due to high mortgage rates and inflation, impacting single-family housing demand. The company remains optimistic about future growth, supported by strategic acquisitions and investments in capacity expansion.