Perma-Pipe International Holdings (PPIH) AI Stock Analysis

• Market Cap: $182.24M
• Dividend Yield: N/A
• Average Volume (3M): 60.01K
• Price to Earnings (P/E): 14.7
• Beta (1Y): 0.89
• Revenue Growth: 9.97%
• EPS Growth: -4.70%
• Country: US
• Employees: 750
• Sector: Industrials
• Sector Strength: 90
• Industry: Construction
• EPS (TTM): 0.61
• Shares Outstanding: 7,982,568
• 10 Day Avg. Volume: 25,424
• 30 Day Avg. Volume: 60,007
• PEG Ratio: 0.39
• Price to Book (P/B): 2.45
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 17.86
• Enterprise Value/Market Cap: 1.15
• Enterprise Value/Revenue: 0.33
• Enterprise Value/Gross Profit: 3.54
• Enterprise Value/Ebitda: 2.14
• 1Y Price Target: $23.50
• Price Target Upside: 3.16% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 76 Outperform
• Price Target: $27.00 ▲(18.53%Upside)

Perma-Pipe International Holdings is well-positioned financially with strong cash flows and profitability. Technical indicators are positive but caution due to potential overbought conditions. Valuation is reasonable but lacks a dividend yield, which may deter some investors. The recent CEO change is a positive corporate event but does not significantly impact the current score.

Perma-Pipe International Holdings Business Overview & Revenue Model

Company Description

Perma-Pipe International Holdings, Inc., together with its subsidiaries, engineers, designs, manufactures, and sells specialty piping and leak detection systems. It offers provides and jacketed district heating and cooling piping systems for energy distribution from central energy plants to various locations; and primary and secondary containment piping systems for transporting chemicals, hazardous fluids, and petroleum products, as well as engages in the coating and insulation of oil and gas gathering and transmission pipelines. The company also offers liquid and powder based anti-corrosion coatings for external and internal surfaces of steel pipe, including shapes like bends, reducers, tees, and other spools/fittings that is used in pipelines for the transportation of oil and gas products and potable water. It has operations in the United States, Canada, the Middle East, Europe, India, and internationally. The company was formerly known as MFRI, Inc. and changed its name to Perma-Pipe International Holdings, Inc. in March 2017. Perma-Pipe International Holdings, Inc. was incorporated in 1993 and is headquartered in Niles, Illinois.

How the Company Makes Money

Perma-Pipe International Holdings generates revenue through the sale of its pre-insulated piping systems and leak detection technologies. These systems are essential for efficient thermal management in pipelines, making them valuable to both domestic and international clients in the energy sector. The company's key revenue streams include product sales, engineering services, and ongoing maintenance contracts. Strategic partnerships with construction and engineering firms, as well as long-term contracts with government and private entities, significantly contribute to its earnings. Additionally, PPIH benefits from its global presence, allowing it to tap into diverse markets and maintain a steady flow of income.

Perma-Pipe International Holdings Financial Statement Overview

Summary

Perma-Pipe International Holdings demonstrates strong financial performance marked by revenue growth and improving profitability. The balance sheet is stable, but increasing liabilities need monitoring. Strong cash flow supports financial health.

Income Statement

Perma-Pipe International Holdings shows strong financial performance with consistent revenue growth and improving profitability. The TTM revenue is up by 7.8% compared to the previous year, with a notable increase in gross profit margin from 33.6% to 34.8%. The net profit margin for TTM stands at 7.3%, reflecting better cost management. EBIT and EBITDA margins have also improved, indicating operational efficiency.

Balance Sheet

The company's balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.48, which is manageable within the construction industry. The equity ratio of 43.7% signifies a solid capital structure. However, the total liabilities have been increasing, which could pose a risk if not managed properly.

Cash Flow

The cash flow statements indicate strong cash generation, with free cash flow showing robust growth. The operating cash flow to net income ratio is healthy, suggesting efficient conversion of earnings into cash. The free cash flow to net income ratio is also positive, indicating good cash management.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	158.38M	150.67M	142.57M	138.55M	84.69M
Gross Profit	53.25M	41.46M	38.30M	32.53M	11.18M
EBITDA	20.30M	15.99M	15.45M	13.57M	-2.17M
Net Income	8.98M	10.47M	5.95M	6.06M	-7.64M
Balance Sheet
Total Assets	165.24M	155.71M	122.97M	123.40M	102.69M
Cash, Cash Equivalents and Short-Term Investments	15.72M	5.84M	5.77M	8.21M	7.17M
Total Debt	33.25M	32.79M	29.38M	34.54M	27.61M
Total Liabilities	82.14M	83.73M	65.18M	68.94M	53.38M
Stockholders Equity	72.14M	65.71M	57.78M	54.46M	49.31M
Cash Flow
Free Cash Flow	11.05M	3.63M	-8.22M	-4.84M	-1.80M
Operating Cash Flow	13.93M	14.73M	-1.24M	-2.57M	165.00K
Investing Cash Flow	-2.85M	-11.10M	-6.38M	-2.25M	-1.96M
Financing Cash Flow	-907.00K	-3.26M	4.54M	6.23M	-4.14M

Perma-Pipe International Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.78
• 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 PPIH, the sentiment is Positive. The current price of 22.78 is below the 20-day moving average (MA) of 23.24, above the 50-day MA of 18.27, and above the 200-day MA of 15.04, indicating a neutral trend. The MACD of 1.30 indicates Positive momentum. The RSI at 57.67 is Neutral, neither overbought nor oversold. The STOCH value of 23.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PPIH.

Perma-Pipe International Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JBI	77 Outperform	$1.22B	24.61	9.51%	―	-13.95%	-63.37%
PPIH	76 Outperform	$182.24M	14.74	17.42%	―	9.97%	-4.70%
Sector *	71 Outperform	¥255.97B	13.62	8.47%	3.04%	6.32%	13.00%
GMS	68 Neutral	$4.17B	37.93	8.02%	―	0.22%	-57.02%
SWIM	67 Neutral	$750.57M	77.89	-4.13%	―	-5.58%	-465.52%
ASPN	51 Neutral	$594.12M	35.31	-70.97%	―	51.90%	-685.60%
JELD	45 Neutral	$358.26M	―	-55.39%	―	-14.12%	-1264.86%

Perma-Pipe International Holdings Corporate Events

Perma-Pipe Appoints New Chairman After Annual Meeting

On June 25, 2025, Perma-Pipe International Holdings held its Annual Meeting where stockholders voted on several key proposals. Four directors were elected to serve until the 2026 Annual Meeting, with some directors tendering their resignations due to not receiving a majority of votes. Additionally, David J. Mansfield resigned from the Board. Over 94% of shares approved the compensation of the company’s executive officers, and over 86% voted for an annual advisory vote on executive compensation. PricewaterhouseCoopers LLP was ratified as the independent registered public accounting firm for the fiscal year ending January 31, 2026, with over 99% approval. Jon C. Biro was appointed as the new Chairman of the Board, succeeding Jerome T. Walker.

Perma-Pipe Appoints Saleh Sagr as New CEO

On June 12, 2025, Perma-Pipe International Holdings, Inc. announced the departure of David Mansfield as CEO, effective June 7, 2025, and the appointment of Saleh Sagr as the new President and CEO. Saleh Sagr, who joined the company in 2019 and has extensive experience in the energy and infrastructure sectors, is expected to lead Perma-Pipe towards continued growth and innovation, enhancing its market position and stakeholder value.