NasdaqGS:IAC

Stock Analysis Report

Executive Summary

IAC/InterActiveCorp, together with its subsidiaries, operates as a media and Internet company in the United States and internationally.

Snowflake

Fundamentals

Reasonable growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has IAC/InterActiveCorp's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.1%

IAC

4.0%

US Interactive Media and Services

3.4%

US Market


1 Year Return

11.3%

IAC

8.5%

US Interactive Media and Services

5.4%

US Market

Return vs Industry: IAC exceeded the US Interactive Media and Services industry which returned 8.5% over the past year.

Return vs Market: IAC exceeded the US Market which returned 5.4% over the past year.


Shareholder returns

IACIndustryMarket
7 Day2.1%4.0%3.4%
30 Day0.3%-0.5%-1.0%
90 Day-3.8%1.1%-0.4%
1 Year11.3%11.3%8.6%8.5%7.7%5.4%
3 Year249.3%249.3%44.3%44.3%46.2%36.8%
5 Year288.7%279.0%96.7%96.6%65.6%47.5%

Price Volatility Vs. Market

How volatile is IAC/InterActiveCorp's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is IAC/InterActiveCorp undervalued compared to its fair value and its price relative to the market?

41.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: IAC ($229.88) is trading below our estimate of fair value ($389.95)

Significantly Undervalued: IAC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: IAC is poor value based on its PE Ratio (35.7x) compared to the Interactive Media and Services industry average (30.4x).

PE vs Market: IAC is poor value based on its PE Ratio (35.7x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: IAC is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: IAC is overvalued based on its PB Ratio (6.5x) compared to the US Interactive Media and Services industry average (3.2x).


Next Steps

Future Growth

How is IAC/InterActiveCorp forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?

27.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IAC's forecast earnings growth (27.5% per year) is above the savings rate (2.7%).

Earnings vs Market: IAC's earnings (27.5% per year) are forecast to grow faster than the US market (14.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: IAC's revenue (12.6% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: IAC's revenue (12.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: IAC's Return on Equity is forecast to be low in 3 years time (18.6%).


Next Steps

Past Performance

How has IAC/InterActiveCorp performed over the past 5 years?

28.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: IAC's earnings have grown significantly by 28.9% per year over the past 5 years.

Accelerating Growth: IAC's earnings growth over the past year (7.5%) is below its 5-year average (28.9% per year).

Earnings vs Industry: IAC earnings growth over the past year (7.5%) underperformed the Interactive Media and Services industry 12.3%.


Return on Equity

High ROE: IAC's Return on Equity (16.5%) is considered low.


Return on Assets

ROA vs Industry: IAC has a higher Return on Assets than the Interactive Media and Services industry average last year.


Return on Capital Employed

ROCE Improving: IAC has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is IAC/InterActiveCorp's financial position?


Financial Position Analysis

Short Term Liabilities: IAC's short term assets ($3.9B) exceeds its short term liabilities ($953.5M)

Long Term Liabilities: IAC's short term assets (3.9B) exceeds its long term liabilities (3.4B)


Debt to Equity History and Analysis

Debt Level: IAC's debt to equity ratio (80.3%) is considered high

Reducing Debt: IAC's debt to equity ratio has increased from 63.4% to 80.3% over the past 5 years.

Debt Coverage: IAC's debt is well covered by operating cash flow (30.6%).

Interest Coverage: IAC's interest payments on its debt are well covered by EBIT (8.1x coverage).


Balance Sheet

Inventory Level: IAC has a low level of unsold assets or inventory.

Debt Coverage by Assets: IAC's debt is covered by short term assets (assets are 1.241660x debt).


Next Steps

Dividend

What is IAC/InterActiveCorp's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%1.5%markettop25%3.8%industryaverage0.4%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate IAC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate IAC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if IAC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IAC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: IAC is not paying a notable dividend for .


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IAC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of IAC/InterActiveCorp's salary, the management and board of directors tenure and is there insider trading?

7.3yrs

Average management tenure


CEO

Joey Levin (40yo)

4.3yrs

Tenure

US$6,315,554

Compensation

Mr. Joseph M. Levin, also known as Joey, has been Chairman of the Board (in an non-executive capacity) of Match Group since December 2017. Mr. Levin has been Chairman and Director at HomeAdvisor Inc. and A ...


