IAC INC (IAC) Stock Fundamental Analysis
NASDAQ:IAC - Nasdaq - US44891N2080 - Common Stock - Currency: USD
IAC gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 70 industry peers in the Interactive Media & Services industry. The financial health of IAC is average, but there are quite some concerns on its profitability. IAC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year IAC has reported negative net income.
In the past year IAC had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: IAC reported negative net income in multiple years.
Of the past 5 years IAC 4 years had a positive operating cash flow.
1.2 Ratios
IAC has a Return On Assets of -11.16%. This is in the lower half of the industry: IAC underperforms 65.71% of its industry peers.
IAC's Return On Equity of -17.01% is on the low side compared to the rest of the industry. IAC is outperformed by 60.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.97%, IAC is in line with its industry, outperforming 55.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -11.16% | ||
| ROE | -17.01% | ||
| ROIC | 0.97% |
ROA(3y)-4.78%
ROA(5y)-1.34%
ROE(3y)-8.34%
ROE(5y)-2.58%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
IAC has a Operating Margin (2.63%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of IAC has declined.
IAC has a Gross Margin of 71.19%. This is comparable to the rest of the industry: IAC outperforms 55.71% of its industry peers.
IAC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.63% | ||
| PM (TTM) | N/A | ||
| GM | 71.19% |
OM growth 3YN/A
OM growth 5Y-27.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.7%
GM growth 5Y-1.59%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IAC is destroying value.
IAC has more shares outstanding than it did 1 year ago.
IAC has more shares outstanding than it did 5 years ago.
The debt/assets ratio for IAC is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.34, we must say that IAC is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 1.34, IAC perfoms like the industry average, outperforming 48.57% of the companies in the same industry.
IAC has a debt to FCF ratio of 6.27. This is a slightly negative value and a sign of low solvency as IAC would need 6.27 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.27, IAC is in line with its industry, outperforming 55.71% of the companies in the same industry.
A Debt/Equity ratio of 0.30 indicates that IAC is not too dependend on debt financing.
IAC has a Debt to Equity ratio (0.30) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 6.27 | ||
| Altman-Z | 1.34 |
ROIC/WACC0.11
WACC9.23%
2.3 Liquidity
A Current Ratio of 2.70 indicates that IAC has no problem at all paying its short term obligations.
The Current ratio of IAC (2.70) is better than 62.86% of its industry peers.
IAC has a Quick Ratio of 2.70. This indicates that IAC is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 2.70, IAC is doing good in the industry, outperforming 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.7 | ||
| Quick Ratio | 2.7 |
3. Growth
3.1 Past
IAC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -479.04%.
The Revenue for IAC has decreased by -18.11% in the past year. This is quite bad
Measured over the past years, IAC shows a quite strong growth in Revenue. The Revenue has been growing by 8.69% on average per year.
EPS 1Y (TTM)-479.04%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-617.65%
Revenue 1Y (TTM)-18.11%
Revenue growth 3Y0.96%
Revenue growth 5Y8.69%
Sales Q2Q%-38.64%
3.2 Future
The Earnings Per Share is expected to grow by 20.44% on average over the next years. This is a very strong growth
IAC is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -6.77% yearly.
EPS Next Y69.85%
EPS Next 2Y45.64%
EPS Next 3Y30.95%
EPS Next 5Y20.44%
Revenue Next Year-33.61%
Revenue Next 2Y-18.3%
Revenue Next 3Y-11.94%
Revenue Next 5Y-6.77%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
IAC reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
A Price/Forward Earnings ratio of 51.77 indicates a quite expensive valuation of IAC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IAC is on the same level as its industry peers.
IAC's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 36.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 51.77 |
4.2 Price Multiples
75.71% of the companies in the same industry are more expensive than IAC, based on the Enterprise Value to EBITDA ratio.
