20.5 USD
-1.14 (-5.27%)
20.18 USD
-0.32 (-1.56%)
ISSC gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 73 industry peers in the Aerospace & Defense industry. ISSC gets an excellent profitability rating and is at the same time showing great financial health properties. ISSC is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make ISSC a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
- ISSC had positive earnings in the past year.
- In the past year ISSC had a positive cash flow from operations.
- Each year in the past 5 years ISSC has been profitable.
- Each year in the past 5 years ISSC had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of ISSC (15.12%) is better than 97.26% of its industry peers.
- The Return On Equity of ISSC (24.19%) is better than 90.41% of its industry peers.
- ISSC has a better Return On Invested Capital (18.22%) than 98.63% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ISSC is above the industry average of 8.56%.
- The last Return On Invested Capital (18.22%) for ISSC is above the 3 year average (12.86%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.12% | ||
| ROE | 24.19% | ||
| ROIC | 18.22% |
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 Profit Margin of 18.54%. This is amongst the best in the industry. ISSC outperforms 98.63% of its industry peers.
- ISSC's Profit Margin has improved in the last couple of years.
- The Operating Margin of ISSC (23.81%) is better than 97.26% of its industry peers.
- ISSC's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 48.06%, ISSC belongs to the best of the industry, outperforming 86.30% of the companies in the same industry.
- ISSC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.81% | ||
| PM (TTM) | 18.54% | ||
| GM | 48.06% |
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. Health
2.1 Basic Checks
- ISSC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- ISSC has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for ISSC has been increased compared to 5 years ago.
- The debt/assets ratio for ISSC has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 8.14 indicates that ISSC is not in any danger for bankruptcy at the moment.
- ISSC has a better Altman-Z score (8.14) than 72.60% of its industry peers.
- The Debt to FCF ratio of ISSC is 3.55, which is a good value as it means it would take ISSC, 3.55 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of ISSC (3.55) is better than 80.82% of its industry peers.
- ISSC has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
- ISSC has a Debt to Equity ratio of 0.34. This is in the better half of the industry: ISSC outperforms 61.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.55 | ||
| Altman-Z | 8.14 |
ROIC/WACC1.81
WACC10.05%
2.3 Liquidity
- A Current Ratio of 3.04 indicates that ISSC has no problem at all paying its short term obligations.
- ISSC's Current ratio of 3.04 is fine compared to the rest of the industry. ISSC outperforms 61.64% of its industry peers.
- A Quick Ratio of 1.50 indicates that ISSC should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.50, ISSC is in line with its industry, outperforming 54.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.04 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
- ISSC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 80.00%, which is quite impressive.
- The Earnings Per Share has been growing by 35.77% on average over the past years. This is a very strong growth
- ISSC shows a strong growth in Revenue. In the last year, the Revenue has grown by 78.60%.
- ISSC shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 31.30% yearly.
EPS 1Y (TTM)80%
EPS 3Y39.92%
EPS 5Y35.77%
EPS Q2Q%57.14%
Revenue 1Y (TTM)78.6%
Revenue growth 3Y44.84%
Revenue growth 5Y31.3%
Sales Q2Q%44.55%
3.2 Future
- Based on estimates for the next years, ISSC will show a small growth in Earnings Per Share. The EPS will grow by 1.41% on average per year.
- The Revenue is expected to grow by 10.78% on average over the next years. This is quite good.
EPS Next Y-15.21%
EPS Next 2Y1.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.61%
Revenue Next 2Y7.83%
Revenue Next 3Y10.78%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 25.31 indicates a quite expensive valuation of ISSC.
- Compared to the rest of the industry, the Price/Earnings ratio of ISSC indicates a rather cheap valuation: ISSC is cheaper than 87.67% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.25. ISSC is around the same levels.
- Based on the Price/Forward Earnings ratio of 29.85, the valuation of ISSC can be described as expensive.
- Based on the Price/Forward Earnings ratio, ISSC is valued a bit cheaper than 71.23% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. ISSC is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.31 | ||
| Fwd PE | 29.85 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ISSC is valued cheaper than 86.30% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, ISSC is valued a bit cheaper than the industry average as 63.01% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.22 | ||
| EV/EBITDA | 16.93 |
4.3 Compensation for Growth
- ISSC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.71
EPS Next 2Y1.41%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- No dividends for ISSC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
INNOVATIVE SOLUTIONS & SUPP / ISSC 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.
How profitable is INNOVATIVE SOLUTIONS & SUPP (ISSC) stock?
INNOVATIVE SOLUTIONS & SUPP (ISSC) has a profitability rating of 9 / 10.
Can you provide the financial health for ISSC stock?
The financial health rating of INNOVATIVE SOLUTIONS & SUPP (ISSC) is 7 / 10.
How sustainable is the dividend of INNOVATIVE SOLUTIONS & SUPP (ISSC) stock?
The dividend rating of INNOVATIVE SOLUTIONS & SUPP (ISSC) is 0 / 10 and the dividend payout ratio is 0%.