Innovative Aerosystems Past Earnings Performance
Past criteria checks 6/6
Innovative Aerosystems has been growing earnings at an average annual rate of 28.7%, while the Aerospace & Defense industry saw earnings growing at 20.3% annually. Revenues have been growing at an average rate of 31.5% per year. Innovative Aerosystems's return on equity is 23.6%, and it has net margins of 18.8%.
Key information
28.68%
Earnings growth rate
28.07%
EPS growth rate
| Aerospace & Defense Industry Growth | 5.38% |
| Revenue growth rate | 31.55% |
| Return on equity | 23.64% |
| Net Margin | 18.82% |
| Last Earnings Update | 31 Mar 2026 |
Recent past performance updates
Recent updates
Narrative Update • Jun 03
ISSC: Recent Selloff And Acquisition Pipeline Will Support Future Upside Potential
Analysts have nudged the fair value estimate for Innovative Aerosystems to $28.25 from $27.75, citing what they view as an unreasonable recent selloff following a strong print. They argue that the pullback has created a more attractive entry setup based on updated revenue growth and P/E assumptions.Seeking Alpha • Jun 03
Innovative Aerosystems: The Market Is Underestimating The New M&A Strategy (Rating Upgrade)
Summary Innovative Aerosystems has successfully integrated Honeywell assets, restoring margins above 50% and strengthening its balance sheet. ISSC accelerated its roll-up strategy with three recent acquisitions, targeting complementary avionics and power generation assets to drive recurring revenue. Management set an ambitious $250M revenue target by FY2029, implying over 30% annual growth, though a 20% base case seems more realistic. Valuation appears attractive, with potential for 70% upside and 20% annualized returns if ISSC achieves $140–150M in sales and a 19% net margin by FY2028. Read the full article on Seeking AlphaNarrative Update • Apr 21
ISSC: Higher Profit Margin Assumptions Will Support Future Upside Potential
Analysts increased their price target on Innovative Aerosystems by $8 to $27.75, citing updated assumptions around discount rates, revenue growth, profit margins, and future P/E, which they say support a higher fair value estimate. Analyst Commentary Analysts highlighting the new $27.75 price target are updating their models around discount rates, revenue growth, profit margins, and future P/E, and that is shaping both optimistic and cautious views on the stock.Narrative Update • Apr 05
ISSC: Lower Discount Rate And Long Term P/E Assumptions Will Support Upside Potential
Narrative Update on Analyst Price Target Analysts have raised their price target on Innovative Aerosystems by $8 to $27.75. They cite revised assumptions for discount rates and long-term P/E expectations as the primary factors in their updated view.
New Narrative • Mar 21
Automation And Aftermarket Upgrades Will Drive Long Term Upside For This Avionics Supplier
Catalysts About Innovative Aerosystems Innovative Aerosystems provides avionics, flight control computers and cockpit systems for commercial and defense aircraft, with a growing focus on aftermarket upgrades and automation. What are the underlying business or industry changes driving this perspective?Narrative Update • Mar 21
ISSC: Higher Future P/E Assumption Will Test Execution Confidence And Fair Value
Analysts have adjusted their price target on Innovative Aerosystems from $25.75 to $27.75, citing updated fair value estimates, a slightly lower discount rate, and an updated future P/E assumption. Analyst Commentary Bullish Takeaways Bullish analysts frame the higher price target as better aligned with updated fair value work, suggesting the prior US$25.75 level did not fully reflect their refined assumptions.Narrative Update • Mar 05
ISSC: Higher P/E Reliance Will Expose Retrofit And Acquisition Plan To Execution Risk
Analysts have raised their price target on Innovative Aerosystems by $2, now framing the stock around a fair value of $25.75. They attribute this change to updated assumptions on the discount rate and the long run P/E multiple.Narrative Update • Feb 19
ISSC: Retrofit Focus And Acquisitions Will Shape A Measured New Growth Era
Narrative Update on Innovative Aerosystems The analyst price target for Innovative Aerosystems has been raised from $24.00 to $25.75, with analysts pointing to the company's focus on aircraft retrofit opportunities, its domestic manufacturing footprint, and its recent niche product acquisitions, along with an updated fair value, discount rate, revenue growth, profit margin, and future P/E framework that together support this revision. Analyst Commentary Recent research highlights both optimism and caution around Innovative Aerosystems, with price targets and ratings tied closely to expectations around retrofit demand, acquisitions, and execution by the refreshed management team.Narrative Update • Feb 04
ISSC: Retrofit Focus And Acquisitions Will Define The Next Growth Era
Narrative Update on Innovative Aerosystems Analysts lifted their price target for Innovative Aerosystems by $6.50, citing the company’s focus on the retrofit market, its domestic manufacturing footprint, recent niche product acquisitions, and a refreshed management team as key factors supporting the higher valuation range. Analyst Commentary Bullish analysts are pointing to a clearer narrative around Innovative Aerosystems, with recent research tying the higher price target directly to how the business is positioned in its core markets and how the refreshed leadership is expected to execute.Narrative Update • Jan 20
