Education
About Us
Working with TipRanks
Follow Us
Intrepid Potash Inc (IPI)
NYSE:IPI
Top Page
Intrepid Potash
(NYSE:IPI)
Rating:60Neutral
Price Target:
$39.00
▲(6.47%Upside)
Positive Factors
Gross Profit Revision
2Q25 gross profit is revised from $7.2M to $12.2M, which is above the consensus.
Potash Production Improvement
There is an improvement in potash production, reaching the highest level since the first quarter of 2020.
Trio Segment Performance
Trio gross margins reached their highest levels since 2022, in both margin dollars and percentage terms, as production grew 17% y/y.
Negative Factors
EPS Performance
1Q25 EPS is initiated at -$0.12 versus $0.11 consensus.
Future Gross Profit Outlook
2027 gross profit is revised downward from $26.8M to $21.3M, which is below the consensus.
Oilfield Solutions Performance
Oilfield Solutions was below expectations by $2.4M, contributing to a gross profit shortfall.
Intrepid Potash (IPI) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$487.79M
Dividend YieldN/A
Average Volume (3M)159.93K
Price to Earnings (P/E)―
Beta (1Y)0.98
Revenue Growth0.63%
EPS Growth-369.50%
CountryUS
Employees468
SectorBasic Materials
Sector Strength70
IndustryAgricultural Inputs
Share Statistics
EPS (TTM)0.39
Shares Outstanding13,316,799
10 Day Avg. Volume171,614
30 Day Avg. Volume159,932
Financial Highlights & Ratios
PEG Ratio-0.64
Price to Book (P/B)0.99
Price to Sales (P/S)0.00
P/FCF Ratio76.79
Enterprise Value/Market Cap0.92
Enterprise Value/Revenue0.43
Enterprise Value/Gross Profit11.60
Enterprise Value/Ebitda27.61
Forecast
1Y Price Target
$19.00Price Target Upside-48.13% Downside
Rating ConsensusModerate Sell
Number of Analyst Covering2
Intrepid Potash Business Overview & Revenue Model
Company DescriptionIntrepid Potash, Inc., together with its subsidiaries, engages in the extraction and production of the potash in the United States and internationally. It operates through three segments: Potash, Trio, and Oilfield Solutions. The Potash segment offers muriate of potash or potassium chloride for use as a fertilizer input in the agricultural market; as a component in drilling and fracturing fluids for oil and gas wells, as well as an input to other industrial processes in the industrial market; and as a nutrient supplement in the animal feed market. The Trio segment provides Trio, a specialty fertilizer that delivers potassium, sulfate, and magnesium in a single particle. The Oilfield Solutions segment sells water for use in the oil and gas services industry; and offers potassium chloride real-time mixing services on location for hydraulic fracturing operations and trucking services. The company also offers salt for use in animal feeds, industrial applications, pool salts, and treatment of roads and walkways for ice melting or to manage road conditions; magnesium chloride for use in the deicing and dedusting of roads; brines for well development and completion activities in the oil and gas industry; and metal recovery salt, a combination of potash and salt to enhance the recovery of aluminum in the aluminum recycling processing facilities. Intrepid Potash, Inc. was founded in 2000 and is based in Denver, Colorado.
How the Company Makes MoneyIntrepid Potash makes money primarily through the extraction and sale of potash and langbeinite. The company operates several mines in the United States, which allow it to produce and supply these essential nutrients to the agricultural industry. Revenue is generated through the direct sale of potash and Trio® to agricultural distributors and end-users, such as farmers, who rely on these fertilizers to enhance crop yields. Additionally, Intrepid Potash may engage in partnerships or contracts with other agricultural companies to expand its market reach. The company's financial performance is influenced by factors such as global demand for fertilizers, commodity prices, and agricultural market trends.
