INSTEEL INDUSTRIES INC (IIIN) Stock Fundamental Analysis
NYSE:IIIN - US45774W1080 - Common Stock
38.99 USD
+0.11 (+0.28%)
Taking everything into account, IIIN scores 7 out of 10 in our fundamental rating. IIIN was compared to 41 industry peers in the Building Products industry. While IIIN has a great health rating, its profitability is only average at the moment. IIIN is growing strongly while it is still valued neutral. This is a good combination! With these ratings, IIIN could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
IIIN had positive earnings in the past year.
IIIN had a positive operating cash flow in the past year.
Each year in the past 5 years IIIN has been profitable.
Each year in the past 5 years IIIN had a positive operating cash flow.
1.2 Ratios
IIIN's Return On Assets of 6.60% is in line compared to the rest of the industry. IIIN outperforms 56.10% of its industry peers.
IIIN has a Return On Equity (8.74%) which is comparable to the rest of the industry.
IIIN has a Return On Invested Capital (8.13%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for IIIN is in line with the industry average of 12.73%.
The 3 year average ROIC (13.67%) for IIIN is well above the current ROIC(8.13%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.6% | ||
| ROE | 8.74% | ||
| ROIC | 8.13% |
ROA(3y)12.77%
ROA(5y)12.2%
ROE(3y)15.36%
ROE(5y)15.06%
ROIC(3y)13.67%
ROIC(5y)13.79%
1.3 Margins
Looking at the Profit Margin, with a value of 5.15%, IIIN is in line with its industry, outperforming 41.46% of the companies in the same industry.
In the last couple of years the Profit Margin of IIIN has grown nicely.
IIIN's Operating Margin of 6.67% is on the low side compared to the rest of the industry. IIIN is outperformed by 70.73% of its industry peers.
In the last couple of years the Operating Margin of IIIN has grown nicely.
IIIN has a Gross Margin of 12.75%. This is amonst the worse of the industry: IIIN underperforms 95.12% of its industry peers.
IIIN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.67% | ||
| PM (TTM) | 5.15% | ||
| GM | 12.75% |
OM growth 3Y-36.94%
OM growth 5Y25.24%
PM growth 3Y-31.35%
PM growth 5Y24.31%
GM growth 3Y-23.04%
GM growth 5Y7.26%
2. Health
2.1 Basic Checks
IIIN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, IIIN has less shares outstanding
Compared to 5 years ago, IIIN has more shares outstanding
IIIN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 6.66 indicates that IIIN is not in any danger for bankruptcy at the moment.
IIIN has a Altman-Z score of 6.66. This is in the better half of the industry: IIIN outperforms 78.05% of its industry peers.
There is no outstanding debt for IIIN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.66 |
ROIC/WACC0.78
WACC10.44%
2.3 Liquidity
A Current Ratio of 2.94 indicates that IIIN has no problem at all paying its short term obligations.
The Current ratio of IIIN (2.94) is better than 80.49% of its industry peers.
A Quick Ratio of 1.61 indicates that IIIN should not have too much problems paying its short term obligations.
IIIN has a better Quick ratio (1.61) than 70.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.94 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 53.85% over the past year.
Measured over the past years, IIIN shows a very strong growth in Earnings Per Share. The EPS has been growing by 33.90% on average per year.
Looking at the last year, IIIN shows a quite strong growth in Revenue. The Revenue has grown by 9.44% in the last year.
The Revenue has been growing slightly by 3.04% on average over the past years.
EPS 1Y (TTM)53.85%
EPS 3Y-34.48%
EPS 5Y33.9%
EPS Q2Q%129.41%
Revenue 1Y (TTM)9.44%
Revenue growth 3Y-3.59%
Revenue growth 5Y3.04%
Sales Q2Q%23.4%
3.2 Future
The Earnings Per Share is expected to grow by 48.84% on average over the next years. This is a very strong growth
Based on estimates for the next years, IIIN will show a quite strong growth in Revenue. The Revenue will grow by 10.15% on average per year.
EPS Next Y124.61%
EPS Next 2Y68.78%
EPS Next 3Y48.84%
EPS Next 5YN/A
Revenue Next Year19.71%
Revenue Next 2Y13.18%
Revenue Next 3Y10.15%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 24.37 indicates a rather expensive valuation of IIIN.
IIIN's Price/Earnings ratio is in line with the industry average.
IIIN's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.02.
Based on the Price/Forward Earnings ratio of 13.82, the valuation of IIIN can be described as correct.
Based on the Price/Forward Earnings ratio, IIIN is valued a bit cheaper than 78.05% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.66. IIIN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.37 | ||
| Fwd PE | 13.82 |
4.2 Price Multiples
63.41% of the companies in the same industry are more expensive than IIIN, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, IIIN is valued cheaply inside the industry as 82.93% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.49 | ||
| EV/EBITDA | 12.08 |
4.3 Compensation for Growth
IIIN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
IIIN has a very decent profitability rating, which may justify a higher PE ratio.
IIIN's earnings are expected to grow with 48.84% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.2
PEG (5Y)0.72
EPS Next 2Y68.78%
EPS Next 3Y48.84%
5. Dividend
5.1 Amount
IIIN has a yearly dividend return of 0.31%, which is pretty low.
IIIN's Dividend Yield is comparable with the industry average which is at 1.12.