ISSC: Retrofit And Acquisition Execution Will Define Measured New Growth Era
Analysts have lifted their fair value estimate for Innovative Aerosystems by $2.88 to $24.00, citing updated assumptions for revenue growth, profitability and future P/E. These assumptions are consistent with recent Street research highlighting the company's retrofit focus, domestic manufacturing and niche product acquisitions.Narrative Update • Jan 06
ISSC: Retrofit Focus And Domestic Manufacturing Will Shape Measured New Growth Era
Analysts have lifted their price target for Innovative Aerosystems from US$18.83 to US$21.13, citing updated fair value estimates that reflect confidence in the company's retrofit focus, domestic manufacturing, and recent niche product acquisitions aligned with aging aircraft fleets. Analyst Commentary Bullish Takeaways Bullish analysts highlight the retrofit focus as a core pillar for potential growth, given its alignment with aging aircraft fleets and the need to keep existing planes in service longer.Narrative Update • Dec 21
ISSC: Retrofit Demand Will Drive New Growth Era For Aging Aircraft Fleets
Analysts have raised their price target on Innovative Aerosystems from $16.47 to $18.83 per share, citing confidence that the company's retrofit focus, domestic manufacturing advantages, and recent niche acquisitions position it to benefit from aging aircraft fleets and support a durable new growth era. Analyst Commentary Recent coverage suggests that Innovative Aerosystems is entering a structurally stronger phase of growth, but with expectations now reset higher following the price target increase, execution will be closely scrutinized.Narrative Update • Dec 07
ISSC: Retrofit Focus And Domestic Manufacturing Will Drive New Growth Era
Analysts have raised their price target on Innovative Aerosystems from approximately $10.70 to about $16.50 per share, citing the company's positioning in the aircraft retrofit market, its domestic manufacturing base, and recent niche acquisitions as catalysts for a new growth era, despite slightly higher discount rates and moderated growth and margin assumptions. Analyst Commentary Bullish analysts argue that the company is entering a structurally stronger phase, with its upgraded price target reflecting confidence that Innovative Aerosystems can convert its strategic positioning into sustained revenue and earnings growth.Seeking Alpha • Feb 24
Innovative Solutions And Support, Inc. Looks Interesting For Long Term Investors
Summary ISSC is shifting focus to military markets, potentially benefiting from Trump Administration's shifting defense and national security priorities. The company is working on gaining compliance to become Tier 1 defense supplier, reporting 70% YoY growth and a significant backlog increase, driven by new military programs. ISSC is expanding its Exton, PA facility to triple production capacity, aligning with reshoring initiatives despite temporary duplicative costs. ISSC's valuation is attractive, with a forward P/E of 13.97 and EV/EBITDA of 9.02x, presenting a strong buy opportunity for long-term investors. Read the full article on Seeking Alpha
New Narrative • Jan 26
ThrustSense Autothrottle System And AI Integration Will Boost Future Prospects In Defense And Avionics
Strategic acquisitions and investments in avionics technologies are anticipated to enhance revenue through diversification and innovations like AI integration.Seeking Alpha • Aug 22
Innovative Solution And Support Stock: Growth And Margin Expansion Potential
Summary Innovative Solutions and Support, Inc. stock outperformed the market with a 10.8% gain compared to the S&P 500's 6.1% gain. Third quarter revenues grew by 48%, with margins needing to be rebuilt for the Honeywell product line. The stock remains a buy with a 56% upside potential and a price target of $10.95, reflecting massive potential for growth. Read the full article on Seeking AlphaSeeking Alpha • May 29
Innovative Solutions and Support Stock: Huge Potential On Honeywell Growth Driver
Summary Innovative Solutions and Support, Inc. is a systems integrator of flight navigation systems and precision flight instrumentation equipment. The company has exposure to commercial and defense platforms, as well as general aviation and military platforms. The acquisition of product lines from Honeywell Aerospace has bolstered future growth, but integration challenges have led to margin erosion. Read the full article on Seeking AlphaAnalysis Article • Apr 11
With EPS Growth And More, Innovative Solutions and Support (NASDAQ:ISSC) Makes An Interesting Case
It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story...Analysis Article • Jun 17
Why Innovative Solutions and Support, Inc. (NASDAQ:ISSC) Could Be Worth Watching
While Innovative Solutions and Support, Inc. ( NASDAQ:ISSC ) might not be the most widely known stock at the moment, it...Analysis Article • Sep 07
Estimating The Fair Value Of Innovative Solutions and Support, Inc. (NASDAQ:ISSC)
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Innovative Solutions...Revenue & Expenses Breakdown
Revenue & Expenses Breakdown
How Innovative Aerosystems makes and spends money. Based on latest reported earnings, on an LTM basis.
