What impact will the revenue growth have on the company's valuation multiples?

The more than 100 % YoY jump in net revenue signals that ISSC is moving from a low‑scale, high‑growth phase toward a more “scale‑up” trajectory. In practice, such a breakout tends to expand valuation multiples—especially price‑to‑sales (P/S) and price‑to‑earnings (P/E)—because investors price in the momentum of a nascent market leader rather than just current earnings. With gross profit climbing to $8.6 million (gross margin still healthy), the company’s forward‑looking earnings guidance is likely to be lifted, which should compress the forward P/E from a deep‑value level (often <5× for early‑stage aerospace suppliers) toward the 10‑15× range typical for niche defense‑aviation players. Likewise, the P/S will likely rise from the current sub‑2× level to somewhere between 3×‑4×, reflecting the premium placed on rapid top‑line expansion in a market with limited competitive substitutes.

From a technical standpoint, the stock has already broken out of its prior consolidation range, trading above its 50‑day moving average and holding a bullish position relative to the 200‑day MA. That price momentum, combined with the earnings surprise, tends to reinforce multiple expansion until a more modest growth path is confirmed. Traders should therefore consider positioning for short‑to‑medium‑term upside on the expectation of higher multiples—e.g., buying on dips near support around the 20‑day MA or using a tight‑stop call credit spread to capitalize on continued price appreciation. Conversely, any earnings miss or slowdown in subsequent quarters could trigger a rapid multiple compression, so a protective stop‑loss at roughly 5‑7 % below the entry point would be prudent.