IAA, Inc.

NYSE:IAA Stock Report

Market Cap: US$5.3b

This company has been acquired

The company may no longer be operating, as it has been acquired. Find out why through their latest events.

IAA Past Earnings Performance

Past criteria checks 2/6

Key information

12.71%

Earnings growth rate

13.65%

EPS growth rate

Commercial Services Industry Growth8.53%
Revenue growth rate10.98%
Return on equity51.54%
Net Margin13.93%
Last Earnings Update01 Jan 2023

Recent past performance updates

Recent updates

Seeking Alpha • Jan 18

Ritchie Bros. holder Luxor Capital files preliminary proxy opposing IAA deal

Ritchie Bros. (NYSE:RBA) holder Luxor Capital formally filed a preliminary proxy in opposition to the company's planned acquisition of auto salvage company IAA Inc. (NYSE:IAA). Luxor intends to vote against the proposal to approve the issuance of RBA (RBA) common shares in connection with the transaction and against the proposal to adjourn the special meeting, according to a statement. The proxy filing comes after Luxor, which has a ~3.6% stake in Ritchie Bros. (RBA), said it plans to vote against the purchase of IAA Inc. (IAA) as a deal would "severely erode RBA’s business quality and lacks compelling industrial logic." The Luxor opposition comes as Ritchie Bros. (RBA) shares plunged 18% on the day the $7.3 billion IAA deal was announced in November with some analysts questioning the transaction. Last month IAA holder Ancora Holdings said it planned to vote against the auto salvage company's sale to to Ritchie Bros. Last month Ritchie Bros (RBA) and IAA announced the companies had receive all necessary regulatory clearance for proposed merger.
Seeking Alpha • Nov 07

IAA Non-GAAP EPS of $0.45 misses by $0.05, revenue of $497.5M beats by $20.89M, to be acquired by Ritchie Bros. in stock and cash deal of $7.3B

IAA press release (NYSE:IAA): Q3 Non-GAAP EPS of $0.45 misses by $0.05. Revenue of $497.5M (+18.3% Y/Y) beats by $20.89M. In light of the transaction with Ritchie Bros. Auctioneers Incorporated announced separately today, IAA will not hold its third quarter 2022 financial results conference call, which was originally scheduled for November 10, 2022. In addition, IAA will no longer be providing financial outlook for fiscal 2022.
Seeking Alpha • Sep 07

IAA expands IAA Transport's service footprint to Mexico, Nigeria

IAA (NYSE:IAA) said Wednesday it expanded IAA Transport's service footprint to include Mexico and Nigeria. Buyers in these countries can now generate real-time quotes on any vehicle for sale or any vehicle purchased by the buyer, both pre-payment and post-payment.
Seeking Alpha • Aug 08

IAA Q2 2022 Earnings Preview

IAA (NYSE:IAA) is scheduled to announce Q2 earnings results on Tuesday, August 9th, before market open. The consensus EPS Estimate is $0.57 (-17.4% Y/Y) and the consensus Revenue Estimate is $529.48M (+19.0% Y/Y). Over the last 2 years, IAA has beaten EPS estimates 75% of the time and has beaten revenue estimates 100% of the time. Over the last 3 months, EPS estimates have seen 1 upward revision and 6 downward. Revenue estimates have seen 2 upward revisions and 5 downward.
Seeking Alpha • Mar 24

IAA, Inc.: Possible Change On The Horizon

Shares of salvage auctioneer IAA, Inc. are down some 20% after the company announced its FY22 forecast that included little organic revenue growth and none at its Adj. EBITDA line. A shift in business away from its traditional consignment model, inflationary pressures in towing, and the loss of business from a large customer are all to blame. With its forward price-to-sales and P/E ratios down by almost half since November 2021, the insider buying after the disappointing forecast merited a deeper dive. An activist shareholder has recently called for sale of the company or management changes. A full investment analysis follows in the paragraphs below.
Seeking Alpha • Feb 21

Insider Weekends: Peter Kamin Purchases Shares Of IAA

Peter Kamin's purchase of IAA shares last week was the first insider purchase at IAA, since the company was spun off from KAR Auction Services in June 2019. IAA sports gross margin approaching 40%, EBITDA margin of 30%, and net income margin of 16%. Multiple insiders of IAA have exercised shares recently without selling them, which we view as a positive sign.

Revenue & Expenses Breakdown

How IAA makes and spends money. Based on latest reported earnings, on an LTM basis.

Earnings and Revenue History

NYSE:IAA Revenue, expenses and earnings (USD Millions)
DateRevenueEarningsG+A ExpensesR&D Expenses
01 Jan 232,0992922070
02 Oct 222,1242881950
03 Jul 222,0473031960
03 Apr 221,9723031950
02 Jan 221,8372941840
26 Sep 211,6732851750
27 Jun 211,5902721600
28 Mar 211,4422231500
27 Dec 201,3851951450
27 Sep 201,3571761430
28 Jun 201,3771651470
29 Mar 201,4461831470
29 Dec 191,4371931420
29 Sep 191,4161941340
30 Jun 191,3801911270
31 Mar 191,3471901250
30 Dec 181,3271841240
30 Sep 181,3272061240
01 Jul 181,2941901240
01 Apr 181,2591781200
31 Dec 171,2191611130
01 Oct 171,1861151160
30 Jun 171,1601141120
02 Apr 171,1261021110
01 Jan 171,098951110
30 Sep 161,057951050
30 Jun 161,042931030
31 Mar 161,026931020

Quality Earnings: IAA has high quality earnings.

Growing Profit Margin: IAA's current net profit margins (13.9%) are lower than last year (16%).

Free Cash Flow vs Earnings Analysis

Past Earnings Growth Analysis

Earnings Trend: IAA's earnings have grown by 12.7% per year over the past 5 years.

Accelerating Growth: IAA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: IAA had negative earnings growth (-0.6%) over the past year, making it difficult to compare to the Commercial Services industry average (23.2%).

Return on Equity

High ROE: Whilst IAA's Return on Equity (51.54%) is outstanding, this metric is skewed due to their high level of debt.

Return on Assets

Return on Capital Employed

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2023/03/20 08:30
End of Day Share Price 2023/03/20 00:00
Earnings2023/01/01
Annual Earnings2023/01/01

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

IAA, Inc. is covered by 10 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Craig KennisonBaird
Gary PrestopinoBarrington Research Associates, Inc.
Christopher BottiglieriBNP Paribas