Perma-Pipe International Holdings Inc. Common Stock (PPIH)
Fast GrowerFairStock Score: 80/100 — HIGH CONVICTION
Key Financials
| Current Price | $31.99 |
| Market Cap | $254M |
| P/E Ratio | 15.31 |
| ROE | 21.8% |
| Dividend Yield | —% |
| Sector | Industrials |
Strengths
- High return on equity of 21.8% demonstrating efficient capital deployment
- Conservative balance sheet with debt-to-equity of just 0.44, providing financial flexibility
- Revenue growth of 22.5% demonstrates strong top-line momentum
- FairStock composite score of 80/100 places it in the top tier across value, quality, and momentum factors
Concerns
- Weak Piotroski F-Score of 2/9 suggests deteriorating financial quality across multiple dimensions
AI Analysis
Perma-Pipe International Holdings Inc. Common Stock is a micro-cap industrials company valued at $254 million. The business generates $211 million in annual revenue with a 2.3% net margin. From a quality standpoint, Perma-Pipe shows weak Piotroski F-Score of 2/9 signaling deteriorating fundamentals and Altman Z-Score of 2.3 in the grey zone. On valuation, the stock is attractively valued at 14.9x earnings, with trades above its Graham Number with a negative 37% margin. Growth dynamics show revenue growing at 22.5% and profit growth of 179.4%. Our composite FairStock Score of 80/100 reflects strong fundamentals overall. This combination of reasonable valuation, solid returns, and conservative leverage makes it worth a closer look for value-oriented portfolios.
Bull Case
Perma-Pipe's 23% revenue growth trajectory could accelerate as it captures additional market share in the industrials sector. Operational leverage in the business model means incremental revenue growth could disproportionately boost bottom-line profitability.
Bear Case
Macro headwinds or sector-specific disruption could pressure margins, particularly if competitive intensity increases in the industrials space. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.
Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer