Logo image of ISSC

INNOVATIVE SOLUTIONS & SUPP (ISSC) Stock Fundamental Analysis

NASDAQ:ISSC - Nasdaq - US45769N1054 - Common Stock - Currency: USD

11.12  +0.06 (+0.54%)

Fundamental Rating

7

ISSC gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 65 industry peers in the Aerospace & Defense industry. ISSC scores excellent on profitability, but there are some minor concerns on its financial health. ISSC is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes ISSC very considerable for growth investing!


Dividend Valuation Growth Profitability Health

Quickly go to:

9

1. Profitability

1.1 Basic Checks

In the past year ISSC was profitable.
In the past year ISSC had a positive cash flow from operations.
In the past 5 years ISSC has always been profitable.
ISSC had a positive operating cash flow in each of the past 5 years.
ISSC Yearly Net Income VS EBIT VS OCF VS FCFISSC Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5M -5M

1.2 Ratios

The Return On Assets of ISSC (8.50%) is better than 85.94% of its industry peers.
Looking at the Return On Equity, with a value of 15.01%, ISSC is in the better half of the industry, outperforming 79.69% of the companies in the same industry.
ISSC has a better Return On Invested Capital (10.16%) than 85.94% of its industry peers.
ISSC had an Average Return On Invested Capital over the past 3 years of 12.99%. This is significantly above the industry average of 7.61%.
Industry RankSector Rank
ROA 8.5%
ROE 15.01%
ROIC 10.16%
ROA(3y)11.33%
ROA(5y)12.11%
ROE(3y)16.2%
ROE(5y)16.18%
ROIC(3y)12.99%
ROIC(5y)11.85%
ISSC Yearly ROA, ROE, ROICISSC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 20

1.3 Margins

With an excellent Profit Margin value of 14.83%, ISSC belongs to the best of the industry, outperforming 92.19% of the companies in the same industry.
ISSC's Profit Margin has improved in the last couple of years.
ISSC has a better Operating Margin (20.47%) than 92.19% of its industry peers.
ISSC's Operating Margin has improved in the last couple of years.
ISSC has a better Gross Margin (54.90%) than 90.63% of its industry peers.
In the last couple of years the Gross Margin of ISSC has remained more or less at the same level.
Industry RankSector Rank
OM 20.47%
PM (TTM) 14.83%
GM 54.9%
OM growth 3Y6.54%
OM growth 5Y18.64%
PM growth 3Y-12.27%
PM growth 5Y7.09%
GM growth 3Y-0.34%
GM growth 5Y-0.52%
ISSC Yearly Profit, Operating, Gross MarginsISSC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 60

More info and screens

6

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ISSC is still creating some value.
ISSC has more shares outstanding than it did 1 year ago.
ISSC has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ISSC is higher compared to a year ago.
ISSC Yearly Shares OutstandingISSC Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5M 10M 15M
ISSC Yearly Total Debt VS Total AssetsISSC Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M

2.2 Solvency

ISSC has an Altman-Z score of 4.82. This indicates that ISSC is financially healthy and has little risk of bankruptcy at the moment.
ISSC has a Altman-Z score of 4.82. This is in the better half of the industry: ISSC outperforms 67.19% of its industry peers.
The Debt to FCF ratio of ISSC is 31.53, which is on the high side as it means it would take ISSC, 31.53 years of fcf income to pay off all of its debts.
ISSC has a Debt to FCF ratio (31.53) which is in line with its industry peers.
ISSC has a Debt/Equity ratio of 0.60. This is a neutral value indicating ISSC is somewhat dependend on debt financing.
ISSC has a Debt to Equity ratio (0.60) which is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.6
Debt/FCF 31.53
Altman-Z 4.82
ROIC/WACC1.03
WACC9.87%
ISSC Yearly LT Debt VS Equity VS FCFISSC Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10M 20M 30M 40M

2.3 Liquidity

A Current Ratio of 4.77 indicates that ISSC has no problem at all paying its short term obligations.
With an excellent Current ratio value of 4.77, ISSC belongs to the best of the industry, outperforming 89.06% of the companies in the same industry.
ISSC has a Quick Ratio of 3.02. This indicates that ISSC is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of ISSC (3.02) is better than 89.06% of its industry peers.
Industry RankSector Rank
Current Ratio 4.77
Quick Ratio 3.02
ISSC Yearly Current Assets VS Current LiabilitesISSC Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M

More info and screens

9

3. Growth

3.1 Past

ISSC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 32.35%, which is quite impressive.
Measured over the past years, ISSC shows a very strong growth in Earnings Per Share. The EPS has been growing by 30.26% on average per year.
The Revenue has grown by 35.58% in the past year. This is a very strong growth!
Measured over the past years, ISSC shows a very strong growth in Revenue. The Revenue has been growing by 21.85% on average per year.
EPS 1Y (TTM)32.35%
EPS 3Y11.35%
EPS 5Y30.26%
EPS Q2Q%40%
Revenue 1Y (TTM)35.58%
Revenue growth 3Y27%
Revenue growth 5Y21.85%
Sales Q2Q%18.48%

3.2 Future

Based on estimates for the next years, ISSC will show a very strong growth in Earnings Per Share. The EPS will grow by 27.75% on average per year.
Based on estimates for the next years, ISSC will show a quite strong growth in Revenue. The Revenue will grow by 15.21% on average per year.
EPS Next Y38.27%
EPS Next 2Y27.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year24.58%
Revenue Next 2Y17.66%
Revenue Next 3Y15.21%
Revenue Next 5YN/A

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
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.
ISSC Yearly Revenue VS EstimatesISSC Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 20M 40M 60M
ISSC Yearly EPS VS EstimatesISSC Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 0.2 0.4 0.6

