Recent News
On January 16, 2026 IES completed the Gulf Island Fabrication acquisition, adding fabrication capacity and specialty services to the Infrastructure Solutions segment. On February 9–10, 2026 IES received higher Relative Strength and Composite ratings from Investor’s Business Daily, reflecting improved market performance and technical strength.
Technical Analysis
ADX at 19.25 shows no established trend; price momentum lacks the strength required for a confirmed directional trend, so short-term moves depend on momentum signals rather than a sustained trend.
Directional indicators favor upside: DI+ shows a dip-and-reversal while DI– shows a peak-and-reversal, a configuration that implies directional pressure to the upside despite the low ADX reading.
MACD reads 5.73 with the MACD line above the 5.54 signal line and a recent dip-and-reversal; the MACD crossing above its signal line constitutes a bullish momentum confirmation for near-term price advance.
MRO at 3.2 sits positive and modest, indicating price currently sits above the model target and carries a small mean-reversion risk toward the target level; magnitude suggests only limited downward pressure if momentum fades.
RSI at 54.46 with a dip-and-reversal indicates renewed buying interest without overbought conditions; the indicator supports continued upward movement while leaving room before momentum exhaustion.
Price sits above key averages (20‑day $447.19, 50‑day $428.52, 200‑day $354.05) and above the 12‑day EMA ($440.76), consistent with bullish short- and medium-term placement; proximity to the upper Bollinger bands (upper 1× at $487.69, upper 2× at $528.20) signals higher volatility and limited near-term upside runway before encountering resistance bands.
Volatility measures show elevated short‑term beta (42‑day beta 3.61) and high relative recent volatility versus the one‑year beta (1.95), implying swings larger than typical Industrials peers and heightened sensitivity to market flows and news.
Fundamental Analysis
Revenue totaled $870,958,000; total operating expenses $772,758,000, producing an operating margin of 11.28% and EBIT margin of 13.35%. EBIT margin increased 28.10% year‑over‑year and 9.82% quarter‑over‑quarter, showing margin expansion that supports a premium multiple relative to historical levels.
EPS came in at $4.51 versus an estimate of $3.94, an EPS surprise of 14.47%, which signals stronger-than-expected near-term profitability. Net income reported $91,439,000 and operating cash flow was $27,701,000, while free cash flow stood negative at –$18,873,000, indicating recent cash outflow after operations and capital spending.
Gross margin measured 25.26%, slightly below the industry peer mean of 26.58%; operating margin at 11.28% also sits marginally below the industry peer mean of 11.85%, even as EBIT margin stands above the industry peer mean of 12.31%—an internal divergence suggesting effective control of non‑COGS items contributed to higher EBIT relative to peers.
Revenue growth shows pressures: year‑over‑year revenue change of –11.54% and quarter‑over‑quarter change of –4.48%, while asset turnover declined year‑over‑year by about 10.40%, indicating slower sales relative to asset base expansion.
Returns remain above peer averages: return on equity 9.51% versus the industry peer mean of 4.90%, and return on assets 5.62% versus the industry peer mean of 2.05%, signaling efficient capital use despite lower revenue growth.
Liquidity and leverage look conservative: cash and short‑term investments $258,744,000, current ratio 1.80 (below the industry peer mean of 2.50) and quick ratio 1.62 (below the industry peer mean of 2.69). Debt to assets stands at 3.97%, well below the industry peer mean of 26.23%, supporting financial flexibility even with a negative free cash flow in the period.
Market multiples show higher book and sales multiples: P/B 8.69 above the industry peer mean of 5.47, PS 9.59 slightly above the industry peer mean of 9.17, while P/E at 92.89 sits below the industry peer mean of 100.16. Enterprise multiple 63.25 exceeds the industry peer mean of 59.79, consistent with a premium valuation profile driven by superior returns and strategic growth moves.
Cash conversion cycle at 82.33 days exceeds the industry peer mean of 30.86 days, adding working capital strain and explaining part of the negative free cash flow despite positive net income; the change in working capital of –$61,776,000 reflects timing and investment in receivables/inventory tied to growth.
