Insider Transaction: Christopher Harborne Sells $1.17M Worth Of Innovative Solns Shares

Making a noteworthy insider sell on June 26, Christopher Harborne, 10% Owner at Innovative Solns ISSC, is reported in the latest SEC filing.

What Happened: Harborne's recent move involves selling 90,655 shares of Innovative Solns. This information is documented in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The total value is $1,171,416.

At Friday morning, Innovative Solns shares are up by 0.61%, trading at $13.3.

Get to Know Innovative Solns Better

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.

Innovative Solns: Financial Performance Dissected

Revenue Growth: Innovative Solns displayed positive results in 3 months. As of 31 March, 2025, the company achieved a solid revenue growth rate of approximately 104.26%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Industrials sector.

Interpreting Earnings Metrics:

• Gross Margin: The company excels with a remarkable gross margin of 51.36%, indicating superior cost efficiency and profitability compared to its industry peers.

• Earnings per Share (EPS): Innovative Solns's EPS is below the industry average. The company faced challenges with a current EPS of 0.3. This suggests a potential decline in earnings.

Debt Management: Innovative Solns's debt-to-equity ratio surpasses industry norms, standing at 0.51. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

Market Valuation:

• Price to Earnings (P/E) Ratio: The P/E ratio of 21.67 is lower than the industry average, implying a discounted valuation for Innovative Solns's stock.

• Price to Sales (P/S) Ratio: With a higher-than-average P/S ratio of 3.57, Innovative Solns's stock is perceived as being overvalued in the market, particularly in relation to sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an EV/EBITDA ratio lower than industry averages at 14.4, Innovative Solns could be considered undervalued.

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

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Why Pay Attention to Insider Transactions

Insider transactions are not the sole determinant of investment choices, but they are a factor worth considering.

In the context of legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as outlined by Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are obligated to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.

Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.

Despite insider sells not always signaling a bearish sentiment, they can be driven by various factors.

Navigating the World of Insider Transaction Codes

Examining transactions, investors often concentrate on those unfolding in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Innovative Solns's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.