Innovative Solutions and Support, Inc. (IA) vs Smith & Wesson Brands, Inc. (SWBI)

Innovative Solutions and Support, Inc. and Smith & Wesson Brands, Inc. are both Aerospace & Defense companies. Smith & Wesson Brands, Inc. is the larger, with a market value of $628.5M against $330.2M — 1.9× the size. Innovative Solutions and Support, Inc. trades at the lower P/E: 17.7× against 26.4×. Innovative Solutions and Support, Inc. grew revenue faster over the last twelve months: 20.3% against 17.0%. Innovative Solutions and Support, Inc. has the higher net margin (20.5% vs 4.44%) and the higher return on invested capital (13.2% vs 5.42%). Across the 22 metrics below, Innovative Solutions and Support, Inc. leads on 13 and Smith & Wesson Brands, Inc. on 9.

Valuation

Metric IA SWBI Aerospace & Defense median
P/E 17.65 26.39 33.00
P/S 3.63 1.16 3.63
P/B 4.38 1.71 3.24
Price to free cash flow 23.64 7.77 34.01
EV/EBITDA 12.78 10.24 18.69
EV/Sales 4.09 1.24 3.94
Earnings yield 5.66% 3.79% 1.31%
Free cash flow yield 4.23% 12.86% 0.00%

Profitability

Metric IA SWBI Aerospace & Defense median
Gross margin 54.94% 27.44% 25.48%
Operating margin 27.37% 6.60% 4.54%
Net margin 20.50% 4.44% 2.22%
Free cash flow margin 15.34% 14.92% 0.00%
Return on equity 28.50% 6.63% 6.43%
Return on assets 15.93% 4.54% 2.70%
Return on invested capital 13.19% 5.42% 1.56%

Growth

Metric IA SWBI Aerospace & Defense median
Revenue growth (TTM) 20.30% 16.96% 18.43%
EPS growth (last fiscal year) 120.00% 36.67% —
Revenue growth, 5-year CAGR 31.31% (13.13%) 9.62%
Net income growth, 5-year CAGR 36.73% (40.70%) 0.00%

Health

Metric IA SWBI Aerospace & Defense median
Debt to equity 0.70 0.19 0.24
Current ratio 2.97 3.62 2.72
Net debt to EBITDA 0.90 0.30 1.12

Dividend

Metric IA SWBI Aerospace & Defense median
Dividend yield — 3.37% 1.04%
Payout ratio 0.00 0.53 0.00

Size

Metric IA SWBI Aerospace & Defense median
Market cap 330.24m 628.47m 2.52b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack