For the first quarter, IEP reported a revenue of $1.9 billion, a decline from the $2.5 billion recorded in the same period the previous year. As of March 31, 2025, the company's indicative net asset value saw a reduction of $336 million compared to the value on December 31, 2024. This decline was largely attributed to losses amounting to $224 million within its Investment segment, primarily influenced by setbacks in the healthcare sector.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 1 analysts, the average target price for Icahn Enterprises LP (IEP, Financial) is $15.00 with a high estimate of $15.00 and a low estimate of $15.00. The average target implies an upside of 72.02% from the current price of $8.72. More detailed estimate data can be found on the Icahn Enterprises LP (IEP) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, Icahn Enterprises LP's (IEP, Financial) average brokerage recommendation is currently 1.0, indicating "Buy" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Icahn Enterprises LP (IEP, Financial) in one year is $12.27, suggesting a upside of 40.71% from the current price of $8.72. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Icahn Enterprises LP (IEP) Summary page.
IEP Key Business Developments
Release Date: February 26, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Icahn Enterprises LP (IEP, Financial) maintained a strong liquidity position with $1.4 billion in cash and cash equivalents at the holding company and an additional $915 million at the funds.
- The real estate segment saw a significant increase of $292 million due to property sales and fair value adjustments.
- The board maintained the quarterly distribution at $0.50 per depositary unit, reflecting confidence in cash flow stability.
- The energy segment's renewable margin improved significantly, with a positive margin per vegetable oil throughput gallon compared to a loss in the prior year.
- The company has a robust activist strategy, leveraging its brand and history to drive shareholder value through proxy contests and board collaborations.
Negative Points
- Net Asset Value (NAV) decreased by $223 million from the third quarter of 2024, primarily due to a decline in CVR Energy.
- The energy segment's EBITA decreased significantly from $204 million in Q4 2023 to $99 million in Q4 2024, driven by reduced throughput and lower crack spreads.
- The automotive segment continues to underperform due to previous strategic missteps, with expectations for normalization only by the second half of 2025.
- Investment funds were down approximately 1.6% for the quarter, with significant declines in investments like Caesars.
- Real estate adjusted EBITA decreased by $5 million compared to the prior year, driven by reduced sales of single-family homes.