Intrepid Potash Earnings Call Summary
Earnings Call Date:May 05, 2025
(Q1-2025)
| % Change Since: 12.47%|
Next Earnings Date:Jul 30, 2025
Earnings Call Sentiment Positive
The earnings call reflected a strong start to 2025 with significant improvements in financial performance and operational efficiency, particularly in potash and Trio segments. However, there are concerns about decreased potash pricing and modest future production expectations. Overall, the highlights significantly outweigh the lowlights.Q1-2025 Updates
Positive Updates
Significant Improvement in Financial Performance
Intrepid generated adjusted EBITDA of $16.6 million and adjusted net income of $4.6 million, compared to prior year adjusted EBITDA of $7.7 million and an adjusted net loss of $3.1 million.
Potash Production and Cost Reduction
Produced 93,000 tons of potash with a COGS per ton of $313, representing a 17% improvement from the 2023 baseline and a 25% improvement from the recent peak.
Record Trio Sales
Trio achieved a quarterly sales record of 110,000 tons with pricing increased to an average of $345 per ton, driven by strong market demand and tight supply.
Steady Oilfield Solutions Performance
Oilfield Solutions segment reported revenue of $4.4 million with a gross margin of $1.7 million, or approximately 38% of revenue.
Positive Market Trends
Global potash market shows a trend line growth of roughly 2% per year, with strong demand and relatively tight supplies leading to price increases.
Negative Updates
Decreased Potash Pricing
There was a 20% decrease in average net realized potash pricing compared to last year despite a 40% increase in potash tons sold.
Modest Future Production Expectations
Potash production for 2025 expected to be close to 2024 results, with a slight decrease in Trio production anticipated in the second half of 2025.
Company Guidance
During the first quarter of 2025, Intrepid Potash, Inc. reported significant improvements in its financial and operational metrics. The company achieved an adjusted EBITDA of $16.6 million and an adjusted net income of $4.6 million, a substantial improvement from the prior year's adjusted EBITDA of $7.7 million and adjusted net loss of $3.1 million. Potash production increased to 93,000 tons with a cost of goods sold (COGS) per ton of $313, marking a 17% improvement from the 2023 baseline. Trio production was 63,000 tons with COGS per ton at $235, representing a 22% improvement from the previous year. The Oilfield Solutions segment also contributed positively, generating $4.4 million in revenue and a gross margin of $1.7 million. For the second quarter, Intrepid anticipates potash sales volumes between 60,000 to 70,000 tons at an average net realized sales price of $350 to $360 per ton, and Trio sales volumes between 57,000 to 67,000 tons at an average price of $365 to $375 per ton. The company maintains its capital expenditures guidance of $36 million to $42 million for 2025.Intrepid Potash Financial Statement Overview
Summary
Intrepid Potash faces challenges with profitability and revenue growth, impacting its income statement. While the balance sheet remains stable with low debt levels, declining equity is concerning. Cash flow generation shows resilience, yet free cash flow volatility needs attention.Income Statement
Intrepid Potash has shown inconsistent revenue growth with a recent decline in annual revenue. The TTM data indicates a slight recovery in revenue. The company has been facing challenges in profitability, evident from negative EBIT and net income, leading to negative net profit margins. Historical data shows fluctuations in gross profit margins, indicating instability.45
Neutral
Balance Sheet
The company's balance sheet is relatively stable with a low debt-to-equity ratio, indicating low leverage. The return on equity has been negative due to the losses incurred. The equity ratio is strong, suggesting a solid asset base supported by equity. However, declining stockholders' equity poses a risk.60