Earnings and Revenue History
| Date | Revenue | Earnings | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 31 Mar 26 | 91 | 17 | 18 | 5 |
| 31 Dec 25 | 90 | 19 | 17 | 4 |
| 30 Sep 25 | 84 | 16 | 16 | 4 |
| 30 Jun 25 | 77 | 12 | 14 | 4 |
| 31 Mar 25 | 65 | 11 | 13 | 4 |
| 31 Dec 24 | 54 | 7 | 13 | 4 |
| 30 Sep 24 | 47 | 7 | 12 | 4 |
| 30 Jun 24 | 45 | 6 | 13 | 4 |
| 31 Mar 24 | 41 | 6 | 12 | 4 |
| 31 Dec 23 | 38 | 6 | 11 | 3 |
| 30 Sep 23 | 35 | 6 | 10 | 3 |
| 30 Jun 23 | 29 | 5 | 8 | 3 |
| 31 Mar 23 | 28 | 5 | 8 | 3 |
| 31 Dec 22 | 28 | 5 | 7 | 3 |
| 30 Sep 22 | 28 | 6 | 7 | 3 |
| 30 Jun 22 | 27 | 5 | 7 | 3 |
| 31 Mar 22 | 27 | 7 | 6 | 3 |
| 31 Dec 21 | 25 | 6 | 6 | 3 |
| 30 Sep 21 | 23 | 5 | 6 | 3 |
| 30 Jun 21 | 22 | 5 | 6 | 3 |
| 31 Mar 21 | 22 | 3 | 6 | 3 |
| 31 Dec 20 | 22 | 3 | 6 | 3 |
| 30 Sep 20 | 22 | 3 | 6 | 3 |
| 30 Jun 20 | 20 | 3 | 6 | 3 |
| 31 Mar 20 | 19 | 2 | 6 | 3 |
| 31 Dec 19 | 18 | 2 | 6 | 3 |
| 30 Sep 19 | 18 | 2 | 6 | 2 |
| 30 Jun 19 | 16 | 0 | 6 | 3 |
| 31 Mar 19 | 15 | -1 | 6 | 3 |
| 31 Dec 18 | 15 | -3 | 7 | 3 |
| 30 Sep 18 | 14 | -4 | 7 | 4 |
| 30 Jun 18 | 14 | -3 | 7 | 4 |
| 31 Mar 18 | 16 | -2 | 7 | 4 |
| 31 Dec 17 | 17 | 5 | 7 | 4 |
| 30 Sep 17 | 17 | 5 | 7 | 4 |
| 30 Jun 17 | 19 | 5 | 7 | 5 |
| 31 Mar 17 | 21 | 5 | 8 | 5 |
| 31 Dec 16 | 25 | 1 | 9 | 5 |
| 30 Sep 16 | 28 | 2 | 9 | 5 |
| 30 Jun 16 | 25 | -1 | 10 | 4 |
| 31 Mar 16 | 23 | -5 | 10 | 4 |
| 31 Dec 15 | 20 | -7 | 9 | 3 |
| 30 Sep 15 | 20 | -6 | 8 | 3 |
| 30 Jun 15 | 27 | -5 | 10 | 3 |
Quality Earnings: ISSC has high quality earnings.
Growing Profit Margin: ISSC's current net profit margins (18.8%) are higher than last year (16.6%).
Free Cash Flow vs Earnings Analysis
Past Earnings Growth Analysis
Earnings Trend: ISSC's earnings have grown significantly by 28.7% per year over the past 5 years.
Accelerating Growth: ISSC's earnings growth over the past year (57.8%) exceeds its 5-year average (28.7% per year).
Earnings vs Industry: ISSC earnings growth over the past year (57.8%) exceeded the Aerospace & Defense industry 23.9%.
Return on Equity
High ROE: ISSC's Return on Equity (23.6%) is considered high.
Return on Assets
Return on Capital Employed
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Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/06/09 05:11 |
| End of Day Share Price | 2026/06/09 00:00 |
| Earnings | 2026/03/31 |
| Annual Earnings | 2025/09/30 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Innovative Aerosystems, Inc. is covered by 6 analysts. 4 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Gregory Palm | Craig-Hallum Capital Group LLC |
| Vadim Merkulov | Freedom Broker |
| Sergey Pigarev | Freedom Broker |