More info and screens

6

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 24.71, the valuation of ISSC can be described as rather expensive.
Based on the Price/Earnings ratio, ISSC is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of ISSC to the average of the S&P500 Index (28.42), we can say ISSC is valued inline with the index average.
ISSC is valuated rather expensively with a Price/Forward Earnings ratio of 17.87.
Based on the Price/Forward Earnings ratio, ISSC is valued cheaper than 82.81% of the companies in the same industry.
ISSC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 24.39, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 24.71
Fwd PE 17.87
ISSC Price Earnings VS Forward Price EarningsISSC Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ISSC indicates a somewhat cheap valuation: ISSC is cheaper than 70.31% of the companies listed in the same industry.
ISSC's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 218.9
EV/EBITDA 18.8
ISSC Per share dataISSC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0.5 1 1.5 2 2.5

4.3 Compensation for Growth

ISSC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of ISSC may justify a higher PE ratio.
A more expensive valuation may be justified as ISSC's earnings are expected to grow with 27.75% in the coming years.
PEG (NY)0.65
PEG (5Y)0.82
EPS Next 2Y27.75%
EPS Next 3YN/A

More info and screens

0

5. Dividend

5.1 Amount

ISSC does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

INNOVATIVE SOLUTIONS & SUPP

NASDAQ:ISSC (1/28/2025, 8:00:02 PM)

11.12

+0.06 (+0.54%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)12-19 2024-12-19/amc
Earnings (Next)02-05 2025-02-05
Inst Owners28.92%
Inst Owner Change-0.02%
Ins Owners18.81%
Ins Owner Change0.17%
Market Cap194.60M
Analysts85
Price Target10.2 (-8.27%)
Short Float %0.64%
Short Ratio0.6
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)24.12%
Min EPS beat(2)-10.13%
Max EPS beat(2)58.37%
EPS beat(4)1
Avg EPS beat(4)-7.64%
Min EPS beat(4)-41.18%
Max EPS beat(4)58.37%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)13.52%
Min Revenue beat(2)-3.03%
Max Revenue beat(2)30.07%
Revenue beat(4)1
Avg Revenue beat(4)3.07%
Min Revenue beat(4)-9.63%
Max Revenue beat(4)30.07%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)6.38%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)12.31%
Revenue NY rev (3m)12.31%
Valuation
Industry RankSector Rank
PE 24.71
Fwd PE 17.87
P/S 4.12
P/FCF 218.9
P/OCF 33.57
P/B 4.17
P/tB 13.5
EV/EBITDA 18.8
EPS(TTM)0.45
EY4.05%
EPS(NY)0.62
Fwd EY5.6%
FCF(TTM)0.05
FCFY0.46%
OCF(TTM)0.33
OCFY2.98%
SpS2.7
BVpS2.67
TBVpS0.82
PEG (NY)0.65
PEG (5Y)0.82
Profitability
Industry RankSector Rank
ROA 8.5%
ROE 15.01%
ROCE 12.86%
ROIC 10.16%
ROICexc 10.24%
ROICexgc 18.02%
OM 20.47%
PM (TTM) 14.83%
GM 54.9%
FCFM 1.88%
ROA(3y)11.33%
ROA(5y)12.11%
ROE(3y)16.2%
ROE(5y)16.18%
ROIC(3y)12.99%
ROIC(5y)11.85%
ROICexc(3y)21.12%
ROICexc(5y)19.29%
ROICexgc(3y)25.94%
ROICexgc(5y)22.23%
ROCE(3y)16.44%
ROCE(5y)15.01%
ROICexcg growth 3Y-1.78%
ROICexcg growth 5Y15.86%
ROICexc growth 3Y-18.49%
ROICexc growth 5Y3.46%
OM growth 3Y6.54%
OM growth 5Y18.64%
PM growth 3Y-12.27%
PM growth 5Y7.09%
GM growth 3Y-0.34%
GM growth 5Y-0.52%
F-Score3
Asset Turnover0.57
Health
Industry RankSector Rank
Debt/Equity 0.6
Debt/FCF 31.53
Debt/EBITDA 2.38
Cap/Depr 233.91%
Cap/Sales 10.4%
Interest Coverage 11.41
Cash Conversion 49.29%
Profit Quality 12.7%
Current Ratio 4.77
Quick Ratio 3.02
Altman-Z 4.82
F-Score3
WACC9.87%
ROIC/WACC1.03
Cap/Depr(3y)106.63%
Cap/Depr(5y)85.38%
Cap/Sales(3y)3.94%
Cap/Sales(5y)2.77%
Profit Quality(3y)49.99%
Profit Quality(5y)59.45%
High Growth Momentum
Growth
EPS 1Y (TTM)32.35%
EPS 3Y11.35%
EPS 5Y30.26%
EPS Q2Q%40%
EPS Next Y38.27%
EPS Next 2Y27.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)35.58%
Revenue growth 3Y27%
Revenue growth 5Y21.85%
Sales Q2Q%18.48%
Revenue Next Year24.58%
Revenue Next 2Y17.66%
Revenue Next 3Y15.21%
Revenue Next 5YN/A
EBIT growth 1Y31.22%
EBIT growth 3Y35.31%
EBIT growth 5Y44.57%
EBIT Next Year90.6%
EBIT Next 3Y31.45%
EBIT Next 5YN/A
FCF growth 1Y-50.55%
FCF growth 3Y-40.64%
FCF growth 5Y-15.22%
OCF growth 1Y176.52%
OCF growth 3Y8.09%
OCF growth 5Y22.4%