Why is Innovative Solutions & Support, Inc. ?
1
High Management Efficiency with a high ROCE of 28.31%
2
Company has a low Debt to Equity ratio (avg) at times
3
Healthy long term growth as Operating profit has grown by an annual rate 46.53%
4
With a growth in Net Sales of 105.21%, the company declared Very Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at USD 10.79 MM
- ROCE(HY) Highest at 23.4%
- INVENTORY TURNOVER RATIO(HY) Highest at 2.07 times
5
With ROE of 20.19%, it has a very attractive valuation with a 4.33 Price to Book Value
- Over the past year, while the stock has generated a return of 22.31%, its profits have risen by 67.9% ; the PEG ratio of the company is 0.3
How much should you buy?
- Overall Portfolio exposure to Innovative Solutions & Support, Inc. should be less than 10%
- Overall Portfolio exposure to Aerospace & Defense should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Aerospace & Defense)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Innovative Solutions & Support, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Innovative Solutions & Support, Inc.
26.33%
0.70
74.08%
S&P 500
13.22%
0.61
20.17%
Quality key factors
Factor
Value
Sales Growth (5y)
30.96%
EBIT Growth (5y)
46.53%
EBIT to Interest (avg)
7.31
Debt to EBITDA (avg)
0.49
Net Debt to Equity (avg)
0.49
Sales to Capital Employed (avg)
0.74
Tax Ratio
19.89%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
35.77%
ROCE (avg)
28.31%
ROE (avg)
18.33%
Valuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
Price to Book Value
4.33
EV to EBIT
17.50
EV to EBITDA
14.31
EV to Capital Employed
3.24
EV to Sales
3.96
PEG Ratio
0.32
Dividend Yield
NA
ROCE (Latest)
18.49%
ROE (Latest)
20.19%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
29What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 10.79 MM
ROCE(HY)
Highest at 23.4%
INVENTORY TURNOVER RATIO(HY)
Highest at 2.07 times
NET SALES(Q)
Highest at USD 24.14 MM
PRE-TAX PROFIT(Q)
At USD 3.11 MM has Grown at 65.24%
NET PROFIT(Q)
At USD 2.44 MM has Grown at 57.41%
-8What is not working for the Company
INTEREST(HY)
At USD 0.79 MM has Grown at 130.87%
RAW MATERIAL COST(Y)
Grown by 34.05% (YoY
Here's what is working for Innovative Solutions & Support, Inc.
Operating Cash Flow
Highest at USD 10.79 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
Highest at USD 24.14 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Net Sales
At USD 24.14 MM has Grown at 105.21%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Inventory Turnover Ratio
Highest at 2.07 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Pre-Tax Profit
At USD 3.11 MM has Grown at 65.24%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 2.44 MM has Grown at 57.41%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Here's what is not working for Innovative Solutions & Support, Inc.
Interest
At USD 0.79 MM has Grown at 130.87%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Raw Material Cost
Grown by 34.05% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales






