IEH Corporation (IEHC:OTCQX)
IEHC designs and manufactures highly critical components for the defense and aerospace industry, mainly hyperboloid connectors. The market operates as a duopoly between Molex (prev. Smiths) and IEHC.
Based on the massive buildout happening in missiles and missile defense, amongst other secular trends in the industry, IEHC has seen its backlog double over the LTM and grow 50% since January.
IEHC has seen margin compression from the increased gold price, but has been implementing price increases to compensate for the higher costs.
IEHC trades at a large discount to public defense firms and the takeout valuation of Smiths Interconnect from October 2025.
Investment Summary
Company Description
For 85 years and four generations of family-run management, IEH Corporation has designed, developed, and manufactured printed circuit board (PCB) connectors, custom interconnects and contacts for high-performance applications. With its signature Hyperboloid technology, IEH supplies the most durable, reliable connectors for the most demanding environments. The Company markets primarily to companies in defense, aerospace, space and industrial applications. The Company was founded in 1941 and is headquartered in Brooklyn, New York.
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