Intrepid Potash (IPI) AI Stock Analysis

• Market Cap: $389.63M
• Dividend Yield: N/A
• Average Volume (3M): 179.59K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.96
• Revenue Growth: 11.93%
• EPS Growth: -311.34%
• Country: US
• Employees: 468
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Agricultural Inputs
• EPS (TTM): 0.45
• Shares Outstanding: 13,316,051
• 10 Day Avg. Volume: 196,816
• 30 Day Avg. Volume: 179,587
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.60
• Price to Sales (P/S): 1.11
• P/FCF Ratio: 8.41
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 1.38
• Enterprise Value/Gross Profit: 8.86
• Enterprise Value/Ebitda: 11.11
• 1Y Price Target: $23.00
• Price Target Upside: -21.74% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2

• Rating: 49 Neutral
• Price Target: $29.00 ▼(-1.33% Downside)

Intrepid Potash faces significant challenges with profitability and valuation, reflected in a low overall score. While the earnings call provided some positive insights, the financial performance and technical analysis indicate ongoing risks and uncertainties.

Positive Factors

Revenue Growth

Consistent revenue growth, even if modest, indicates a stable demand for potash products, supporting long-term business sustainability.

Cash Flow Improvement

Significant improvement in free cash flow suggests enhanced cash generation capabilities, providing financial flexibility for future investments.

Low Leverage

Low leverage enhances financial stability and reduces risk, allowing the company to navigate economic fluctuations more effectively.

Negative Factors

Negative Profit Margins

Negative profit margins highlight ongoing profitability challenges, which could hinder long-term growth and shareholder value creation.

Operational Inefficiencies

Negative ROE indicates inefficiencies in using shareholder capital, potentially impacting investor confidence and long-term value.

Production Challenges

Challenges in the AMAX project could affect future production capabilities, increasing costs and impacting supply reliability.

Intrepid Potash Business Overview & Revenue Model

Company Description

Intrepid Potash, Inc., together with its subsidiaries, engages in the extraction and production of the potash in the United States and internationally. It operates through three segments: Potash, Trio, and Oilfield Solutions. The Potash segment offers muriate of potash or potassium chloride for use as a fertilizer input in the agricultural market; as a component in drilling and fracturing fluids for oil and gas wells, as well as an input to other industrial processes in the industrial market; and as a nutrient supplement in the animal feed market. The Trio segment provides Trio, a specialty fertilizer that delivers potassium, sulfate, and magnesium in a single particle. The Oilfield Solutions segment sells water for use in the oil and gas services industry; and offers potassium chloride real-time mixing services on location for hydraulic fracturing operations and trucking services. The company also offers salt for use in animal feeds, industrial applications, pool salts, and treatment of roads and walkways for ice melting or to manage road conditions; magnesium chloride for use in the deicing and dedusting of roads; brines for well development and completion activities in the oil and gas industry; and metal recovery salt, a combination of potash and salt to enhance the recovery of aluminum in the aluminum recycling processing facilities. Intrepid Potash, Inc. was founded in 2000 and is based in Denver, Colorado.

How the Company Makes Money

Intrepid Potash generates revenue primarily through the sale of potash and salt products. The company’s revenue model focuses on the production of potash, which is sold to agricultural customers for use in fertilizers. Key revenue streams include the direct sales of potash, which are influenced by market demand, pricing, and the volume of production. Additionally, Intrepid Potash may benefit from long-term contracts with agricultural distributors and partnerships with companies in the agricultural sector that enable consistent sales. Factors contributing to its earnings include global agricultural trends, crop prices, and the overall demand for fertilizers in the agricultural market.

Intrepid Potash Financial Statement Overview

Summary

Intrepid Potash's financial performance is mixed. While there is revenue growth and significant improvement in cash flow, profitability metrics are concerning with negative net profit margins and return on equity. The low leverage is a positive aspect, but operational inefficiencies need addressing.

