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ISSC

Innovative Solutions and Support NasdaqGS:ISSC Stock Report

Last Price

US$7.43

Market Cap

US$128.3m

7D

-2.4%

1Y

16.1%

Updated

26 Jun, 2022

Data

Company Financials
ISSC fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance6/6
Financial Health6/6
Dividends2/6

ISSC Stock Overview

Innovative Solutions and Support, Inc., a systems integrator, designs, develops, manufactures, sells, and services flight guidance, autothrottle, and cockpit display systems in the United States and internationally.

Innovative Solutions and Support Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Innovative Solutions and Support
Historical stock prices
Current Share PriceUS$7.43
52 Week HighUS$9.90
52 Week LowUS$5.77
Beta1.09
1 Month Change-13.91%
3 Month Change-9.39%
1 Year Change16.09%
3 Year Change45.69%
5 Year Change68.86%
Change since IPO-8.55%

Recent News & Updates

Shareholder Returns

ISSCUS Aerospace & DefenseUS Market
7D-2.4%4.7%6.6%
1Y16.1%-0.6%-18.4%

Return vs Industry: ISSC exceeded the US Aerospace & Defense industry which returned -0.7% over the past year.

Return vs Market: ISSC exceeded the US Market which returned -18.5% over the past year.

Price Volatility

Is ISSC's price volatile compared to industry and market?
ISSC volatility
ISSC Average Weekly Movement8.5%
Aerospace & Defense Industry Average Movement7.0%
Market Average Movement8.1%
10% most volatile stocks in US Market16.6%
10% least volatile stocks in US Market3.2%

Stable Share Price: ISSC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: ISSC's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198886Shahram Askarpourhttps://innovative-ss.com

Innovative Solutions and Support, Inc., a systems integrator, designs, develops, manufactures, sells, and services flight guidance, autothrottle, and cockpit display systems in the United States and internationally. It offers flat panel display systems that replicate the display of analog or digital displays on one screen and replace existing displays in legacy aircraft, as well as used for security monitoring on-board aircraft and as tactical workstations on military aircraft; and flight management systems that complement the flat panel display system upgrade for commercial air transport aircraft. The company also provides integrated standby units, which incorporate the measurement and display of attitude, altitude, airspeed, and navigation data into a single standby/backup navigation instrument for military, commercial air transport, and corporate/general aviation applications.

Innovative Solutions and Support Fundamentals Summary

How do Innovative Solutions and Support's earnings and revenue compare to its market cap?
ISSC fundamental statistics
Market CapUS$128.33m
Earnings (TTM)US$6.78m
Revenue (TTM)US$26.59m

18.9x

P/E Ratio

4.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ISSC income statement (TTM)
RevenueUS$26.59m
Cost of RevenueUS$11.13m
Gross ProfitUS$15.46m
Other ExpensesUS$8.68m
EarningsUS$6.78m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.39
Gross Margin58.14%
Net Profit Margin25.49%
Debt/Equity Ratio0%

How did ISSC perform over the long term?

See historical performance and comparison

Dividends

6.7%

Current Dividend Yield

n/a

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is ISSC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ISSC?

Other financial metrics that can be useful for relative valuation.

ISSC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.4x
Enterprise Value/EBITDA17.4x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does ISSC's PE Ratio compare to its peers?

ISSC PE Ratio vs Peers
The above table shows the PE ratio for ISSC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average14.2x

Price-To-Earnings vs Peers: ISSC is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the peer average (14.2x).


Price to Earnings Ratio vs Industry

How does ISSC's PE Ratio compare vs other companies in the U.S. Aerospace & Defense Industry?

Price-To-Earnings vs Industry: ISSC is expensive based on its Price-To-Earnings Ratio (18.9x) compared to the US Aerospace & Defense industry average (18.8x)


Price to Earnings Ratio vs Fair Ratio

What is ISSC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ISSC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio18.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ISSC's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of ISSC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ISSC ($7.43) is trading below our estimate of fair value ($9.4)

Significantly Below Fair Value: ISSC is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ISSC's PEG Ratio to determine if it is good value.


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Future Growth

How is Innovative Solutions and Support forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


12.0%

Forecasted Capital Goods industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Innovative Solutions and Support has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Discover growth companies

Past Performance

How has Innovative Solutions and Support performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


21.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ISSC has high quality earnings.

Growing Profit Margin: ISSC's current net profit margins (25.5%) are higher than last year (15.1%).


Past Earnings Growth Analysis

Earnings Trend: ISSC's earnings have grown significantly by 21.1% per year over the past 5 years.

Accelerating Growth: ISSC's earnings growth over the past year (102.2%) exceeds its 5-year average (21.1% per year).

Earnings vs Industry: ISSC earnings growth over the past year (102.2%) exceeded the Aerospace & Defense industry 27.7%.


Return on Equity

High ROE: ISSC's Return on Equity (24.7%) is considered high.


Discover strong past performing companies

Financial Health

How is Innovative Solutions and Support's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: ISSC's short term assets ($21.2M) exceed its short term liabilities ($2.6M).

Long Term Liabilities: ISSC's short term assets ($21.2M) exceed its long term liabilities ($21.8K).


Debt to Equity History and Analysis

Debt Level: ISSC is debt free.

Reducing Debt: ISSC has not had any debt for past 5 years.

Debt Coverage: ISSC has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: ISSC has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Innovative Solutions and Support current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


6.73%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: ISSC's dividend (6.73%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: ISSC's dividend (6.73%) is in the top 25% of dividend payers in the US market (4.24%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, ISSC has been paying a dividend for less than 10 years.

Growing Dividend: ISSC has only been paying a dividend for 2 years, and since then payments have not increased.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Insufficient data to calculate cash payout ratio to determine if its dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

14.8yrs

Average board tenure


CEO

Shahram Askarpour (64 yo)

10.25yrs

Tenure

US$305,700

Compensation

Dr. Shahram Askarpour has been the President of Innovative Solutions and Support, Inc. since March 2012 and as its Chief Executive Officer and Director since January 2022. He served as Chief Executive Offi...


CEO Compensation Analysis

Compensation vs Market: Shahram's total compensation ($USD305.70K) is below average for companies of similar size in the US market ($USD752.25K).

Compensation vs Earnings: Shahram's compensation has been consistent with company performance over the past year.


Board Members

Experienced Board: ISSC's board of directors are seasoned and experienced ( 14.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ISSC insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Innovative Solutions and Support, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Innovative Solutions and Support, Inc.
  • Ticker: ISSC
  • Exchange: NasdaqGS
  • Founded: 1988
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Implied Market Cap: US$128.329m
  • Shares outstanding: 17.27m
  • Website: https://innovative-ss.com

Number of Employees


Location

  • Innovative Solutions and Support, Inc.
  • 720 Pennsylvania Drive
  • Exton
  • Pennsylvania
  • 19341-1129
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/26 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2021/09/30


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 here.