Itafos (IFOS) AI Stock Analysis

• Market Cap: C$552.65M
• Dividend Yield: N/A
• Average Volume (3M): 69.51K
• Price to Earnings (P/E): 3.1
• Beta (1Y): 0.23
• Revenue Growth: 20.52%
• EPS Growth: 1196.33%
• Country: CA
• Employees: 437
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): 0.25
• Shares Outstanding: 193,234,710
• 10 Day Avg. Volume: 75,524
• 30 Day Avg. Volume: 69,511
• PEG Ratio: <0.01
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.48
• P/FCF Ratio: 4.51
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: C$3.50 ▲(14.75% Upside)

Itafos's strong financial performance and attractive valuation are the primary drivers of its overall stock score. The company's robust revenue growth and profitability metrics, combined with a low P/E ratio, position it well for future growth. However, technical analysis indicates potential bearish momentum, which slightly offsets the positive financial and valuation aspects.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion and stability.

Cash Generation

Enhanced cash generation capabilities provide financial flexibility for reinvestment and debt management, strengthening the company's financial position.

Balance Sheet Health

Low leverage reduces financial risk and enhances the company's ability to withstand economic fluctuations, ensuring long-term stability.

Negative Factors

Gross Profit Margin Decline

A declining gross profit margin may indicate rising costs or pricing pressures, potentially impacting profitability if the trend continues.

Equity Ratio Decline

A declining equity ratio could signal weakening financial stability, potentially affecting the company's ability to finance growth through equity.

Free Cash Flow to Net Income Ratio Decline

A declining ratio suggests reduced cash efficiency, which may limit the company's ability to fund operations and growth initiatives.

Itafos Business Overview & Revenue Model

Company Description

Itafos (IFOS) is a global company engaged in the production and sale of phosphate-based products, primarily serving the agricultural sector. The company operates in the mining and fertilizer industries, focusing on the development of its projects in North America and Brazil. Itafos's core products include phosphoric acid, fertilizers, and other phosphate derivatives that enhance crop yield and productivity.

How the Company Makes Money

Itafos generates revenue through the sale of its phosphate products, primarily targeting agricultural markets. The company’s revenue model is based on the production and distribution of fertilizers, which are critical for enhancing soil fertility and crop growth. Key revenue streams include direct sales of phosphate-based fertilizers and phosphoric acid to agricultural distributors and retailers. Additionally, Itafos may benefit from strategic partnerships with agricultural companies and cooperatives that facilitate market access and broaden its customer base. Factors contributing to its earnings include global agricultural demand, pricing of phosphate commodities, and operational efficiencies in its production processes.

Itafos Financial Statement Overview

Summary

Itafos demonstrates strong financial health with robust revenue growth and profitability metrics. The company maintains a low debt-to-equity ratio and a commendable return on equity. Minor concerns include a slight decline in the gross profit margin and equity ratio, but overall, the financial trajectory is positive.

Income Statement

Itafos has demonstrated strong revenue growth with a 17.38% increase in the TTM period, alongside robust profitability metrics. The company maintains a healthy gross profit margin of 27.58% and a net profit margin of 20.85%, indicating efficient cost management and strong bottom-line performance. The EBIT and EBITDA margins are also impressive at 26.44% and 33.22%, respectively, showcasing operational efficiency. However, the gross profit margin has slightly decreased compared to the previous year, suggesting potential cost pressures.

Balance Sheet

The balance sheet reflects a solid financial position with a manageable debt-to-equity ratio of 0.23, indicating low leverage and reduced financial risk. The return on equity is strong at 30.02%, highlighting effective use of shareholder funds to generate profits. The equity ratio stands at 53.61%, suggesting a stable capital structure. However, the company's equity ratio has decreased slightly from previous years, which could be a point of concern if the trend continues.

