Innovative Solutions and Support, Inc. (IA) vs TAT Technologies Ltd. (TATT)

Innovative Solutions and Support, Inc. and TAT Technologies Ltd. are both Aerospace & Defense companies. TAT Technologies Ltd. is the larger, with a market value of $486.0M against $330.2M — 1.5× the size. Innovative Solutions and Support, Inc. trades at the lower P/E: 17.7× against 23.3×. Innovative Solutions and Support, Inc. grew revenue faster over the last twelve months: 20.3% against 12.1%. Innovative Solutions and Support, Inc. has the higher net margin (20.5% vs 11.3%) and the higher return on invested capital (13.2% vs 8.08%). Across the 22 metrics below, Innovative Solutions and Support, Inc. leads on 16 and TAT Technologies Ltd. on 6.

Valuation

Metric IA TATT Aerospace & Defense median
P/E 17.65 23.34 33.00
P/S 3.63 2.61 3.63
P/B 4.38 2.58 3.24
Price to free cash flow 23.64 67.27 34.01
EV/EBITDA 12.78 18.44 18.69
EV/Sales 4.09 2.38 3.94
Earnings yield 5.66% 4.29% 1.31%
Free cash flow yield 4.23% 1.49% 0.00%

Profitability

Metric IA TATT Aerospace & Defense median
Gross margin 54.94% 24.98% 25.48%
Operating margin 27.37% 10.07% 4.54%
Net margin 20.50% 11.26% 2.22%
Free cash flow margin 15.34% 4.28% 0.00%
Return on equity 28.50% 11.86% 6.43%
Return on assets 15.93% 9.14% 2.70%
Return on invested capital 13.19% 8.08% 1.56%

Growth

Metric IA TATT Aerospace & Defense median
Revenue growth (TTM) 20.30% 12.06% 18.43%
EPS growth (last fiscal year) 120.00% 37.00% —
Revenue growth, 5-year CAGR 31.31% 18.76% 9.62%
Net income growth, 5-year CAGR 36.73% 0.00% 0.00%

Health

Metric IA TATT Aerospace & Defense median
Debt to equity 0.70 0.06 0.24
Current ratio 2.97 4.83 2.72
Net debt to EBITDA 0.90 (1.65) 1.12

Dividend

Metric IA TATT Aerospace & Defense median
Dividend yield — — 1.04%
Payout ratio 0.00 0.00 0.00

Size

Metric IA TATT Aerospace & Defense median
Market cap 330.24m 486.00m 2.52b

Compare with another peer

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