Added to YB: 2026-08-26
Pitch date: 2026-08-24
IEHC [bullish]
IEH Corporation
-1.41%
current return
Author Info
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Company Info
IEH Corporation designs, develops and manufactures printed circuit board connectors and custom interconnects for high-performance applications in the United States and internationally.
Market Cap
$81.8M
Pitch Price
$33.57
Price Target
90.00 (+172%)
Dividend
N/A
EV/EBITDA
64.33
P/E
10.1K
EV/Sales
2.25
Sector
Electronic Equipment, Instruments and Components
Category
growth
Target locked - $IEHC
IEHC: Sole-source US maker of hyperboloid connectors (mission-critical, sole-source-designed-in) with highest micro-cap missile exposure—Patriot/PAC-3, AMRAAM, THAAD, APKWS all inflecting on multi-year prime ramps. Classic early operating-leverage setup: FY26 backlog at record $27.8M implies ~$52.7M FY27 run-rate sales (188.5% historical conversion) with margins recovering to ~36% GM/17% EBIT (~$9M) as gold-cost pressure abates and price hikes hit H2. Author pays ~7.7-7.9x EV/EBIT vs ~12-15x fair (Solitron ~12x, MPTI ~25x, Smiths Interconnect sold at 17x), for ~54-92% upside on FY27 run-rate, up to ~118-172% at $65M sales by 2029/30. Risks: lumpy backlog conversion, renewed gold spikes killing margin thesis (downside 30-40%), program funding pushback, potential value-destructive medical M&A, weak-but-not-crooked 4th-gen mgmt with prior SAP/restatement history. Author-est run-rate, not guidance.
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