IHS HOLDING LTD (IHS) Stock Fundamental Analysis
USA - NYSE:IHS - KYG4701H1092 - Common Stock
6.63 USD
+0.2 (+3.11%)
Overall IHS gets a fundamental rating of 5 out of 10. We evaluated IHS against 36 industry peers in the Diversified Telecommunication Services industry. IHS has an average financial health and profitability rating. IHS may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
IHS had positive earnings in the past year.
IHS had a positive operating cash flow in the past year.
In the past 5 years IHS always reported negative net income.
In the past 5 years IHS always reported a positive cash flow from operatings.
1.2 Ratios
IHS's Return On Assets of -1.02% is in line compared to the rest of the industry. IHS outperforms 52.78% of its industry peers.
IHS's Return On Invested Capital of 14.82% is amongst the best of the industry. IHS outperforms 97.22% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IHS is above the industry average of 5.86%.
The 3 year average ROIC (9.60%) for IHS is below the current ROIC(14.82%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.02% | ||
| ROE | N/A | ||
| ROIC | 14.82% |
ROA(3y)-27.43%
ROA(5y)-18%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.6%
ROIC(5y)8.75%
1.3 Margins
IHS has a Operating Margin of 39.61%. This is amongst the best in the industry. IHS outperforms 97.22% of its industry peers.
In the last couple of years the Operating Margin of IHS has grown nicely.
IHS has a Gross Margin (51.75%) which is comparable to the rest of the industry.
IHS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.61% | ||
| PM (TTM) | N/A | ||
| GM | 51.75% |
OM growth 3Y3.31%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.27%
GM growth 5Y6.43%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), IHS is creating some value.
IHS has about the same amout of shares outstanding than it did 1 year ago.
IHS has more shares outstanding than it did 5 years ago.
The debt/assets ratio for IHS is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.60, we must say that IHS is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -0.60, IHS is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
The Debt to FCF ratio of IHS is 6.66, which is on the high side as it means it would take IHS, 6.66 years of fcf income to pay off all of its debts.
IHS has a Debt to FCF ratio of 6.66. This is amongst the best in the industry. IHS outperforms 80.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 6.66 | ||
| Altman-Z | -0.6 |
ROIC/WACC1.77
WACC8.39%
2.3 Liquidity
A Current Ratio of 1.27 indicates that IHS should not have too much problems paying its short term obligations.
IHS has a better Current ratio (1.27) than 66.67% of its industry peers.
IHS has a Quick Ratio of 1.21. This is a normal value and indicates that IHS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of IHS (1.21) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.21 |
3. Growth
3.1 Past
IHS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 104.46%, which is quite impressive.
The Revenue for IHS has decreased by -19.49% in the past year. This is quite bad
IHS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.81% yearly.
EPS 1Y (TTM)104.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.78%
Revenue 1Y (TTM)-19.49%
Revenue growth 3Y2.7%
Revenue growth 5Y6.81%
Sales Q2Q%-0.48%
3.2 Future
The Earnings Per Share is expected to grow by 22.21% on average over the next years. This is a very strong growth
Based on estimates for the next years, IHS will show a small growth in Revenue. The Revenue will grow by 5.19% on average per year.
EPS Next Y107.21%
EPS Next 2Y44.88%
EPS Next 3Y28.74%
EPS Next 5Y22.21%
Revenue Next Year2.22%
Revenue Next 2Y3.87%
Revenue Next 3Y4.52%
Revenue Next 5Y5.19%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
IHS is valuated rather expensively with a Price/Earnings ratio of 20.72.
Based on the Price/Earnings ratio, IHS is valued a bit cheaper than the industry average as 61.11% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.02, IHS is valued a bit cheaper.
The Price/Forward Earnings ratio is 13.63, which indicates a correct valuation of IHS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IHS indicates a somewhat cheap valuation: IHS is cheaper than 75.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of IHS to the average of the S&P500 Index (22.57), we can say IHS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.72 | ||
| Fwd PE | 13.63 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IHS indicates a rather cheap valuation: IHS is cheaper than 91.67% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IHS indicates a rather cheap valuation: IHS is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.74 | ||
| EV/EBITDA | 5.22 |
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.