WMDST values the stock as over‑valued based on the compiled fundamentals and multiples, reflecting a premium that factors in superior returns, low leverage, recent M&A, and stretched liquidity metrics.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-01-30 |
| NEXT REPORT DATE: | 2026-05-01 |
| CASH FLOW | Begin Period Cash Flow | $ 127.2 M |
| Operating Cash Flow | $ 27.7 M | |
| Capital Expenditures | $ -46.57 M | |
| Change In Working Capital | $ -61.78 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -38.34 M | |
| End Period Cash Flow | $ 88.8 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 871.0 M | |
| Forward Revenue | — | |
| COSTS | ||
| Cost Of Revenue | $ 650.9 M | |
| Depreciation | $ 12.7 M | |
| Depreciation and Amortization | $ 12.7 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 772.8 M | |
| PROFITABILITY | ||
| Gross Profit | $ 220.0 M | |
| EBITDA | $ 128.9 M | |
| EBIT | $ 116.3 M | |
| Operating Income | $ 98.2 M | |
| Interest Income | $ 844.0 K | |
| Interest Expense | $ 313.0 K | |
| Net Interest Income | $ 378.0 K | |
| Income Before Tax | $ 115.9 M | |
| Tax Provision | $ 28.4 M | |
| Tax Rate | 24.499 % | |
| Net Income | $ 91.4 M | |
| Net Income From Continuing Operations | $ 91.8 M | |
| EARNINGS | ||
| EPS Estimate | $ 3.94 | |
| EPS Actual | $ 4.51 | |
| EPS Difference | $ 0.57 | |
| EPS Surprise | 14.467 % | |
| Forward EPS | — | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 1.7 B | |
| Intangible Assets | $ 146.0 M | |
| Net Tangible Assets | $ 815.1 M | |
| Total Current Assets | $ 1.1 B | |
| Cash and Short-Term Investments | $ 258.7 M | |
| Cash | $ 88.8 M | |
| Net Receivables | $ 628.9 M | |
| Inventory | $ 110.4 M | |
| Long-Term Investments | $ 12.7 M | |
| LIABILITIES | ||
| Accounts Payable | — | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 615.6 M | |
| Net Debt | — | |
| Total Debt | $ 65.8 M | |
| Total Liabilities | $ 693.2 M | |
| EQUITY | ||
| Total Equity | $ 961.1 M | |
| Retained Earnings | $ 891.8 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 48.23 | |
| Shares Outstanding | 19.927 M | |
| Revenue Per-Share | $ 43.71 | |
| VALUATION | Market Capitalization | $ 8.3 B |
| Enterprise Value | $ 8.2 B | |
| Enterprise Multiple | 63.254 | |
| Enterprise Multiple QoQ | 5.602 % | |
| Enterprise Multiple YoY | 20.493 % | |
| Enterprise Multiple IPRWA | high: 114.705 IESC: 63.254 mean: 59.789 median: 57.92 low: 14.602 |
|
| EV/R | 9.364 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.726 | |
| Asset To Liability | 2.392 | |
| Debt To Capital | 0.064 | |
| Debt To Assets | 0.04 | |
| Debt To Assets QoQ | -28.147 % | |
| Debt To Assets YoY | 22.212 % | |
| Debt To Assets IPRWA | high: 0.502 mean: 0.262 median: 0.255 IESC: 0.04 low: 0.001 |
|
| Debt To Equity | 0.068 | |
| Debt To Equity QoQ | -31.306 % | |
| Debt To Equity YoY | 8.788 % | |
| Debt To Equity IPRWA | high: 1.667 median: 0.72 mean: 0.687 IESC: 0.068 low: 0.001 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 8.687 | |
| Price To Book QoQ | 3.573 % | |
| Price To Book YoY | 19.234 % | |
| Price To Book IPRWA | high: 10.078 IESC: 8.687 mean: 5.469 median: 5.449 low: 0.932 |
|
| Price To Earnings (P/E) | 92.894 | |
| Price To Earnings QoQ | 24.138 % | |
| Price To Earnings YoY | — | |
| Price To Earnings IPRWA | high: 140.498 mean: 100.155 IESC: 92.894 median: 91.408 low: 75.161 |
|
| PE/G Ratio | -9.657 | |
| Price To Sales (P/S) | 9.586 | |
| Price To Sales QoQ | 16.08 % | |
| Price To Sales YoY | 51.155 % | |
| Price To Sales IPRWA | high: 16.841 IESC: 9.586 mean: 9.174 median: 5.567 low: 1.735 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | — | |
| Forward PE/G | — | |
| Forward P/S | — | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -2.185 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.535 | |
| Asset Turnover Ratio QoQ | -8.614 % | |
| Asset Turnover Ratio YoY | -10.405 % | |
| Asset Turnover Ratio IPRWA | IESC: 0.535 high: 0.444 median: 0.288 mean: 0.279 low: 0.104 |
|
| Receivables Turnover | 1.36 | |
| Receivables Turnover Ratio QoQ | -2.601 % | |
| Receivables Turnover Ratio YoY | 0.483 % | |
| Receivables Turnover Ratio IPRWA | high: 2.411 median: 2.23 mean: 2.125 IESC: 1.36 low: 1.149 |
