Latest Ratios: P/E Ratio 21.4x · EV/EBITDA 15.1x · ROE 28.1%. (1999–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $337M | $223M | $114M | $132M | $149M | $121M | $117M | $80M | $43M | $61M | $54M |
| Enterprise Value | $359M | $244M | $141M | $149M | $132M | $113M | $105M | $57M | $22M | $37M | $36M |
| P/E Ratio → | 21.42 | 14.19 | 16.30 | 21.71 | 26.97 | 24.21 | 36.00 | 42.73 | — | 13.48 | 26.58 |
| P/S Ratio | 4.00 | 2.64 | 2.41 | 3.80 | 5.37 | 5.25 | 5.42 | 4.53 | 3.08 | 3.65 | 1.94 |
| P/B Ratio | 5.20 | 3.45 | 2.44 | 3.43 | 4.84 | 4.92 | 4.22 | 2.20 | 1.25 | 1.63 | 1.65 |
| P/FCF | 49.66 | 32.79 | 22.18 | 73.64 | 25.10 | 28.44 | 56.46 | 39.30 | — | 10.38 | 16.94 |
| P/OCF | 25.35 | 16.74 | 19.66 | 63.16 | 24.44 | 26.33 | 53.40 | 37.79 | — | 10.12 | 15.26 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.90 | 3.00 | 4.27 | 4.75 | 4.89 | 4.84 | 3.26 | 1.61 | 2.18 | 1.27 |
| EV / EBITDA | 15.07 | 10.26 | 12.03 | 18.47 | 17.37 | 26.01 | 32.87 | 28.89 | — | 98.69 | 12.12 |
| EV / EBIT | 17.87 | 12.16 | 14.45 | 18.53 | 17.94 | 28.89 | 38.06 | 37.42 | — | — | 14.57 |
| EV / FCF | — | 35.95 | 27.53 | 82.77 | 22.20 | 26.51 | 50.40 | 28.24 | — | 6.20 | 11.09 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 45.4% | 45.4% | 54.9% | 61.2% | 60.1% | 55.5% | 54.7% | 56.3% | 47.2% | 48.4% | 58.9% |
| Operating Margin | 23.8% | 23.8% | 20.5% | 21.1% | 26.0% | 16.9% | 12.7% | 8.7% | -26.8% | -0.5% | 8.7% |
| Net Profit Margin | 18.5% | 18.5% | 14.8% | 17.3% | 19.9% | 22.0% | 15.1% | 10.5% | -26.4% | 27.2% | 7.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 28.1% | 28.1% | 16.4% | 17.4% | 20.0% | 19.3% | 10.2% | 5.3% | -10.2% | 13.0% | 6.2% |
| ROA | 16.8% | 16.8% | 9.6% | 12.3% | 17.9% | 14.8% | 8.2% | 4.9% | -9.3% | 11.8% | 5.5% |
| ROIC | 18.8% | 18.8% | 11.2% | 16.1% | 36.2% | 18.5% | 14.2% | 8.3% | -20.9% | -0.4% | 12.6% |
| ROCE | 24.8% | 24.8% | 14.7% | 16.9% | 26.1% | 14.9% | 8.5% | 4.3% | -10.3% | -0.2% | 7.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.37 | 0.37 | 0.60 | 0.51 | 0.00 | 0.00 | 0.00 | — | — | — | — |
| Debt / EBITDA | 1.01 | 1.01 | 2.38 | 2.42 | 0.00 | 0.01 | 0.01 | — | — | — | — |
| Net Debt / Equity | — | 0.33 | 0.59 | 0.42 | -0.56 | -0.33 | -0.45 | -0.62 | -0.60 | -0.66 | -0.57 |
| Net Debt / EBITDA | 0.90 | 0.90 | 2.34 | 2.04 | -2.27 | -1.90 | -3.95 | -11.32 | — | -66.41 | -6.39 |
| Debt / FCF | — | 3.16 | 5.35 | 9.13 | -2.90 | -1.93 | -6.06 | -11.06 | — | -4.17 | -5.85 |
| Interest Coverage | 11.63 | 11.63 | 10.44 | 20.41 | — | — | — | — | — | — | — |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.04 | 3.04 | 4.77 | 5.42 | 7.16 | 7.16 | 2.43 | 13.50 | 8.56 | 10.17 | 8.22 |
| Quick Ratio | 1.50 | 1.50 | 3.02 | 4.46 | 5.80 | 5.32 | 2.11 | 11.48 | 7.28 | 8.92 | 7.20 |
| Cash Ratio | 0.16 | 0.16 | 0.07 | 0.48 | 4.38 | 3.34 | 0.92 | 10.10 | 6.09 | 7.34 | 5.25 |
| Asset Turnover | — | 0.82 | 0.57 | 0.55 | 0.80 | 0.85 | 0.52 | 0.46 | 0.37 | 0.41 | 0.77 |
| Inventory Turnover | 1.78 | 1.78 | 1.67 | 2.20 | 2.07 | 2.26 | 2.28 | 1.72 | 1.71 | 2.07 | 3.15 |
| Days Sales Outstanding | — | 79.14 | 110.53 | 107.28 | 58.69 | 64.09 | 73.85 | 50.45 | 90.96 | 97.63 | 81.11 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | 16.4% | 9.6% | — | — | — | — |
| Payout Ratio | — | — | — | — | — | 390.7% | 341.9% | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.7% | 7.0% | 6.1% | 4.6% | 3.7% | 4.1% | 2.8% | 2.3% | — | 7.4% | 3.8% |
| FCF Yield | 2.0% | 3.0% | 4.5% | 1.4% | 4.0% | 3.5% | 1.8% | 2.5% | — | 9.6% | 5.9% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.8% | 0.0% | 0.0% | 0.0% | 1.3% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 16.4% | 10.3% | 0.0% | 0.0% | 0.0% | 1.3% |
| Shares Outstanding | — | $18M | $17M | $17M | $17M | $17M | $17M | $17M | $17M | $17M | $17M |
Liquidity and working capital
