IES Holdings, Inc. (IESC)

Price$324.13Cached quoteAs of 2026-09-27 03:22 UTC

AI: Overvalued

Price checkThe market already prices in years of strong growth, leaving little room for ordinary setbacks.

Using split-adjusted trailing diluted earnings of about $11.26 per share, the observed market value equals about 29 times recent earnings. With roughly 39.85 million post-split shares, equity value is about $13.2 billion. Trailing operating cash flow was about $371 million and capital spending about $175 million, leaving roughly $197 million of free cash flow, meaning cash left after running and investing in the business. That is only about a 1.5% cash yield. Even at 20 times earnings, profits would need to grow about 47% to support the observed valuation.

Big pictureProfits are rising quickly, but cash generation has not kept pace with reported earnings.

Fiscal 2025 revenue reached $3.37 billion, up from $1.19 billion in fiscal 2020, while net income rose to $306 million from $42 million. The latest four reported quarters produced about $3.99 billion of revenue and $452 million of net income. Cash did not rise as fast: free cash flow was about $197 million, partly because capital spending accelerated. The first nine months of fiscal 2026 also included an $80.4 million gain on marketable securities, so part of reported profit came from investments rather than customer work. That makes recent earnings less repeatable than the headline growth suggests.

Business strengthRecord backlog and a debt-free quarter support growth, while housing weakness shows real cyclicality.

Backlog reached $4.53 billion at June 30, up 91% from fiscal-year end, with Communications, Infrastructure Solutions and Commercial & Industrial driving the expansion. Third-quarter revenue in those segments rose 51%, 73% and 109% from a year earlier. Residential revenue fell 6%, showing exposure to housing cycles. IES ended the quarter with $77 million of cash, $311 million of marketable securities and no debt. Share count fell about 4% from fiscal 2020 through fiscal 2025, while buybacks totaled roughly $94 million across fiscal 2023-2025, limiting dilution.

What could change the storyBetter cash conversion could justify the premium, while the DBM deal could weaken downside protection.

IES plans to buy DBM Global, adding about $1.3 billion of trailing revenue and a new structural-steel business. Total consideration is about $685 million including a tax-related payment, with roughly $545 million in cash and $140 million in IES shares; the cash portion is expected to use cash plus new borrowing. The stock component would add roughly 1% to the post-split share count. If combined free cash flow moves above about $300 million while backlog stays near current levels, the premium becomes easier to defend. Integration problems or debt staying elevated would strengthen the bear case.

AI: News

Record third-quarter resultsRevenue and profit surged as data-center work expanded, lifting expectations for the core business.

On July 31, IES reported fiscal third-quarter revenue of $1.243 billion, up 40% year over year, operating income of $178.5 million, up 60%, and attributable net income of $153.0 million, up 98%. Backlog reached $4.53 billion, up 91% from fiscal-year end. Investing.com reported a 13.9% premarket share jump, while later financial reporting showed a much larger session gain. The timing strongly links the move with the release, although the simultaneous stock-split announcement makes precise attribution uncertain.

DBM Global acquisitionIES agreed to a large steel acquisition that broadens growth opportunities but introduces debt and integration risk.

On August 10, IES announced an agreement to acquire DBM Global, which generated about $1.3 billion of trailing revenue. The announced structure calls for about $685 million of total consideration including a tax-related payment, with about $545 million in cash and $140 million in IES shares. IES expects to fund the cash portion partly with borrowings. MT Newswires reported IES shares were marginally lower in premarket trading, suggesting an initially cautious rather than decisive investor reaction.

Two-for-one stock splitThe split doubled the share count and lowered the quoted price without changing the company's total value.

The board approved a two-for-one split on July 29, announced July 31, with one additional share distributed after the August 21 close for each share held on the August 14 record date. The split changes per-share figures mechanically, not the underlying business value. Historical earnings per share therefore need to be halved when compared with post-split quotations. Any effect on investor demand from a lower nominal share price or improved trading liquidity is secondary and cannot be separated cleanly from the strong earnings announcement.

Loading local price history

Revenue

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

Net income

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

Free cash flow

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

Total cash / debt

CashTotal debt

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

Financial statements

	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009
Revenue	$3.37B	$2.88B	$2.38B	$2.17B	$1.54B	$1.19B	$1.08B	$876.8M	$810.7M	$696.0M	$573.9M	$512.4M	$494.6M	$456.1M	$406.1M	$382.4M	$667.0M
Gross profit	$859.5M	$696.6M	$444.5M	$318.9M	$288.0M	$228.0M	$182.1M	$150.0M	$140.5M	$127.0M	$99.9M	$83.1M	$67.0M	$58.1M	$44.4M	$55.5M	$109.1M
Gross margin	25.49%	24.15%	18.70%	14.72%	18.74%	19.14%	16.91%	17.10%	17.33%	18.24%	17.41%	16.22%	13.54%	12.73%	10.93%	14.51%	16.36%
Operating expenses	$476.0M	$395.7M	$284.8M	$262.9M	$202.4M	$177.9M	$140.3M	$124.0M	$120.2M	$102.0M	$81.4M	$75.5M	$66.5M	$58.4M	$61.6M	$74.9M	$115.1M
Operating income	$383.5M	$300.9M	$159.8M	$56.0M	$85.6M	$50.1M	$41.9M	$26.0M	$20.3M	$25.0M	$18.5M	$7.6M	$426,000	−$389,000	−$17.2M	−$19.4M	−$6.0M
Operating margin	11.38%	10.43%	6.72%	2.58%	5.57%	4.21%	3.89%	2.96%	2.51%	3.59%	3.22%	1.49%	0.09%	−0.09%	−4.23%	−5.07%	−0.90%
EBITDA	$430.5M	$338.0M	$189.2M	$81.5M	$107.5M	$62.6M	$51.4M	$34.8M	$30.0M	$30.6M	$21.0M	$10.2M	$3.0M	$1.8M	−$10.8M	−$14.1M	$2.3M
EBITDA margin	12.77%	11.72%	7.96%	3.76%	7.00%	5.26%	4.77%	3.97%	3.70%	4.40%	3.66%	1.98%	0.60%	0.39%	−2.67%	−3.69%	0.35%
Net income	$306.0M	$219.1M	$108.3M	$34.8M	$66.7M	$41.6M	$33.2M	−$14.2M	$13.4M	$120.8M	$16.5M	$5.3M	−$3.6M	−$11.8M	−$37.8M	−$31.2M	−$12.1M
Net profit margin	9.08%	7.60%	4.56%	1.60%	4.34%	3.49%	3.08%	−1.61%	1.66%	17.35%	2.88%	1.04%	−0.72%	−2.59%	−9.31%	−8.15%	−1.81%
Basic EPSper basic share	$15.22	$10.02	$4.58	$1.45	$3.19	$1.96	$1.56	-$0.67	$0.62	$5.63	$0.77	$0.29	-$0.23	-$0.78	-$2.61	-$2.16	-$0.84
Diluted EPSper diluted share	$15.02	$9.89	$4.54	$1.44	$3.15	$1.94	$1.55	-$0.67	$0.62	$5.62	$0.77	$0.29	-$0.23	-$0.78	-$2.61	-$2.16	-$0.84