|
| Inventory Turnover | 5.866 | |
| Inventory Turnover Ratio QoQ | -2.806 % | |
| Inventory Turnover Ratio YoY | 5.733 % | |
| Inventory Turnover Ratio IPRWA | high: 50.955 mean: 12.391 median: 8.805 IESC: 5.866 low: 0.315 |
|
| Days Sales Outstanding (DSO) | 67.102 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 82.334 | |
| Cash Conversion Cycle Days QoQ | 1.889 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 145.197 IESC: 82.334 mean: 30.863 median: 24.237 low: -7.314 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 1.763 | |
| CapEx To Revenue | -0.053 | |
| CapEx To Depreciation | -3.675 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 961.1 M | |
| Net Invested Capital | $ 961.1 M | |
| Invested Capital | $ 961.1 M | |
| Net Tangible Assets | $ 815.1 M | |
| Net Working Capital | $ 494.1 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.42 | |
| Current Ratio | 1.803 | |
| Current Ratio QoQ | 5.194 % | |
| Current Ratio YoY | 7.436 % | |
| Current Ratio IPRWA | high: 4.125 mean: 2.497 IESC: 1.803 median: 1.609 low: 0.909 |
|
| Quick Ratio | 1.623 | |
| Quick Ratio QoQ | 5.576 % | |
| Quick Ratio YoY | 10.392 % | |
| Quick Ratio IPRWA | high: 3.082 median: 2.903 mean: 2.688 IESC: 1.623 low: 0.895 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 0.51 | |
| Cost Of Debt | 0.307 % | |
| Interest Coverage Ratio | 371.441 | |
| Interest Coverage Ratio QoQ | 17.084 % | |
| Interest Coverage Ratio YoY | 110.67 % | |
| Interest Coverage Ratio IPRWA | IESC: 371.441 high: 58.522 mean: 13.64 median: 7.02 low: -5.195 |
|
| Operating Cash Flow Ratio | 0.209 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | — | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 3.93 % | |
| Revenue Growth | -2.99 % | |
| Revenue Growth QoQ | -448.079 % | |
| Revenue Growth YoY | -11.538 % | |
| Revenue Growth IPRWA | high: 27.652 % median: 4.395 % mean: -1.16 % IESC: -2.99 % low: -18.465 % |
|
| Earnings Growth | -9.619 % | |
| Earnings Growth QoQ | -131.058 % | |
| Earnings Growth YoY | — | |
| Earnings Growth IPRWA | high: 100.0 % IESC: -9.619 % mean: -10.971 % median: -13.2 % low: -53.922 % |
|
| MARGINS | ||
| Gross Margin | 25.261 % | |
| Gross Margin QoQ | -2.666 % | |
| Gross Margin YoY | 6.358 % | |
| Gross Margin IPRWA | high: 39.812 % mean: 26.576 % IESC: 25.261 % median: 23.237 % low: 6.24 % |
|
| EBIT Margin | 13.349 % | |
| EBIT Margin QoQ | 9.823 % | |
| EBIT Margin YoY | 28.097 % | |
| EBIT Margin IPRWA | high: 20.959 % IESC: 13.349 % mean: 12.311 % median: 10.611 % low: -0.291 % |
|
| Return On Sales (ROS) | 11.275 % | |
| Return On Sales QoQ | -3.077 % | |
| Return On Sales YoY | 8.195 % | |
| Return On Sales IPRWA | high: 19.746 % mean: 11.85 % IESC: 11.275 % median: 10.383 % low: -0.939 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -18.87 M | |
| Free Cash Flow Yield | -0.226 % | |
| Free Cash Flow Yield QoQ | -114.957 % | |
| Free Cash Flow Yield YoY | -144.576 % | |
| Free Cash Flow Yield IPRWA | high: 5.989 % median: 2.219 % mean: 2.138 % IESC: -0.226 % low: -1.174 % |
|
| Free Cash Growth | -116.848 % | |
| Free Cash Growth QoQ | -335.244 % | |
| Free Cash Growth YoY | 68.57 % | |
| Free Cash Growth IPRWA | high: 422.396 % mean: 41.074 % median: 3.234 % IESC: -116.848 % low: -888.19 % |
|
| Free Cash To Net Income | -0.206 | |
| Cash Flow Margin | 14.75 % | |
| Cash Flow To Earnings | 1.405 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 5.62 % | |
| Return On Assets QoQ | -15.374 % | |
| Return On Assets YoY | 25.223 % | |
| Return On Assets IPRWA | IESC: 5.62 % high: 3.25 % median: 2.277 % mean: 2.051 % low: -0.143 % |
|
| Return On Capital Employed (ROCE) | 11.149 % | |
| Return On Equity (ROE) | 0.095 | |
| Return On Equity QoQ | -17.377 % | |
| Return On Equity YoY | 10.243 % | |
| Return On Equity IPRWA | IESC: 0.095 high: 0.074 mean: 0.049 median: 0.047 low: -0.006 |
|
| DuPont ROE | 9.912 % | |
| Return On Invested Capital (ROIC) | 9.133 % | |
| Return On Invested Capital QoQ | -8.045 % | |
| Return On Invested Capital YoY | -111.175 % | |
| Return On Invested Capital IPRWA | IESC: 9.133 % high: 7.204 % mean: 3.535 % median: 3.319 % low: -0.352 % |
|