Innovative Solutions & Support (NASDAQ:ISSC) and Wipro (NYSE:WIT) are both aerospace companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, profitability and valuation.

Insider and Institutional Ownership

25.8% of Innovative Solutions & Support shares are held by institutional investors. Comparatively, 2.3% of Wipro shares are held by institutional investors. 27.7% of Innovative Solutions & Support shares are held by company insiders. Comparatively, 1.0% of Wipro shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Innovative Solutions & Support and Wipro’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Innovative Solutions & Support $16.79 million 2.06 $4.56 million N/A N/A
Wipro $8.37 billion 2.82 $1.23 billion $0.26 20.19

Wipro has higher revenue and earnings than Innovative Solutions & Support.

Dividends

Wipro pays an annual dividend of $0.02 per share and has a dividend yield of 0.4%. Innovative Solutions & Support does not pay a dividend. Wipro pays out 7.7% of its earnings in the form of a dividend.

Profitability

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

Net Margins Return on Equity Return on Assets
Innovative Solutions & Support -23.74% -9.48% -8.68%
Wipro 13.84% 15.63% 10.10%

Analyst Ratings

This is a breakdown of current ratings and price targets for Innovative Solutions & Support and Wipro, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Innovative Solutions & Support 0 0 0 0 N/A
Wipro 2 3 2 0 2.00

Risk and Volatility

Innovative Solutions & Support has a beta of -0.15, indicating that its share price is 115% less volatile than the S&P 500. Comparatively, Wipro has a beta of 0.46, indicating that its share price is 54% less volatile than the S&P 500.

Summary

Wipro beats Innovative Solutions & Support on 9 of the 12 factors compared between the two stocks.

Innovative Solutions & Support Company Profile

Innovative Solutions and Support, Inc., a systems integrator, designs, manufactures, sells, and services flight guidance and cockpit display systems. It offers flat panel display systems that could replicate the display of analog or digital displays on one screen and could replace existing displays in legacy aircraft, as well as used for security monitoring on-board aircraft and as tactical workstations on military aircraft; flight management systems that complement the IS&S flat panel display system upgrade for commercial air transport aircraft; and integrated standby units, which incorporate the measurement and display of attitude, altitude, airspeed, and navigation data into a single standby/backup navigation instrument for military, commercial air transport, and corporate/general aviation applications. The company also provides digital air data computers, which calculate various air data parameters, such as altitude, airspeed, vertical speed, angle of attack, and other information derived from the measure of air pressure; integrated air data computers and display units that calculate and convey air data information; altitude displays, which convey aircraft altitude measurements; airspeed displays, which convey various types of airspeed measurements; and altitude alerters that allow pilots to select a desired cruising altitude and provide warnings to pilots when an unacceptable deviation occurs. In addition, it offers engine and fuel displays that convey information related to fuel and oil levels, and engine activity, such as oil and hydraulic pressure and temperature; integrated global navigation systems; and utilities management systems. The company serves commercial air transport carriers and corporate/general aviation companies, Department of Defense and its commercial contractors, aircraft operators, aircraft modification centers, foreign militaries, and original equipment manufacturers. The company was founded in 1988 and is based in Exton, Pennsylvania.

Wipro Company Profile

Wipro Limited operates as an information technology (IT), consulting, and business process services (BPS) company worldwide. The company's IT Services segment offers a range of IT and IT-enabled services, including digital strategy advisory, customer centric design, technology consulting, IT consulting, custom application design, development, re-engineering and maintenance, systems integration, package implementation, infrastructure services, analytics services, BPS, research and development services, and hardware and software design services to various enterprises. It serves customers in various industry verticals, such as banking, financial services, and insurance; health business; consumer business; energy, natural resources, and utilities; manufacturing; technology; and communications. The company's IT Products segment distributes third-party IT products comprising enterprise platforms, networking solutions, software and data storage products, contact center infrastructure, enterprise security, IT optimization technologies, video solutions, and end-user computing solutions. The company has research collaboration agreements with Tel Aviv University for core and applied research in image and text analytics using deep learning and sparse representation models and techniques; and IISc on technologies for autonomous vehicles. Wipro Limited was founded in 1945 and is headquartered in Bengaluru, India.

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