CEO Compensation Analysis

Compensation vs. Market: Joey's total compensation ($USD6.32M) is below average for companies of similar size in the US market ($USD11.18M).

Compensation vs Earnings: Joey's compensation has been consistent with company performance over the past year.


Management Age and Tenure

7.3yrs

Average Tenure

50yo

Average Age

Experienced Management: IAC's management team is seasoned and experienced (7.3 years average tenure).


Board Age and Tenure

10.6yrs

Average Tenure

64yo

Average Age

Experienced Board: IAC's board of directors are seasoned and experienced ( 10.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$956,70225 Feb 19
Edgar Bronfman
EntityIndividual
Shares4,411
Max PriceUS$216.89
SellUS$999,05814 Feb 19
David Rosenblatt
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,528
Max PriceUS$220.64

Ownership Breakdown


Management Team

  • Barry Diller (77yo)

    Chairman & Senior Executive

    • Tenure: 8.8yrs
    • Compensation: US$4.00m
  • Joanne Hawkins (58yo)

    Senior VP & Deputy General Counsel

    • Tenure: 14.1yrs
  • Glenn Schiffman (49yo)

    Executive VP & CFO

    • Tenure: 3.5yrs
    • Compensation: US$8.56m
  • Michael Schwerdtman

    Senior VP

    • Tenure: 0yrs
  • Mark Stein (51yo)

    Executive VP & Chief Strategy Officer

    • Tenure: 4.1yrs
    • Compensation: US$2.56m
  • Jason Stewart

    Chief Administrative Officer & Senior VP

    • Tenure: 14.7yrs
  • Joey Levin (40yo)

    CEO & Director

    • Tenure: 4.3yrs
    • Compensation: US$6.32m
  • Gregg Winiarski (48yo)

    Executive VP

    • Tenure: 14.7yrs
    • Compensation: US$2.51m
  • Mark Schneider

    Senior Vice President of Finance & Investor Relations

    • Tenure: 5.8yrs
  • Nick Stoumpas

    Senior VP & Treasurer

    • Tenure: 0yrs

Board Members

  • Alan Spoon (68yo)

    Independent Director

    • Tenure: 16.7yrs
    • Compensation: US$329.96k
  • Michael Eisner (77yo)

    Independent Director

    • Tenure: 8.6yrs
    • Compensation: US$299.96k
  • David Rosenblatt (51yo)

    Independent Director

    • Tenure: 10.8yrs
    • Compensation: US$304.96k
  • Barry Diller (77yo)

    Chairman & Senior Executive

    • Tenure: 8.8yrs
    • Compensation: US$4.00m
  • Victor Kaufman (75yo)

    Vice Chairman of the Board

    • Tenure: 20yrs
    • Compensation: US$564.22k
  • Bryan Lourd (58yo)

    Independent Director

    • Tenure: 14.5yrs
    • Compensation: US$309.96k
  • Rich Zannino (60yo)

    Independent Director

    • Tenure: 10.3yrs
    • Compensation: US$309.96k
  • Alex Von Furstenberg (49yo)

    Independent Director

    • Tenure: 10.8yrs
    • Compensation: US$299.96k
  • Bonnie Hammer (68yo)

    Independent Director

    • Tenure: 5.1yrs
    • Compensation: US$324.96k
  • Joey Levin (40yo)

    CEO & Director

    • Tenure: 4.3yrs
    • Compensation: US$6.32m

Company Information

IAC/InterActiveCorp's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: IAC/InterActiveCorp
  • Ticker: IAC
  • Exchange: NasdaqGS
  • Founded: 1986
  • Industry: Interactive Media and Services
  • Sector: Media
  • Market Cap: US$19.379b
  • Shares outstanding: 84.30m
  • Website: https://www.iac.com

Number of Employees


Location

  • IAC/InterActiveCorp
  • 555 West 18th Street
  • New York
  • New York
  • 10011
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IACNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1992
0J7QLSE (London Stock Exchange)YesCommon StockGBUSDDec 1992
HNIBDB (Deutsche Boerse AG)YesCommon StockDEEURDec 1992

Biography

IAC/InterActiveCorp, together with its subsidiaries, operates as a media and Internet company in the United States and internationally. The company’s Match Group segment provides subscription dating produc ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 00:03
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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 here.