INNOVATIVE SOLUTIONS & SUPP (ISSC) Fundamental Analysis & Valuation
NASDAQ:ISSC • US45769N1054
Current stock price
21.71 USD
-0.81 (-3.6%)
At close:
22 USD
+0.29 (+1.34%)
After Hours:
This ISSC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. ISSC Profitability Analysis
1.1 Basic Checks
- In the past year ISSC was profitable.
- In the past year ISSC had a positive cash flow from operations.
- ISSC had positive earnings in each of the past 5 years.
- ISSC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ISSC has a better Return On Assets (17.24%) than 98.75% of its industry peers.
- Looking at the Return On Equity, with a value of 27.57%, ISSC belongs to the top of the industry, outperforming 91.25% of the companies in the same industry.
- The Return On Invested Capital of ISSC (21.82%) is better than 100.00% of its industry peers.
- ISSC had an Average Return On Invested Capital over the past 3 years of 12.86%. This is above the industry average of 9.21%.
- The last Return On Invested Capital (21.82%) for ISSC is above the 3 year average (12.86%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.24% | ||
| ROE | 27.57% | ||
| ROIC | 21.82% |
ROA(3y)11.06%
ROA(5y)13.55%
ROE(3y)18.27%
ROE(5y)18.67%
ROIC(3y)12.86%
ROIC(5y)13.9%
1.3 Margins
- ISSC has a better Profit Margin (21.02%) than 100.00% of its industry peers.
- In the last couple of years the Profit Margin of ISSC has grown nicely.
- With an excellent Operating Margin value of 27.76%, ISSC belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
- In the last couple of years the Operating Margin of ISSC has grown nicely.
- ISSC's Gross Margin of 50.80% is amongst the best of the industry. ISSC outperforms 87.50% of its industry peers.
- In the last couple of years the Gross Margin of ISSC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.76% | ||
| PM (TTM) | 21.02% | ||
| GM | 50.8% |
OM growth 3Y-2.92%
OM growth 5Y13.34%
PM growth 3Y-2.33%
PM growth 5Y4.14%
GM growth 3Y-7.18%
GM growth 5Y-2.53%
2. ISSC Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ISSC is creating value.
- Compared to 1 year ago, ISSC has more shares outstanding
- ISSC has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for ISSC has been reduced compared to a year ago.
2.2 Solvency
- ISSC has an Altman-Z score of 8.24. This indicates that ISSC is financially healthy and has little risk of bankruptcy at the moment.
- ISSC has a better Altman-Z score (8.24) than 83.75% of its industry peers.
- ISSC has a debt to FCF ratio of 1.92. This is a very positive value and a sign of high solvency as it would only need 1.92 years to pay back of all of its debts.
- ISSC's Debt to FCF ratio of 1.92 is amongst the best of the industry. ISSC outperforms 91.25% of its industry peers.
- A Debt/Equity ratio of 0.31 indicates that ISSC is not too dependend on debt financing.
- ISSC's Debt to Equity ratio of 0.31 is fine compared to the rest of the industry. ISSC outperforms 63.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.92 | ||
| Altman-Z | 8.24 |
ROIC/WACC2.25
WACC9.68%
2.3 Liquidity
- A Current Ratio of 2.96 indicates that ISSC has no problem at all paying its short term obligations.
- ISSC's Current ratio of 2.96 is in line compared to the rest of the industry. ISSC outperforms 56.25% of its industry peers.
- A Quick Ratio of 1.53 indicates that ISSC should not have too much problems paying its short term obligations.
- ISSC's Quick ratio of 1.53 is in line compared to the rest of the industry. ISSC outperforms 51.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.96 | ||
| Quick Ratio | 1.53 |
3. ISSC Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an impressive 130.23% over the past year.
- Measured over the past years, ISSC shows a very strong growth in Earnings Per Share. The EPS has been growing by 35.77% on average per year.
- Looking at the last year, ISSC shows a very strong growth in Revenue. The Revenue has grown by 67.36%.
- ISSC shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 31.30% yearly.
