IES Holdings, Inc. engages in communications, residential, commercial and industrial, and infrastructure solutions businesses primarily in the United States. The company was founded in 1997 and is based in Houston, Texas.
IESC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for IES Holdings Inc. To summarize, we found that IES Holdings Inc ranked in the 71th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 168.83% on a DCF basis. As for the metrics that stood out in our discounted cash flow analysis of IES Holdings Inc, consider:
Interest coverage, a measure of earnings relative to interest payments, is 63.1 -- which is good for besting 94.99% of its peer stocks (US stocks in the Industrials sector with positive cash flow).
The business' balance sheet suggests that 2% of the company's capital is sourced from debt; this is greater than only 10.5% of the free cash flow producing stocks we're observing.
IESC's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 48.74% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as IESC, try MHH, AIT, MEC, NEWA, and FELE.
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Inefficient Market on Seeking Alpha | January 11, 2021
HOUSTON, Dec. 21, 2020 (GLOBE NEWSWIRE) -- IES Holdings, Inc. (“IES”) (NASDAQ: IESC) announced today that it has acquired an 80% ownership interest in Bayonet Plumbing, Heating and Air-Conditioning, LLC (“Bayonet”), a Hudson, FL-based provider of residential heating, ventilation and air conditioning (HVAC) and plumbing installation and maintenance services. Robert (Robbie) C. Blankenship, Bayonet’s President and CEO, and his father, Robert N. Blankenship, the founder of Bayonet, will together retain 20% of the ownership interests in Bayonet. Bayonet, with trailing 12-month revenue through September 2020 of approximately $86 million, has locations in several Florida markets, including Tampa and Orlando. Bayonet will become part of IES’s Residential segment and continue to operate under t...
HOUSTON, Dec. 07, 2020 (GLOBE NEWSWIRE) -- IES Holdings, Inc. (or “IES” or the “Company”) (NASDAQ: IESC) today announced financial results for the quarter and fiscal year ended September 30, 2020. Fourth Quarter 2020 Highlights * Revenue of $330 million for the fourth quarter of fiscal 2020, an increase of 13% compared with $294 million for the fourth quarter of fiscal 2019 * Operating income of $14.4 million for the fourth quarter of fiscal 2020, an increase of 4% compared with $13.9 million for the same quarter of fiscal 2019. Operating income for 2020 included a goodwill impairment charge of $7.0 million and executive severance charges of $1.8 million * Net income attributable to IES of $14.6 million, or $0.68 per diluted share, for the fourth quarter of fiscal 2020, compared wi...
HOUSTON, Dec. 01, 2020 (GLOBE NEWSWIRE) -- IES Holdings, Inc. (or “IES”) (NASDAQ: IESC) today announced that it will release fiscal 2020 fourth quarter and year-end results before the market opens on Monday, December 7, 2020. About IES Holdings, Inc. IES is a holding company that owns and manages operating subsidiaries that design and install integrated electrical and technology systems and provide infrastructure products and services to a variety of end markets, including data centers, residential housing, and commercial and industrial facilities. Our more than 5,000 employees serve clients in the United States. For more information about IES, please visit www.ies-co.com.Contact: Tracy McLauchlin, CFO IES Holdings, Inc. 713-860-1500