Is Innovative Solutions and Support (ISSC) Stock Outpacing Its Aerospace Peers This Year?

Investors interested in Aerospace stocks should always be looking to find the best-performing companies in the group. Innovative Solutions and Support, Inc. (ISSC) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? By taking a look at the stock's year-to-date performance in comparison to its Aerospace peers, we might be able to answer that question.

Innovative Solutions and Support, Inc. is one of 68 individual stocks in the Aerospace sector. Collectively, these companies sit at #7 in the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Innovative Solutions and Support, Inc. is currently sporting a Zacks Rank of #2 (Buy).

Within the past quarter, the Zacks Consensus Estimate for ISSC's full-year earnings has moved 10.7% higher. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, ISSC has moved about 59.1% on a year-to-date basis. Meanwhile, the Aerospace sector has returned an average of 7.7% on a year-to-date basis. This shows that Innovative Solutions and Support, Inc. is outperforming its peers so far this year.

One other Aerospace stock that has outperformed the sector so far this year is Woodward (WWD). The stock is up 21.5% year-to-date.

For Woodward, the consensus EPS estimate for the current year has increased 8.8% over the past three months. The stock currently has a Zacks Rank #1 (Strong Buy).

Breaking things down more, Innovative Solutions and Support, Inc. is a member of the Aerospace - Defense Equipment industry, which includes 37 individual companies and currently sits at #79 in the Zacks Industry Rank. Stocks in this group have gained about 10.2% so far this year, so ISSC is performing better this group in terms of year-to-date returns. Woodward is also part of the same industry.

Innovative Solutions and Support, Inc. and Woodward could continue their solid performance, so investors interested in Aerospace stocks should continue to pay close attention to these stocks.

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This article originally published on Zacks Investment Research (zacks.com).

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