71.43% of the companies in the same industry are more expensive than IAC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.97 | ||
| EV/EBITDA | 10.97 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as IAC's earnings are expected to grow with 30.95% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y45.64%
EPS Next 3Y30.95%
5. Dividend
5.1 Amount
No dividends for IAC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:IAC (7/21/2025, 10:25:54 AM)
40.83
+0.07 (+0.17%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners102.06%
Inst Owner Change-1.61%
Ins Owners2.41%
Ins Owner Change19.34%
Market Cap3.26B
Analysts80
Price Target52.53 (28.66%)
Short Float %7.55%
Short Ratio5.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-642.79%
Min EPS beat(2)-1090.55%
Max EPS beat(2)-195.02%
EPS beat(4)0
Avg EPS beat(4)-689.18%
Min EPS beat(4)-1212.01%
Max EPS beat(4)-195.02%
EPS beat(8)2
Avg EPS beat(8)-163.68%
EPS beat(12)5
Avg EPS beat(12)-48.99%
EPS beat(16)8
Avg EPS beat(16)5.3%
Revenue beat(2)1
Avg Revenue beat(2)-10.84%
Min Revenue beat(2)-26.51%
Max Revenue beat(2)4.83%
Revenue beat(4)2
Avg Revenue beat(4)-5.3%
Min Revenue beat(4)-26.51%
Max Revenue beat(4)4.83%
Revenue beat(8)2
Avg Revenue beat(8)-3.29%
Revenue beat(12)3
Avg Revenue beat(12)-2.65%
Revenue beat(16)5
Avg Revenue beat(16)-1.07%
PT rev (1m)-2.68%
PT rev (3m)-22.17%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1413.35%
EPS NY rev (1m)0%
EPS NY rev (3m)-620.42%
Revenue NQ rev (1m)0.07%
Revenue NQ rev (3m)-31.46%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-29.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 51.77 | ||
| P/S | 0.95 | ||
| P/FCF | 13.97 | ||
| P/OCF | 11.33 | ||
| P/B | 0.69 | ||
| P/tB | 1.49 | ||
| EV/EBITDA | 10.97 |
EPS(TTM)-9.67
EYN/A
EPS(NY)0.79
Fwd EY1.93%
FCF(TTM)2.92
FCFY7.16%
OCF(TTM)3.6
OCFY8.83%
SpS43.19
BVpS59.04
TBVpS27.42
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -11.16% | ||
| ROE | -17.01% | ||
| ROCE | 1.38% | ||
| ROIC | 0.97% | ||
| ROICexc | 1.18% | ||
| ROICexgc | 2.21% | ||
| OM | 2.63% | ||
| PM (TTM) | N/A | ||
| GM | 71.19% | ||
| FCFM | 6.77% |
ROA(3y)-4.78%
ROA(5y)-1.34%
ROE(3y)-8.34%
ROE(5y)-2.58%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-41.85%
ROICexc growth 3YN/A
ROICexc growth 5Y-34.58%
OM growth 3YN/A
OM growth 5Y-27.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.7%
GM growth 5Y-1.59%
F-Score5
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 6.27 | ||
| Debt/EBITDA | 4.38 | ||
| Cap/Depr | 23.31% | ||
| Cap/Sales | 1.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 88.79% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.7 | ||
| Quick Ratio | 2.7 | ||
| Altman-Z | 1.34 |
F-Score5
WACC9.23%
ROIC/WACC0.11
Cap/Depr(3y)28.67%
Cap/Depr(5y)35.45%
Cap/Sales(3y)2.54%
Cap/Sales(5y)2.45%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-479.04%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-617.65%
EPS Next Y69.85%
EPS Next 2Y45.64%
EPS Next 3Y30.95%
EPS Next 5Y20.44%
Revenue 1Y (TTM)-18.11%
Revenue growth 3Y0.96%
Revenue growth 5Y8.69%
Sales Q2Q%-38.64%
Revenue Next Year-33.61%
Revenue Next 2Y-18.3%
Revenue Next 3Y-11.94%
Revenue Next 5Y-6.77%
EBIT growth 1Y150.5%
EBIT growth 3YN/A
EBIT growth 5Y-21%
EBIT Next Year6855.7%
EBIT Next 3Y341.65%
EBIT Next 5Y154.11%
FCF growth 1Y215.71%
FCF growth 3Y83.47%
FCF growth 5Y13.02%
OCF growth 1Y508.03%
OCF growth 3Y37.29%
OCF growth 5Y7.08%