Innovative Solutions and Support (FRA:IOE) 3-Year ROIIC % : 13.70% (As of Sep. 2025) — 79% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:IOE Innovative Solutions and Support Inc FRA:IOE
76 GF Score
Price €15.96
GF Value €15.04
Valuation Fairly Valued
! 3 Warning Signs
View Full Analysis

What is Innovative Solutions and Support 3-Year ROIIC %?

Innovative Solutions and Support FRA:IOE -0.13% 76 3-Year ROIIC % is 13.70 as of Sep. 2025, which is 79% above its 10-year median of 7.67. GuruFocus rates FRA:IOE with a GF Score™ of 76/100 and a GF Value™ of €15.04 (Fairly Valued). The stock has 3 warning signs investors should review. Among 321 Aerospace & Defense companies, Innovative Solutions and Support ranks better than 66.67% on this metric.

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. Innovative Solutions and Support's 3-Year ROIIC % for the quarter that ended in Sep. 2025 was 13.70%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Innovative Solutions and Support's 3-Year ROIIC % or its related term are showing as below:

FRA:IOE's 3-Year ROIIC % is ranked better than
66.67% of 321 companies
in the Aerospace & Defense industry
Industry Median: 3.5 vs FRA:IOE: 13.70

Innovative Solutions and Support  (FRA:IOE) 3-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Innovative Solutions and Support 3-Year ROIIC % Related Terms


Innovative Solutions and Support 3-Year ROIIC % Historical Data

* Premium members only.

The historical data trend for Innovative Solutions and Support's 3-Year ROIIC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Innovative Solutions and Support 3-Year ROIIC % Chart

Innovative Solutions and Support Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
3-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 300.91 -2,378.81 7.67 6.43 13.70

Innovative Solutions and Support Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
3-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 0.00 13.70 0.00 0.00

FRA:IOE vs SPCE, BUKS, POWW: 3-Year ROIIC % Comparison

For the Aerospace & Defense subindustry, Innovative Solutions and Support's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Innovative Solutions and Support 3-Year ROIIC % vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Innovative Solutions and Support's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Innovative Solutions and Support's 3-Year ROIIC % falls into.


FRA:IOE
76GF Score
Innovative Solutions and Support Inc FRA:IOE
3-Year ROIIC % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Innovative Solutions and Support 3-Year ROIIC % Calculation

Innovative Solutions and Support's 3-Year ROIIC % for the quarter that ended in Sep. 2025 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( 13.3952133 (Sep. 2025) - 5.4827388 (Sep. 2022) )/( 75.766 (Sep. 2025) - 13.923 (Sep. 2022) )
=7.9124745/61.843
=12.79%***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.

Frequently Asked Questions Learn more about 3-Year ROIIC % →
What does a 3-Year ROIIC % of 13.70 mean?
Innovative Solutions and Support (FRA:IOE) has a 3-Year ROIIC % of 13.70 as of Sep. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Innovative Solutions and Support and its competitors. This is 79% above median its historical median of 7.67. According to the industry distribution chart, Innovative Solutions and Support ranks #107 out of 321 companies in the Aerospace & Defense industry, placing it in the top 33.3%.
Is Innovative Solutions and Support's 3-Year ROIIC % too high?
Innovative Solutions and Support's current 3-Year ROIIC % of 13.70 is 79% above median its 10-year median of 7.67. The Aerospace & Defense industry median 3-Year ROIIC % is 3.50. Innovative Solutions and Support's value of 13.70 is 291.4% above this industry median. Based on the distribution chart, Innovative Solutions and Support ranks #107 out of 321 companies in the Aerospace & Defense industry, which is above the industry midpoint. Overall, Innovative Solutions and Support has a GF Score™ of 76/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Innovative Solutions and Support's 3-Year ROIIC % compare to SPCE and BUKS?
According to the Aerospace & Defense industry distribution chart, Innovative Solutions and Support ranks #107 out of 321 companies for 3-Year ROIIC %. This puts Innovative Solutions and Support in the upper half of its industry. The industry median 3-Year ROIIC % is 3.50. Innovative Solutions and Support's value of 13.70 is 291.4% above this benchmark. While the company's 10-year median is 7.67 vs. the industry median of 3.50, Innovative Solutions and Support has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for an Aerospace & Defense company?
The median 3-Year ROIIC % among Aerospace & Defense companies is 3.50, based on 321 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Innovative Solutions and Support's current 3-Year ROIIC % of 13.70 is 291.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Innovative Solutions and Support and its competitors. For the Aerospace & Defense industry, the median 3-Year ROIIC % is 3.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Innovative Solutions and Support's current 3-Year ROIIC % is 13.70, which is 79% above median its own 10-year median of 7.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Innovative Solutions and Support stock overvalued right now?
Based on GuruFocus' analysis, Innovative Solutions and Support (FRA:IOE) is currently considered Fairly Valued. The stock's GF Value™ is €15.04, compared to a current price of €15.96 — trading 6.1% above its estimated fair value. The current 3-Year ROIIC % is 13.70, which is 79% above median its 10-year median of 7.67 and 291.4% above the Aerospace & Defense industry median of 3.50. Innovative Solutions and Support's overall GF Score™ is 76/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Innovative Solutions and Support (FRA:IOE), the current 3-Year ROIIC % is 13.70 as of Sep. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Innovative Solutions and Support (FRA:IOE) Overvalued in 2026?

Based on GuruFocus' analysis, Innovative Solutions and Support stock appears to be overvalued. The current stock price of €15.96 is trading 6.1% above its estimated GF Value™ of €15.04. GuruFocus considers Innovative Solutions and Support to be Fairly Valued.

Key valuation signals for FRA:IOE:

  • 3-Year ROIIC %: 13.70 (79% above median its 10-year median of 7.67)
  • GF Value™: €15.04 vs. price of €15.96 (6.1% above fair value)
  • GF Score™: 76/100 with 3 warning signs
  • Industry Position: 291.4% above the Aerospace & Defense median (#107 of 321)

No single metric tells the full story. See the FRA:IOE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Innovative Solutions and Support Business Description

Other Exchanges ISSC:USA
Address 720 Pennsylvania Drive, Exton, PA, USA, 19341
Innovative Solutions and Support Inc is a systems integrator that designs, manufactures, sells, and services air data equipment, engine display systems, standby equipment, primary flight guidance, and cockpit display systems for retrofit applications and original equipment manufacturers. The company supplies integrated Flight Management Systems, Flat Panel Display Systems, Integrated Standby Units, Positioning System receivers that enable reduced carbon footprint navigation, and an Autothrottle, which allows a pilot to automatically control the power setting of the engine and is designed to reduce pilot workload and enhance safety. It sells its products to both the OEM and the retrofit markets.
76GF Score

Get the complete analysis for FRA:IOE

3-Year ROIIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€15.96
Price
€15.04
GF Value