Review official source filings ↗

Owners

Reported shareholders

Reference date Jun 30, 2026

≈52.23%of listed shares

Tontine Associates, LLC / GENDELL JEFFREY L ET AL / TONTINE MANAGEMENT LLC / TONTINE ASSET ASSOCIATES, L.L.C. / TONTINE CAPITAL MANAGEMENT LLC / TONTINE CAPITAL OVERSEAS MASTER FUND II, L.P. / Tontine Capital Overseas GP, LLC / TONTINE CAPITAL PARTNERS L P10.41M shares · Jun 12, 2026

View holders

Top 20 reported holders of IESC
Holder	% owned
Tontine Associates, LLC / GENDELL JEFFREY L ET AL / TONTINE MANAGEMENT LLC / TONTINE ASSET ASSOCIATES, L.L.C. / TONTINE CAPITAL MANAGEMENT LLC / TONTINE CAPITAL OVERSEAS MASTER FUND II, L.P. / Tontine Capital Overseas GP, LLC / TONTINE CAPITAL PARTNERS L P	≈52.23%10.41M shares
GENDELL JEFFREY L	51.66%10.29M shares
FMR LLC	11.27%2.25M shares
BlackRock, Inc.	4.43%883.52K shares
DIMENSIONAL FUND ADVISORS LP	2.11%420.42K shares
VANGUARD CAPITAL MANAGEMENT LLC	2.02%401.94K shares
VANGUARD PORTFOLIO MANAGEMENT LLC	1.91%380.32K shares
FIRST TRUST ADVISORS LP	1.74%346.73K shares
STATE STREET CORP	1.38%274.07K shares
GEODE CAPITAL MANAGEMENT, LLC	1.34%267K shares
Capital International Investors	1.03%205.6K shares
UBS Group AG	1.00%198.56K shares
Pertento Partners LLP	0.85%168.46K shares
MORGAN STANLEY	0.77%154.22K shares
ROYCE & ASSOCIATES LP	0.75%149.03K shares
Thrivent Financial for Lutherans	0.73%144.74K shares
ARROWSTREET CAPITAL, LIMITED PARTNERSHIP	0.64%126.63K shares
FRANKLIN RESOURCES INC	0.63%126.51K shares
Invesco Ltd.	0.61%121.78K shares
Gendell David B.	≈0.59%116.79K shares

Percentages use 19.92M shares of this listed class outstanding on Jun 30, 2026. ≈ compares the latest reported holding with a share total from a different date; it is not a confirmed current stake.

Reported positions exceed 100% in total, so the circle shows the selected holder only.

Source: SEC Form 4 ↗Updated Sep 29, 2026 · Quarterly data

Insider buys & sells

Jul 1, 2024–Jun 30, 2026

Buys0$0.00 disclosed value

Sells (SEC code S)239$389.43M disclosed value

Transaction	Insider	Type	Shares	Price	Value	Owned after
Jun 12, 2026Form 4	Tontine Associates, LLC +7TenPercentOwner	SellCommon Stock, par value $0.01 per share · indirect	6.7K	$764.54	$5.14M	10.41M
Jun 12, 2026Form 4	Tontine Associates, LLC +7TenPercentOwner	SellCommon Stock, par value $0.01 per share · indirect	2.5K	$761.73	$1.91M	10.41M
Jun 12, 2026Form 4	Tontine Associates, LLC +7TenPercentOwner	SellCommon Stock, par value $0.01 per share · indirect	10.0K	$760.47	$7.60M	10.42M
Jun 12, 2026Form 4	Tontine Associates, LLC +7TenPercentOwner	SellCommon Stock, par value $0.01 per share · indirect	7.5K	$758.74	$5.68M	10.43M
Jun 12, 2026Form 4	Tontine Associates, LLC +7TenPercentOwner	SellCommon Stock, par value $0.01 per share · indirect	4	$752.18	$3.0K	10.43M

Review ownership filings at SEC.gov ↗

Community posts

View community

It’s quiet here.

No posts about IESC yet. Start the conversation.

Write the first post

IES Holdings, Inc. (IESC)

Financial charts

Financial statements

Owners

Insider buys & sells

Community posts

It’s quiet here.