Income Statement

Intrepid Potash's income statement shows a mixed performance. The company has experienced a slight revenue growth of 3.45% in the TTM period, but profitability metrics are concerning. The gross profit margin is relatively low at 15.54%, and the net profit margin is significantly negative at -71.13%, indicating substantial losses. EBIT and EBITDA margins are also weak, with EBIT being negative. This suggests challenges in managing operational costs and achieving profitability.

Balance Sheet

The balance sheet reflects a stable financial position with a very low debt-to-equity ratio of 0.007, indicating minimal leverage. However, the return on equity is negative at -37.96%, highlighting inefficiencies in generating returns on shareholders' equity. The equity ratio is strong, suggesting a solid capital structure, but the negative ROE is a concern for long-term value creation.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow growth at 368.60% in the TTM period, indicating better cash generation capabilities. The operating cash flow to net income ratio is healthy at 1.35, suggesting efficient cash conversion. However, the free cash flow to net income ratio is moderate at 0.55, reflecting ongoing challenges in translating earnings into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	282.58M	254.69M	279.08M	337.57M	270.33M	196.95M
Gross Profit	43.91M	29.08M	43.34M	141.41M	55.76M	10.53M
EBITDA	35.02M	21.78M	-2.52M	133.60M	80.25M	14.99M
Net Income	-201.01M	-212.84M	-35.67M	72.22M	249.83M	-27.15M
Balance Sheet
Total Assets	607.16M	594.52M	768.47M	794.20M	766.89M	550.19M
Cash, Cash Equivalents and Short-Term Investments	85.05M	42.30M	7.04M	24.47M	36.45M	19.52M
Total Debt	3.42M	4.25M	8.54M	2.21M	1.88M	56.88M
Total Liabilities	123.32M	120.13M	84.05M	79.13M	103.49M	138.93M
Stockholders Equity	483.84M	474.39M	684.43M	715.08M	663.40M	411.26M
Cash Flow
Free Cash Flow	29.87M	33.59M	-21.83M	20.13M	59.28M	14.70M
Operating Cash Flow	54.08M	72.50M	43.23M	88.82M	79.07M	31.14M
Investing Cash Flow	-18.92M	-29.53M	-59.55M	-79.18M	-14.82M	-15.16M
Financing Cash Flow	-1.76M	-5.72M	1.89M	-27.70M	-47.28M	-17.04M

Intrepid Potash Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 29.39
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IPI, the sentiment is Negative. The current price of 29.39 is above the 20-day moving average (MA) of 29.30, below the 50-day MA of 30.15, and below the 200-day MA of 30.21, indicating a bearish trend. The MACD of -0.07 indicates Negative momentum. The RSI at 46.38 is Neutral, neither overbought nor oversold. The STOCH value of 37.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IPI.

Intrepid Potash Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UAN	72 Outperform	$974.20M	11.08	27.79%	9.78%	8.15%	77.68%
CTVA	71 Outperform	$43.12B	30.89	5.41%	1.09%	1.63%	58.72%
MOS	69 Neutral	$11.03B	11.79	7.56%	2.52%	-7.71%	297.49%
ICL	63 Neutral	$8.08B	22.01	6.10%	2.86%	-1.22%	-14.31%
FMC	58 Neutral	$3.93B	39.90	2.24%	7.20%	1.16%	-92.85%
IPI	49 Neutral	$389.63M	―	-34.48%	―	11.93%	-311.34%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Intrepid Potash Corporate Events

Intrepid Potash Stockholders Approve Key Governance Decisions

On May 29, 2025, Intrepid Potash, Inc. held its Annual Meeting of Stockholders virtually, with 83.82% of outstanding shares represented. During the meeting, stockholders approved the election of two Class II Directors, the ratification of KPMG LLP as the independent accounting firm for 2025, and an advisory vote on executive compensation, reflecting strong shareholder engagement and support for the company’s governance and strategic direction.