Cash Flow

Itafos shows a significant improvement in free cash flow growth at 45.64%, indicating enhanced cash generation capabilities. The operating cash flow to net income ratio is nearly 1, suggesting that the company efficiently converts its earnings into cash. The free cash flow to net income ratio is 25.97%, reflecting a reasonable level of cash available after capital expenditures. Despite these strengths, the free cash flow to net income ratio has decreased from the previous year, which could impact future liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	551.63M	491.24M	465.52M	593.29M	413.25M	260.19M
Gross Profit	150.28M	148.79M	118.56M	214.88M	136.88M	-16.22M
EBITDA	201.31M	149.25M	53.75M	219.59M	134.33M	-8.17M
Net Income	126.04M	87.79M	3.86M	115.10M	51.03M	-62.31M
Balance Sheet
Total Assets	816.96M	695.86M	587.23M	614.01M	633.85M	477.30M
Cash, Cash Equivalents and Short-Term Investments	108.07M	74.37M	31.05M	42.81M	31.57M	10.04M
Total Debt	90.55M	108.17M	103.83M	143.90M	254.09M	256.94M
Total Liabilities	379.08M	348.03M	328.50M	360.89M	499.25M	394.88M
Stockholders Equity	437.88M	347.83M	258.73M	252.35M	133.44M	81.67M
Cash Flow
Free Cash Flow	41.82M	52.57M	39.96M	169.37M	60.42M	-17.41M
Operating Cash Flow	114.91M	120.05M	94.72M	208.37M	94.50M	-3.44M
Investing Cash Flow	-63.13M	-65.20M	-53.33M	-39.00M	-34.08M	-13.96M
Financing Cash Flow	-30.30M	-9.37M	-54.23M	-158.32M	-38.43M	-2.16M

Itafos Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 3.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:IFOS, the sentiment is Negative. The current price of 3.05 is below the 20-day moving average (MA) of 3.07, above the 50-day MA of 3.00, and above the 200-day MA of 2.83, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 36.34 is Neutral, neither overbought nor oversold. The STOCH value of 6.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:IFOS.

Itafos Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHE.UN	73 Outperform	C$1.80B	16.35	14.30%	4.73%	10.20%	-11.22%
IFOS	71 Outperform	C$552.65M	3.11	33.41%	―	20.52%	1196.33%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
ARGO	44 Neutral	C$18.65M	-4.37	-1497.85%	―	―	―

Itafos Corporate Events

Itafos Adds Castlelake Executive to Board as New CLF-Nominated Director

Itafos Inc. has appointed Joseph McConnell, a partner and Deputy Co-Chief Investment Officer at Castlelake, L.P., to its Board of Directors effective January 16, 2026, replacing Isaiah Toback as CL Fertilizers Holding LLC’s nominee under an existing investor rights agreement. The appointment strengthens the influence of Itafos’s principal shareholder and its affiliate Castlelake on the company’s governance, bringing in McConnell’s extensive global investment, portfolio management and asset-class leadership experience, which is expected to bolster board oversight and support the advancement of Itafos’s strategic initiatives across its global phosphate and specialty fertilizer operations.

The most recent analyst rating on (TSE:IFOS) stock is a Buy with a C$3.50 price target. To see the full list of analyst forecasts on Itafos stock, see the TSE:IFOS Stock Forecast page.

Itafos Reports Strong Q3 2025 Results and Strategic Advancements

Itafos Inc. reported a strong Q3 2025 performance with significant increases in revenue and adjusted EBITDA, despite high raw material costs. The company completed the mechanical build-out of the H1/NDR mine and monetized its equity interest in St George Mining, leading to a special dividend announcement. These developments position Itafos well in the tight phosphate market, with plans to leverage existing infrastructure for future growth.

The most recent analyst rating on (TSE:IFOS) stock is a Buy with a C$3.50 price target. To see the full list of analyst forecasts on Itafos stock, see the TSE:IFOS Stock Forecast page.

Itafos to Release Q3 2025 Financial Results and Business Update

Itafos Inc. announced the release date for its Q3 2025 financial results, which will be available after market close on November 5, 2025. An on-demand webcast providing management commentary and business updates will be accessible on November 10, 2025. This announcement is significant for stakeholders as it provides insights into the company’s financial health and strategic direction, potentially impacting investor confidence and market positioning.

The most recent analyst rating on (TSE:IFOS) stock is a Buy with a C$3.50 price target. To see the full list of analyst forecasts on Itafos stock, see the TSE:IFOS Stock Forecast page.