Huntington Ingalls Industries, Inc. (HII) - What Are Investment Firms Saying About This Stock?

Key Points

• Analysts maintain a Moderate Buy consensus on Huntington Ingalls Industries, with five buy ratings and five holds. The average 12-month price target is $361.75.
• HII exceeded third-quarter expectations, reporting $5.48 in EPS versus the $4.36 consensus and $3.54 billion in revenue, up 10.8% year over year. Improved shipbuilding execution, expanding margins, strong backlog visibility and unmanned-systems demand supported investor confidence.
• The company raised its quarterly dividend to $1.41, or $5.64 annually, implying a 1.8% yield. However, congressional gridlock and defense-budget constraints could limit longer-term upside, while the CEO recently sold shares under a pre-arranged trading plan.

Huntington Ingalls Industries, Inc. (NYSE:HII - Get Free Report) has been assigned an average rating of "Moderate Buy" from the ten ratings firms that are presently covering the stock, MarketBeat reports. Five investment analysts have rated the stock with a hold rating and five have given a buy rating to the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $361.75.

A number of brokerages recently issued reports on HII. Sanford C. Bernstein dropped their target price on shares of Huntington Ingalls Industries from $327.00 to $304.00 and set a "market perform" rating for the company in a research report on Wednesday, October 14th. Weiss Ratings upgraded shares of Huntington Ingalls Industries from a "hold (c)" rating to a "hold (c+)" rating in a research note on Monday, August 31st. Citigroup lifted their target price on shares of Huntington Ingalls Industries from $349.00 to $379.00 and gave the company a "buy" rating in a research note on Friday, July 31st. TD Cowen reduced their target price on Huntington Ingalls Industries from $360.00 to $340.00 and set a "buy" rating on the stock in a report on Friday, October 9th. Finally, Wells Fargo & Company increased their price target on Huntington Ingalls Industries from $325.00 to $340.00 and gave the stock an "equal weight" rating in a research report on Tuesday, August 4th.

Huntington Ingalls Industries Stock Performance

Shares of NYSE:HII opened at $317.21 on Friday. The business's fifty day moving average price is $277.71 and its two-hundred day moving average price is $336.52. Huntington Ingalls Industries has a fifty-two week low of $255.35 and a fifty-two week high of $460.00. The stock has a market capitalization of $12.50 billion, a price-to-earnings ratio of 18.90, a price-to-earnings-growth ratio of 1.04 and a beta of 0.21. The company has a debt-to-equity ratio of 0.51, a current ratio of 1.23 and a quick ratio of 1.14.

Huntington Ingalls Industries (NYSE:HII - Get Free Report) last issued its quarterly earnings data on Thursday, October 29th. The aerospace company reported $5.48 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.36 by $1.12. Huntington Ingalls Industries had a return on equity of 12.89% and a net margin of 5.01%. The company had revenue of $3.54 billion during the quarter, compared to analysts' expectations of $3.38 billion. During the same period last year, the business earned $3.68 earnings per share. The business's revenue was up 10.8% on a year-over-year basis. As a group, analysts predict that Huntington Ingalls Industries will post 18.51 EPS for the current fiscal year.

Huntington Ingalls Industries Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 11th. Shareholders of record on Friday, November 27th will be given a $1.41 dividend. This represents a $5.64 annualized dividend and a yield of 1.8%. The ex-dividend date is Friday, November 27th. This is a positive change from Huntington Ingalls Industries's previous quarterly dividend of $1.38. Huntington Ingalls Industries's dividend payout ratio is presently 32.90%.

More Huntington Ingalls Industries News

Here are the key news stories impacting Huntington Ingalls Industries this week:

• Positive Sentiment: Q3 earnings and revenue exceeded expectations. HII reported adjusted EPS of $5.48, versus the $4.36–$4.41 consensus range, while revenue rose 10.8% year over year to $3.54 billion, above the $3.38 billion estimate. EPS increased from $3.68 in the prior-year quarter. HII Reports Third Quarter 2026 Results
• Positive Sentiment: Shipbuilding volumes and operational performance improved. Higher production, contract awards and execution helped drive the profit increase. Reported margin expansion to 7.4%, including an approximately 180-basis-point improvement, suggests legacy contract issues are rolling off and profitability is recovering. HII Q3 Earnings Surpass Estimates, Revenues Increase Year over Year
• Positive Sentiment: Backlog visibility and unmanned-systems demand supported investor confidence. Approximately 90% of shipbuilding revenue is reportedly covered by contracts through 2030. Demand for sea drones also gained attention, following progress on the ROMULUS unmanned surface vessel program for the U.S. Navy. Huntington Ingalls Rallies on Shipbuilding and Sea Drone Demand
• Neutral Sentiment: Free cash flow was a notable strength. Third-quarter free cash flow was reportedly roughly twice net income, improving the quality of earnings and potentially supporting investment or shareholder returns. Why Huntington Ingalls Stock Popped
• Negative Sentiment: Political and budget risks limit the longer-term upside. Analysts noted that congressional gridlock and constraints on defense spending could cap growth despite HII’s secure contract base. The stock’s rally may also raise valuation expectations after the strong earnings reaction. Huntington Ingalls Improving Contract Mix but Gridlock Limits Upside

Insider Buying and Selling

In other news, CEO Christopher Kastner sold 13,070 shares of the stock in a transaction on Monday, August 10th. The stock was sold at an average price of $324.92, for a total transaction of $4,246,704.40. Following the sale, the chief executive officer owned 11,224 shares in the company, valued at approximately $3,646,902.08. This represents a 53.80% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.80% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Cassaday & Co Wealth Management LLC bought a new stake in shares of Huntington Ingalls Industries during the first quarter valued at approximately $36,000. Eastern Bank acquired a new stake in shares of Huntington Ingalls Industries in the third quarter valued at approximately $26,000. Bogart Wealth LLC raised its position in Huntington Ingalls Industries by 1,775.0% in the 1st quarter. Bogart Wealth LLC now owns 150 shares of the aerospace company's stock worth $57,000 after purchasing an additional 142 shares during the last quarter. Latitude Advisors LLC bought a new position in Huntington Ingalls Industries in the 3rd quarter worth approximately $42,000. Finally, Reyes Financial Architecture Inc. bought a new position in Huntington Ingalls Industries in the 3rd quarter worth approximately $42,000. Institutional investors and hedge funds own 90.46% of the company's stock.

Huntington Ingalls Industries Company Profile

Huntington Ingalls Industries, Inc NYSE: HII is an American defense company that designs, builds, maintains and modernizes ships for the U.S. Navy and other government customers. Its shipbuilding activities include nuclear-powered aircraft carriers, submarines, amphibious assault ships, destroyers and other surface vessels, along with fleet sustainment and modernization services.

HII operates through its Newport News Shipbuilding and Ingalls Shipbuilding divisions. Newport News Shipbuilding is involved in the construction and maintenance of nuclear-powered aircraft carriers and submarines, while Ingalls Shipbuilding builds surface combatants and amphibious ships.

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