Innovative Solutions and Support (ISSC) Down 41.5% Since Q3 2025 Release

Core Insights - Innovative Solutions and Support, Inc. (NASDAQ:ISSC) is identified as an undervalued aerospace stock despite a significant decline in share price of over 41.5% following its fiscal third quarter results announcement [1][3]. Financial Performance - The company reported a revenue of $24.1 million, reflecting a year-over-year growth of 105%, exceeding Wall Street's expectations by $4.94 million [2]. - The earnings per share (EPS) was $0.14, which was $0.02 below the consensus estimate [2]. Operational Developments - Management attributed the EPS shortfall to increased costs associated with the F-16 product line, as Honeywell incurred additional expenses to build safety stock during the transition to the new Exton facility [2]. - The construction of the Exton facility has been completed, with interior setup expected to finish by early fall, which will enhance manufacturing capacity and support the integration of the new F-16 product line [3]. Market Outlook - Despite the recent decline in share price, Wall Street analysts maintain a bullish outlook on the stock, with a 12-month price target of $15.55, indicating a potential upside of 35.22% from current levels [3].