EPS 1Y (TTM)130.23%
EPS 3Y39.92%
EPS 5Y35.77%
EPS Q2Q%450%
Revenue 1Y (TTM)67.36%
Revenue growth 3Y44.84%
Revenue growth 5Y31.3%
Sales Q2Q%36.56%
3.2 Future
- ISSC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.14% yearly.
- Based on estimates for the next years, ISSC will show a quite strong growth in Revenue. The Revenue will grow by 11.99% on average per year.
EPS Next Y-5.56%
EPS Next 2Y4.07%
EPS Next 3Y13.14%
EPS Next 5YN/A
Revenue Next Year11.35%
Revenue Next 2Y9.06%
Revenue Next 3Y11.99%
Revenue Next 5YN/A
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. ISSC Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 21.93, the valuation of ISSC can be described as rather expensive.
- Based on the Price/Earnings ratio, ISSC is valued cheaply inside the industry as 85.00% of the companies are valued more expensively.
- ISSC is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.21, which is the current average of the S&P500 Index.
- ISSC is valuated rather expensively with a Price/Forward Earnings ratio of 24.75.
- Based on the Price/Forward Earnings ratio, ISSC is valued a bit cheaper than the industry average as 73.75% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of ISSC to the average of the S&P500 Index (23.13), we can say ISSC is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.93 | ||
| Fwd PE | 24.75 |
4.2 Price Multiples
- ISSC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ISSC is cheaper than 83.75% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ISSC indicates a rather cheap valuation: ISSC is cheaper than 86.25% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.48 | ||
| EV/EBITDA | 14.63 |
4.3 Compensation for Growth
- ISSC has an outstanding profitability rating, which may justify a higher PE ratio.
- ISSC's earnings are expected to grow with 13.14% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.61
EPS Next 2Y4.07%
EPS Next 3Y13.14%
5. ISSC Dividend Analysis
5.1 Amount
- No dividends for ISSC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ISSC Fundamentals: All Metrics, Ratios and Statistics
21.71
-0.81 (-3.6%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)02-12 2026-02-12/bmo
Earnings (Next)05-12 2026-05-12
Inst Owners55.42%
Inst Owner Change0%
Ins Owners8.19%
Ins Owner Change7.92%
Market Cap386.00M
Revenue(TTM)90.14M
Net Income(TTM)18.95M
Analysts83.64
Price Target27.59 (27.08%)
Short Float %5.77%
Short Ratio1.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)148.52%
Min EPS beat(2)96.08%
Max EPS beat(2)200.96%
EPS beat(4)3
Avg EPS beat(4)111.07%
Min EPS beat(4)-8.5%
Max EPS beat(4)200.96%
EPS beat(8)4
Avg EPS beat(8)48.45%
EPS beat(12)7
Avg EPS beat(12)36.35%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)17.9%
Min Revenue beat(2)15.24%
Max Revenue beat(2)20.55%
Revenue beat(4)4
Avg Revenue beat(4)29.32%
Min Revenue beat(4)15.24%
Max Revenue beat(4)51.15%
Revenue beat(8)6
Avg Revenue beat(8)20.89%
Revenue beat(12)9
Avg Revenue beat(12)16.15%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)6.29%
PT rev (3m)53.04%
