Does INNOSPEC INC. have an economic moat?

Based on its FY2025 SEC filings, the Moat Index scores INNOSPEC INC. (IOSP) 58.6 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 46, returns on capital 52, balance-sheet safety 100, capital discipline 46.

Is IOSP stock trading below its intrinsic value?

Against a deliberately conservative owner-earnings model (9% discount rate, 4% assumed growth, capped at 4%), estimated intrinsic value is $84.70 per share versus a recent price of $84.25 — around fair value. This is an educational estimate computed from primary SEC filings, not investment advice.

How has IOSP's Moat Score changed over time?

The record logs 3 readings since Jul 17, 2026; the latest reads 58.6 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

The Moat Index

INNOSPEC INC.

IOSP · Materials · $2.1B mkt cap · FY2025 filings · Shallow moat ·

Doesn't clear the bar

Shallow moat

The four filters

Pricing power46

Median gross margin 29.7% over 10y, stable.

Returns on capital52

Median ROIC 10.4%, above the 9% hurdle in 80% of years.

Balance-sheet safety100

Net cash position — no leverage risk.

Capital discipline46

Owner earnings +4.1%/yr, share count growing (dilution).

Margin of safety

Above valueOn sale

Around fair value

Owner earnings (normalized): $116.6M
Est. intrinsic value / share: $84.70
Recent price: $84.25
Discount to value: Around fair value

Conservative model: 9% discount rate, 4% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

18 years of fundamentals

The business, in plain English

INNOSPEC INC. booked $1.8B of revenue in FY2025 in the Materials sector and kept 27.7% of it as gross profit — a moderate-margin business by that measure. After every other cost, 6.6% of each revenue dollar reached the bottom line.

Across the filed record, revenue grew from $598.5M (FY2009) to $1.8B (FY2025) — about 7.0% a year compounded over 16 years.

It earned 10.6% on invested capital in FY2025, with a median of 13.9% across 17 filed years. The Returns on Capital filter above scores it 52/100.

The balance sheet carried $0 of total debt in FY2020. Balance-Sheet Safety scores it 100/100.

The share count rose 7.5% between FY2011 and FY2025 — existing owners have been diluted over the record. Capital Discipline scores it 46/100.

Put together: Balance-Sheet Safety is the strongest of the four filters (100/100) and Capital Discipline the weakest (46/100), which is how IOSP lands at 59/100 — a Shallow moat.

This breakdown is generated from the filed numbers and sub-scores above — no outside narrative, no estimates. Where a filing doesn’t disclose an input, the sentence that would need it is omitted instead of guessed.

RevenueSales, as filed$1.8B FY2025

Gross marginRevenue kept after cost of goods27.7% FY2025

Return on invested capitalOperating profit on the capital employed10.6% FY2025

Owner earningsCash an owner could take out$116.6M FY2025

Gaps in a line mean that item isn’t in IOSP’s filings for that year — the series is never interpolated or estimated. The Table view lists every filed value, including operating and net margins, total debt, and share count.

Moat Score history

Moat Score over timeLast scored reading of each day, on the 0–100 scale58.6 / 100

Score history begins Jul 17, 2026 — the record builds from here and can’t be backfilled.

Tier changesSame-methodology crossings of the Wide / Narrow / Shallow bars

None yet — IOSP has read Shallow moat for every logged capture since Jul 17, 2026.

Scores are logged append-only and never overwritten — this record can’t be backfilled, which is exactly why it’s worth keeping.

Materials context

#53 of 214 scored Materials companies, ranked by Moat Score.

Nearest peers by Moat Score

#51WMS ADVANCED DRAINAGE SYSTEMS, INC.59.3 out of 100, Shallow moatShallow moat
#52HCC Warrior Met Coal, Inc.59.0 out of 100, Shallow moatShallow moat
#54FCX Freeport-McMoRan Inc.58.4 out of 100, Shallow moatShallow moat
#55VMC VULCAN MATERIALS COMPANY58.2 out of 100, Shallow moatShallow moat

Compare IOSP with its nearest peers →All Materials companies on the Index →

Common questions about IOSP

Does INNOSPEC INC. have an economic moat?: Based on its FY2025 SEC filings, the Moat Index scores INNOSPEC INC. (IOSP) 58.6 out of 100 — a Shallow moat. The four filters behind that score (each 0–100): pricing power 46, returns on capital 52, balance-sheet safety 100, capital discipline 46.
Is IOSP stock trading below its intrinsic value?: Against a deliberately conservative owner-earnings model (9% discount rate, 4% assumed growth, capped at 4%), estimated intrinsic value is $84.70 per share versus a recent price of $84.25 — around fair value. This is an educational estimate computed from primary SEC filings, not investment advice.
How has IOSP's Moat Score changed over time?: The record logs 3 readings since Jul 17, 2026; the latest reads 58.6 out of 100 (shallow moat). No tier changes on record yet. The history is append-only — readings are only ever added, never rewritten.

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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell IOSP. See the disclaimer.