INSTEEL INDUSTRIES INC (IIIN) Stock Fundamental Analysis
USA - NYSE:IIIN - US45774W1080 - Common Stock
30.32 USD
-7.22 (-19.23%)
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. IIIN is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. IIIN is growing strongly while it also seems undervalued. This is an interesting combination This makes IIIN very considerable for value and growth investing!
1. Profitability
1.1 Basic Checks
In the past year IIIN was profitable.
In the past year IIIN had a positive cash flow from operations.
Each year in the past 5 years IIIN has been profitable.
IIIN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of IIIN (6.60%) is comparable to the rest of the industry.
With a Return On Equity value of 8.74%, IIIN perfoms like the industry average, outperforming 41.46% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.13%, IIIN is in line with its industry, outperforming 46.34% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for IIIN is in line with the industry average of 12.70%.
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
IIIN's Profit Margin of 5.15% is in line compared to the rest of the industry. IIIN outperforms 41.46% of its industry peers.
In the last couple of years the Profit Margin of IIIN has grown nicely.
Looking at the Operating Margin, with a value of 6.67%, IIIN is doing worse than 68.29% of the companies in the same industry.
IIIN's Operating Margin has improved in the last couple of years.
IIIN has a worse Gross Margin (12.75%) than 92.68% 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), IIIN is creating some value.
IIIN has less shares outstanding than it did 1 year ago.
IIIN has more shares outstanding than it did 5 years ago.
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 6.52 indicates that IIIN is not in any danger for bankruptcy at the moment.
IIIN has a Altman-Z score of 6.52. This is in the better half of the industry: IIIN outperforms 70.73% of its industry peers.
IIIN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.52 |
ROIC/WACC0.87
WACC9.38%
2.3 Liquidity
A Current Ratio of 2.94 indicates that IIIN has no problem at all paying its short term obligations.
IIIN's Current ratio of 2.94 is amongst the best of the industry. IIIN outperforms 82.93% of its industry peers.
A Quick Ratio of 1.61 indicates that IIIN should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.61, IIIN is doing good in the industry, outperforming 73.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.94 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
IIIN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 53.85%, which is quite impressive.
IIIN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 33.90% yearly.
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
IIIN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.15% yearly.
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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
The Price/Earnings ratio is 18.95, which indicates a rather expensive current valuation of IIIN.
IIIN's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.31, IIIN is valued a bit cheaper.
With a Price/Forward Earnings ratio of 10.75, the valuation of IIIN can be described as very reasonable.
73.17% of the companies in the same industry are more expensive than IIIN, based on the Price/Forward Earnings ratio.
IIIN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.95 | ||
| Fwd PE | 10.75 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as IIIN.
82.93% of the companies in the same industry are more expensive than IIIN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.27 | ||
| EV/EBITDA | 11.63 |
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)0.15
PEG (5Y)0.56
EPS Next 2Y68.78%
EPS Next 3Y48.84%
5. Dividend
5.1 Amount
With a yearly dividend of 0.32%, IIIN is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.24, IIIN has a dividend in line with its industry peers.
With a Dividend Yield of 0.32, IIIN pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
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
69.88% of the earnings are spent on dividend by IIIN. 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 (10/16/2025, 7:53:57 PM)
30.32
-7.22 (-19.23%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners85.49%
Inst Owner Change-0.04%
Ins Owners4.73%
Ins Owner Change0.53%
Market Cap588.51M
Analysts43.33
Price Target39.78 (31.2%)
Short Float %1.59%
Short Ratio2.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
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)0%
EPS NQ rev (3m)7.14%
EPS NY rev (1m)0%
EPS NY rev (3m)30.93%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.95 | ||
| Fwd PE | 10.75 | ||
| P/S | 0.97 | ||
| P/FCF | 11.27 | ||
| P/OCF | 9.74 | ||
| P/B | 1.65 | ||
| P/tB | 1.95 | ||
| EV/EBITDA | 11.63 |
EPS(TTM)1.6
EY5.28%
EPS(NY)2.82
Fwd EY9.3%
FCF(TTM)2.69
FCFY8.87%
OCF(TTM)3.11
OCFY10.26%
SpS31.15
BVpS18.35
TBVpS15.53
PEG (NY)0.15
PEG (5Y)0.56
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 | 6.52 |
F-Score7
WACC9.38%
ROIC/WACC0.87
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 Year174.4%
EBIT Next 3Y56.2%
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%