EPS NQ rev (1m)5.61%
EPS NQ rev (3m)1.47%
EPS NY rev (1m)0%
EPS NY rev (3m)4.53%
Revenue NQ rev (1m)2.33%
Revenue NQ rev (3m)1.38%
Revenue NY rev (1m)1.23%
Revenue NY rev (3m)0.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.93 | ||
| Fwd PE | 24.75 | ||
| P/S | 4.28 | ||
| P/FCF | 31.48 | ||
| P/OCF | 19.67 | ||
| P/B | 5.62 | ||
| P/tB | 9.88 | ||
| EV/EBITDA | 14.63 |
EPS(TTM)0.99
EY4.56%
EPS(NY)0.88
Fwd EY4.04%
FCF(TTM)0.69
FCFY3.18%
OCF(TTM)1.1
OCFY5.08%
SpS5.07
BVpS3.87
TBVpS2.2
PEG (NY)N/A
PEG (5Y)0.61
Graham Number9.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.24% | ||
| ROE | 27.57% | ||
| ROCE | 27.73% | ||
| ROIC | 21.82% | ||
| ROICexc | 24.03% | ||
| ROICexgc | 37.66% | ||
| OM | 27.76% | ||
| PM (TTM) | 21.02% | ||
| GM | 50.8% | ||
| FCFM | 13.6% |
ROA(3y)11.06%
ROA(5y)13.55%
ROE(3y)18.27%
ROE(5y)18.67%
ROIC(3y)12.86%
ROIC(5y)13.9%
ROICexc(3y)13.28%
ROICexc(5y)20.15%
ROICexgc(3y)21.51%
ROICexgc(5y)25.18%
ROCE(3y)16.34%
ROCE(5y)17.66%
ROICexgc growth 3Y-11.49%
ROICexgc growth 5Y15.61%
ROICexc growth 3Y-23.55%
ROICexc growth 5Y5.86%
OM growth 3Y-2.92%
OM growth 5Y13.34%
PM growth 3Y-2.33%
PM growth 5Y4.14%
GM growth 3Y-7.18%
GM growth 5Y-2.53%
F-Score7
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.92 | ||
| Debt/EBITDA | 0.74 | ||
| Cap/Depr | 217% | ||
| Cap/Sales | 8.17% | ||
| Interest Coverage | 15.59 | ||
| Cash Conversion | 69.06% | ||
| Profit Quality | 64.7% | ||
| Current Ratio | 2.96 | ||
| Quick Ratio | 1.53 | ||
| Altman-Z | 8.24 |
F-Score7
WACC9.68%
ROIC/WACC2.25
Cap/Depr(3y)150.36%
Cap/Depr(5y)114.68%
Cap/Sales(3y)6.33%
Cap/Sales(5y)4.21%
Profit Quality(3y)28.66%
Profit Quality(5y)55.48%
High Growth Momentum
Growth
EPS 1Y (TTM)130.23%
EPS 3Y39.92%
EPS 5Y35.77%
EPS Q2Q%450%
EPS Next Y-5.56%
EPS Next 2Y4.07%
EPS Next 3Y13.14%
EPS Next 5YN/A
Revenue 1Y (TTM)67.36%
Revenue growth 3Y44.84%
Revenue growth 5Y31.3%
Sales Q2Q%36.56%
Revenue Next Year11.35%
Revenue Next 2Y9.06%
Revenue Next 3Y11.99%
Revenue Next 5YN/A
EBIT growth 1Y166.45%
EBIT growth 3Y40.61%
EBIT growth 5Y48.82%
EBIT Next Year59.91%
EBIT Next 3Y28.42%
EBIT Next 5YN/A
FCF growth 1Y203.44%
FCF growth 3Y4.62%
FCF growth 5Y26.82%
OCF growth 1Y336.82%
OCF growth 3Y29.75%
OCF growth 5Y43.45%
INNOVATIVE SOLUTIONS & SUPP / ISSC Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for INNOVATIVE SOLUTIONS & SUPP?
ChartMill assigns a fundamental rating of 7 / 10 to ISSC.
What is the valuation status of INNOVATIVE SOLUTIONS & SUPP (ISSC) stock?
ChartMill assigns a valuation rating of 5 / 10 to INNOVATIVE SOLUTIONS & SUPP (ISSC). This can be considered as Fairly Valued.
What is the profitability of ISSC stock?
INNOVATIVE SOLUTIONS & SUPP (ISSC) has a profitability rating of 9 / 10.
How financially healthy is INNOVATIVE SOLUTIONS & SUPP?
The financial health rating of INNOVATIVE SOLUTIONS & SUPP (ISSC) is 7 / 10.
What is the earnings growth outlook for INNOVATIVE SOLUTIONS & SUPP?
The Earnings per Share (EPS) of INNOVATIVE SOLUTIONS & SUPP (ISSC) is expected to decline by -5.56% in the next year.