Aug. 3 at 10:55 AM
$IESC surged nearly 30% on July 31 after a standout fiscal Q3. Revenue rose 40% to
$1.24 billion, while operating income increased 60% to
$178.5 million. Data-center demand drove growth across Communications, Infrastructure Solutions and Commercial & Industrial, and backlog reached a record
$4.5 billion, up 91% from fiscal year-end.
That backlog offers strong revenue visibility, but the quarter was not flawless. Residential revenue fell 6% and segment operating profit more than halved. Reported net income also benefited from gains on marketable securities. The key issue now is whether IES can preserve execution and margins while expanding capacity. The announced 2-for-1 stock split may improve liquidity, but it does not change the underlying value.
Not financial advice. Do your own research.