Based on reported figures, ISSC trades at a P/E of 20.33, which appears to discount the volatility in recent earnings growth compared to the significantly higher multiples observed in peer entities like Astronics and Curtiss-Wright, suggesting the market remains skeptical of the company's long-term earnings sustainability.
The PEG ratio of 0.57 implies that the market may be underestimating the potential for future earnings expansion if the company successfully scales its proprietary software suite. However, investors should monitor whether this valuation gap is a structural discount due to liquidity concerns or a temporary mispricing of the company's niche aerospace moat.
According to quarterly financial data, ISSC's ROIC has struggled to maintain momentum, peaking at 7.5% in 2025Q4 before declining to 3.6% in 2026Q2, which indicates that the company's recent aggressive acquisition strategy is currently diluting the efficiency of its invested capital base.
The downward trend in ROIC suggests that the returns generated from new investments are not yet offsetting the costs of the capital deployed. This warrants further investigation into whether the integration of recent acquisitions will eventually drive margin expansion or if the capital intensity of the business model is structurally rising.
As reported in recent filings, the cash conversion cycle has expanded significantly to 248 days in 2026Q2, driven by rising inventory levels and persistent delays in cash collection, which highlights a growing inefficiency in the company's ability to convert its specialized aerospace sales into liquid cash.
The high DIO of 232 days suggests that the company is carrying substantial inventory, likely to mitigate supply chain risks for critical components. This reliance on working capital to support growth appears to be a primary driver of the company's current liquidity constraints and warrants close monitoring by investors.
Based on the company's latest balance sheet, the debt-to-equity ratio has climbed to 0.76, a notable increase from 0.26 in 2024Q2, indicating that ISSC is increasingly relying on external financing to fund its operations and acquisitions rather than relying on internal cash generation.
While the interest coverage ratio remains above 9x, the rapid accumulation of debt in a period of volatile cash flow suggests a narrowing margin of safety. Investors should monitor whether this leverage profile will constrain the company's ability to fund future R&D initiatives during potential industry downturns.
The P/E ratio is frequently misapplied to ISSC, as it obscures the significant impact of non-recurring engineering fees and stock-based compensation on reported net income, which often fails to reflect the company's true underlying cash-generating capacity in this capital-intensive aerospace retrofit market.
Analysts should instead focus on FCF-based metrics or EV/EBITDA, which better account for the company's heavy investment in R&D and the cash-consuming nature of its working capital requirements. Relying solely on P/E may lead to an overly optimistic view of the company's profitability during periods of high project-based revenue recognition.
Includes 30+ ratios · 27 years · Updated daily
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Quick answers to the most common questions about buying ISSC stock.
Innovative Aerosystems, Inc.'s current P/E ratio is 21.4x. The historical average is 34.6x. This places it at the 40th percentile of its historical range.
Innovative Aerosystems, Inc.'s current EV/EBITDA is 15.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 22.7x.
Innovative Aerosystems, Inc.'s return on equity (ROE) is 28.1%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 9.0%.
Based on historical data, Innovative Aerosystems, Inc. is trading at a P/E of 21.4x. This is at the 40th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Innovative Aerosystems, Inc. has 45.4% gross margin and 23.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Innovative Aerosystems, Inc.'s Debt/EBITDA ratio is 1.0x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.