Neutral
Cash Flow
Intrepid Potash has maintained positive operating cash flow, although there has been a decline in free cash flow recently. The operating cash flow to net income ratio is favorable due to adjustments for non-cash charges, but the negative net income affects overall cash flow performance. Fluctuating free cash flow growth highlights the volatility in cash generation.55
Neutral
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 273.17M | 254.69M | 279.08M | 337.57M | 270.33M | 196.95M |
| Gross Profit | 38.60M | 29.08M | 43.34M | 141.41M | 55.76M | 10.53M |
| EBITDA | 31.02M | 21.78M | -2.52M | 133.60M | 80.25M | 14.99M |
| Net Income | -205.11M | -212.84M | -35.67M | 72.22M | 249.83M | -27.15M |
Balance Sheet | ||||||
| Total Assets | 795.82M | 594.52M | 768.47M | 794.20M | 766.89M | 550.19M |
| Cash, Cash Equivalents and Short-Term Investments | 60.14M | 42.30M | 7.04M | 24.47M | 36.45M | 19.52M |
| Total Debt | 1.96M | 2.62M | 8.54M | 2.21M | 1.88M | 56.88M |
| Total Liabilities | 102.55M | 120.13M | 84.05M | 79.13M | 103.49M | 138.93M |
| Stockholders Equity | 693.27M | 474.39M | 684.43M | 715.08M | 663.40M | 411.26M |
Cash Flow | ||||||
| Free Cash Flow | 6.38M | 33.59M | -21.83M | 20.13M | 59.28M | 14.70M |
| Operating Cash Flow | 41.88M | 72.50M | 43.23M | 88.82M | 79.07M | 31.14M |
| Investing Cash Flow | -28.62M | -29.53M | -59.55M | -79.18M | -14.82M | -15.16M |
| Financing Cash Flow | -1.65M | -5.72M | 1.89M | -27.70M | -47.28M | -17.04M |
Intrepid Potash Technical Analysis
Positive
36.63
Price Trends
36.06
Positive
31.66
Positive
28.43
Positive
Market Momentum
0.03
Positive
53.54
Neutral
62.30
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IPI, the sentiment is Positive. The current price of 36.63 is above the 20-day moving average (MA) of 36.27, above the 50-day MA of 36.06, and above the 200-day MA of 28.43, indicating a bullish trend. The MACD of 0.03 indicates Positive momentum. The RSI at 53.54 is Neutral, neither overbought nor oversold. The STOCH value of 62.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IPI.
Intrepid Potash Risk Analysis
Intrepid Potash disclosed 45 risk factors in its most recent earnings report. Intrepid Potash reported the most risks in the "Production" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Intrepid Potash Peers Comparison
Overall Rating
UnderperformOutperform
Sector (43)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | $938.48M | 12.45 | 25.16% | 10.18% | -7.27% | -9.30% | |
73 Outperform | $52.61B | 47.02 | 4.66% | 0.88% | >-0.01% | 108.45% | |
70 Neutral | $9.43B | 24.25 | 6.70% | 2.39% | -3.48% | -18.34% | |
69 Neutral | $5.52B | 16.98 | 8.81% | 5.22% | 1.45% | -70.85% | |
69 Neutral | $11.99B | 32.63 | 3.09% | 2.33% | -13.37% | -50.63% | |
60 Neutral | $487.79M | ― | -35.32% | ― | 0.63% | -369.50% | |
43 Neutral | AU$1.42B | -6.13 | -40.62% | 4.05% | -4.78% | -42.91% |
* Basic Materials Sector Average
Performance Comparison
IPI
Intrepid Potash
36.63
13.71
59.82%
UAN
CVR Partners
88.93
17.73
24.90%
FMC
FMC
44.23
-9.35
-17.45%
MOS
Mosaic Co
37.27
11.03
42.04%
ICL
Icl
7.31
3.15
75.72%
CTVA
Corteva
77.12
25.96
50.74%
Intrepid Potash Corporate Events
Executive/Board ChangesShareholder Meetings
Intrepid Potash Stockholders Approve Key Governance Decisions
Positive
Jun 2, 2025
On May 29, 2025, Intrepid Potash, Inc. held its Annual Meeting of Stockholders virtually, with 83.82% of outstanding shares represented. During the meeting, stockholders approved the election of two Class II Directors, the ratification of KPMG LLP as the independent accounting firm for 2025, and an advisory vote on executive compensation, reflecting strong shareholder engagement and support for the company’s governance and strategic direction.
The most recent analyst rating on (IPI) stock is a Sell with a $18.00 price target. To see the full list of analyst forecasts on Intrepid Potash stock, see the IPI Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.