Critical Review: Innovative Solutions and Support (NASDAQ:ISSC) & Venus Acquisition (NASDAQ:VENA)

Innovative Solutions and Support (NASDAQ:ISSC) and Venus Acquisition (NASDAQ:VENA) are both small-cap aerospace companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, institutional ownership, profitability, dividends, analyst recommendations, risk and valuation.

Volatility & Risk

Innovative Solutions and Support has a beta of 1.04, indicating that its stock price is 4% more volatile than the S&P 500. Comparatively, Venus Acquisition has a beta of -0.05, indicating that its stock price is 105% less volatile than the S&P 500.

Profitability

This table compares Innovative Solutions and Support and Venus Acquisition’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Innovative Solutions and Support	16.98%	17.20%	11.66%
Venus Acquisition	N/A	-2.37%	0.14%

Analyst Ratings

This is a summary of recent ratings and target prices for Innovative Solutions and Support and Venus Acquisition, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Innovative Solutions and Support	0	0	0	0	N/A
Venus Acquisition	0	0	0	0	N/A

Earnings and Valuation

This table compares Innovative Solutions and Support and Venus Acquisition’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Innovative Solutions and Support	$34.81 million	3.24	$6.03 million	$0.36	17.92
Venus Acquisition	N/A	N/A	-$810,000.00	N/A	N/A

Innovative Solutions and Support has higher revenue and earnings than Venus Acquisition.

Insider & Institutional Ownership

28.5% of Innovative Solutions and Support shares are owned by institutional investors. Comparatively, 67.0% of Venus Acquisition shares are owned by institutional investors. 3.7% of Innovative Solutions and Support shares are owned by insiders. Comparatively, 22.7% of Venus Acquisition shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Innovative Solutions and Support beats Venus Acquisition on 6 of the 8 factors compared between the two stocks.

About Innovative Solutions and Support

Innovative Solutions and Support, Inc., a systems integrator, designs, develops, manufactures, sells, and services flight guidance, autothrottles, and cockpit display systems in the United States and internationally. It offers flat panel display systems that replicate the display of analog or digital displays on one screen and replace existing displays in legacy aircraft, as well as used for security monitoring on-board aircraft and as tactical workstations on military aircraft; and flight deck management system, a navigation and performance computer that upgrade for commercial air transport aircraft. The company also provides integrated standby units, which incorporate the measurement and display of attitude, altitude, airspeed, and navigation data into a single backup navigation instrument for military, commercial air transport, and corporate/general aviation applications. In addition, it offers digital air data computers that calculate various air data parameters, such as altitude, airspeed, vertical speed, angle of attack, and other information; integrated air data computers and display units, which calculate and convey air data information; altitude displays that convey aircraft altitude measurements; airspeed displays that convey various airspeed measurements; and altitude alerters. Further, the company offers the engine and fuel displays that convey information related to fuel and oil levels, and engine activity, including oil and hydraulic pressure and temperature; integrated global navigation systems; ThrustSense, a full regime autothrottle; and utility management systems. It serves commercial air transport carriers and corporate/general aviation companies, the Department of Defense and its commercial contractors, aircraft operators, aircraft modification centers, government agencies, and foreign militaries, as well as original equipment manufacturers. Innovative Solutions and Support, Inc. was incorporated in 1988 and is based in Exton, Pennsylvania.

About Venus Acquisition

Venus Acquisition Corporation does not have significant operations. The company focuses on effecting a merger, share exchange, asset acquisition, stock purchase, reorganization, and business combination with one or more businesses. It intends to focus on businesses in the Internet and high technology, financial technology, clean energy, health care, consumer and retail, energy and resources, food processing, manufacturing, and education sectors in Asian market. The company was incorporated in 2018 and is based in New York, New York.