Compared to an average S&P500 Dividend Yield of 2.45, IIIN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.31% |
5.2 History
On average, the dividend of IIIN grows each year by 85.37%, which is quite nice.
IIIN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)85.37%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
IIIN pays out 69.88% of its income as dividend. This is not a sustainable payout ratio.
IIIN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP69.88%
EPS Next 2Y68.78%
EPS Next 3Y48.84%
NYSE:IIIN (9/8/2025, 12:18:23 PM)
38.99
+0.11 (+0.28%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners87.5%
Inst Owner Change-2.9%
Ins Owners4.74%
Ins Owner Change0.53%
Market Cap756.80M
Analysts43.33
Price Target39.78 (2.03%)
Short Float %1.85%
Short Ratio2.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.31% |
Yearly Dividend2.62
Dividend Growth(5Y)85.37%
DP69.88%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)61.49%
Min EPS beat(2)34.16%
Max EPS beat(2)88.82%
EPS beat(4)3
Avg EPS beat(4)26.46%
Min EPS beat(4)-24.1%
Max EPS beat(4)88.82%
EPS beat(8)5
Avg EPS beat(8)7.55%
EPS beat(12)5
Avg EPS beat(12)-5.99%
EPS beat(16)8
Avg EPS beat(16)2.09%
Revenue beat(2)2
Avg Revenue beat(2)3.17%
Min Revenue beat(2)1.24%
Max Revenue beat(2)5.11%
Revenue beat(4)3
Avg Revenue beat(4)1.33%
Min Revenue beat(4)-9.32%
Max Revenue beat(4)8.28%
Revenue beat(8)3
Avg Revenue beat(8)-3.46%
Revenue beat(12)3
Avg Revenue beat(12)-5.74%
Revenue beat(16)5
Avg Revenue beat(16)-3.37%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-13.46%
EPS NQ rev (3m)23.85%
EPS NY rev (1m)30.93%
EPS NY rev (3m)30.93%
Revenue NQ rev (1m)-1.95%
Revenue NQ rev (3m)4.68%
Revenue NY rev (1m)-0.72%
Revenue NY rev (3m)2.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.37 | ||
| Fwd PE | 13.82 | ||
| P/S | 1.25 | ||
| P/FCF | 14.49 | ||
| P/OCF | 12.53 | ||
| P/B | 2.12 | ||
| P/tB | 2.51 | ||
| EV/EBITDA | 12.08 |
EPS(TTM)1.6
EY4.1%
EPS(NY)2.82
Fwd EY7.23%
FCF(TTM)2.69
FCFY6.9%
OCF(TTM)3.11
OCFY7.98%
SpS31.15
BVpS18.35
TBVpS15.53
PEG (NY)0.2
PEG (5Y)0.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.6% | ||
| ROE | 8.74% | ||
| ROCE | 10.55% | ||
| ROIC | 8.13% | ||
| ROICexc | 9.46% | ||
| ROICexgc | 11.35% | ||
| OM | 6.67% | ||
| PM (TTM) | 5.15% | ||
| GM | 12.75% | ||
| FCFM | 8.64% |
ROA(3y)12.77%
ROA(5y)12.2%
ROE(3y)15.36%
ROE(5y)15.06%
ROIC(3y)13.67%
ROIC(5y)13.79%
ROICexc(3y)16.6%
ROICexc(5y)17.63%
ROICexgc(3y)17.46%
ROICexgc(5y)18.79%
ROCE(3y)17.74%
ROCE(5y)17.9%
ROICexcg growth 3Y-42.14%
ROICexcg growth 5Y24.68%
ROICexc growth 3Y-41.77%
ROICexc growth 5Y25.14%
OM growth 3Y-36.94%
OM growth 5Y25.24%
PM growth 3Y-31.35%
PM growth 5Y24.31%
GM growth 3Y-23.04%
GM growth 5Y7.26%
F-Score7
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 46.14% | ||
| Cap/Sales | 1.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 104.04% | ||
| Profit Quality | 167.7% | ||
| Current Ratio | 2.94 | ||
| Quick Ratio | 1.61 | ||
| Altman-Z | 6.66 |
F-Score7
WACC10.44%
ROIC/WACC0.78
Cap/Depr(3y)154.91%
Cap/Depr(5y)127.01%
Cap/Sales(3y)3.42%
Cap/Sales(5y)2.95%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)53.85%
EPS 3Y-34.48%
EPS 5Y33.9%
EPS Q2Q%129.41%
EPS Next Y124.61%
EPS Next 2Y68.78%
EPS Next 3Y48.84%
EPS Next 5YN/A
Revenue 1Y (TTM)9.44%
Revenue growth 3Y-3.59%
Revenue growth 5Y3.04%
Sales Q2Q%23.4%
Revenue Next Year19.71%
Revenue Next 2Y13.18%
Revenue Next 3Y10.15%
Revenue Next 5YN/A
EBIT growth 1Y94.32%
EBIT growth 3Y-39.21%
EBIT growth 5Y29.05%
EBIT Next Year191.98%
EBIT Next 3Y56.45%
EBIT Next 5YN/A
FCF growth 1Y-18.02%
FCF growth 3Y-9.33%
FCF growth 5YN/A
OCF growth 1Y-35.68%
OCF growth 3Y-5.92%
OCF growth 5Y54.56%