IHS has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as IHS's earnings are expected to grow with 28.74% in the coming years.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y44.88%
EPS Next 3Y28.74%
5. Dividend
5.1 Amount
IHS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:IHS (10/13/2025, 12:23:21 PM)
6.63
+0.2 (+3.11%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners25.21%
Inst Owner Change0%
Ins Owners6.35%
Ins Owner Change0%
Market Cap2.22B
Analysts80
Price Target9.86 (48.72%)
Short Float %0.2%
Short Ratio0.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)876.64%
Min EPS beat(2)31.31%
Max EPS beat(2)1721.96%
EPS beat(4)2
Avg EPS beat(4)119.93%
Min EPS beat(4)-886.1%
Max EPS beat(4)1721.96%
EPS beat(8)2
Avg EPS beat(8)-4862.14%
EPS beat(12)2
Avg EPS beat(12)-3671.69%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.76%
Min Revenue beat(2)2.24%
Max Revenue beat(2)5.28%
Revenue beat(4)4
Avg Revenue beat(4)2.41%
Min Revenue beat(4)0.65%
Max Revenue beat(4)5.28%
Revenue beat(8)8
Avg Revenue beat(8)3.08%
Revenue beat(12)12
Avg Revenue beat(12)3.56%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)9.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)8.66%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.72 | ||
| Fwd PE | 13.63 | ||
| P/S | 1.28 | ||
| P/FCF | 3.74 | ||
| P/OCF | 2.61 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.22 |
EPS(TTM)0.32
EY4.83%
EPS(NY)0.49
Fwd EY7.34%
FCF(TTM)1.77
FCFY26.7%
OCF(TTM)2.54
OCFY38.35%
SpS5.17
BVpS-1.05
TBVpS-4.37
PEG (NY)0.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.02% | ||
| ROE | N/A | ||
| ROCE | 18.76% | ||
| ROIC | 14.82% | ||
| ROICexc | 17.89% | ||
| ROICexgc | 28.31% | ||
| OM | 39.61% | ||
| PM (TTM) | N/A | ||
| GM | 51.75% | ||
| FCFM | 34.27% |
ROA(3y)-27.43%
ROA(5y)-18%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.6%
ROIC(5y)8.75%
ROICexc(3y)10.85%
ROICexc(5y)10.14%
ROICexgc(3y)17.62%
ROICexgc(5y)16.87%
ROCE(3y)12.15%
ROCE(5y)11.08%
ROICexcg growth 3Y10.13%
ROICexcg growth 5YN/A
ROICexc growth 3Y13.99%
ROICexc growth 5YN/A
OM growth 3Y3.31%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.27%
GM growth 5Y6.43%
F-Score5
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 6.66 | ||
| Debt/EBITDA | 3.48 | ||
| Cap/Depr | 71.04% | ||
| Cap/Sales | 14.94% | ||
| Interest Coverage | 1.87 | ||
| Cash Conversion | 81.15% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.21 | ||
| Altman-Z | -0.6 |
F-Score5
WACC8.39%
ROIC/WACC1.77
Cap/Depr(3y)110.32%
Cap/Depr(5y)98.43%
Cap/Sales(3y)24.14%
Cap/Sales(5y)22.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)104.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.78%
EPS Next Y107.21%
EPS Next 2Y44.88%
EPS Next 3Y28.74%
EPS Next 5Y22.21%
Revenue 1Y (TTM)-19.49%
Revenue growth 3Y2.7%
Revenue growth 5Y6.81%
Sales Q2Q%-0.48%
Revenue Next Year2.22%
Revenue Next 2Y3.87%
Revenue Next 3Y4.52%
Revenue Next 5Y5.19%
EBIT growth 1Y37.13%
EBIT growth 3Y6.1%
EBIT growth 5YN/A
EBIT Next Year153.89%
EBIT Next 3Y36.56%
EBIT Next 5Y26.84%
FCF growth 1Y47.25%
FCF growth 3Y9.78%
FCF growth 5Y3.7%
OCF growth 1Y-14.21%
OCF growth 3Y-0.95%
OCF growth 5Y2.58%