Huntington Ingalls Industries, Inc. (NYSE:HII) Plans Dividend Increase - $1.38 Per Share

Key Points

• Huntington Ingalls Industries has announced a quarterly dividend increase to $1.38 per share, up from the previous $1.35, effective December 12th.
• The company maintains a dividend payout ratio of 32.3%, indicating strong earnings coverage for the dividend amidst expected future earnings growth.
• Analysts have mixed ratings on the stock, with an average target price of $262.67, ranging from buy to underperform ratings from various brokerages.

Huntington Ingalls Industries, Inc. (NYSE:HII - Get Free Report) declared a quarterly dividend on Tuesday, October 21st. Investors of record on Friday, November 28th will be given a dividend of 1.38 per share by the aerospace company on Friday, December 12th. This represents a c) dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date is Friday, November 28th. This is a 2.2% increase from Huntington Ingalls Industries's previous quarterly dividend of $1.35.

Huntington Ingalls Industries has a dividend payout ratio of 32.3% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Huntington Ingalls Industries to earn $16.48 per share next year, which means the company should continue to be able to cover its $5.40 annual dividend with an expected future payout ratio of 32.8%.

Huntington Ingalls Industries Stock Performance

HII opened at $287.85 on Wednesday. The company has a current ratio of 1.08, a quick ratio of 1.00 and a debt-to-equity ratio of 0.55. Huntington Ingalls Industries has a 12-month low of $158.88 and a 12-month high of $296.03. The company has a market cap of $11.30 billion, a price-to-earnings ratio of 21.55, a PEG ratio of 1.64 and a beta of 0.38. The company's 50 day moving average is $276.28 and its 200 day moving average is $249.88.

Huntington Ingalls Industries (NYSE:HII - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The aerospace company reported $3.86 earnings per share for the quarter, beating the consensus estimate of $3.23 by $0.63. Huntington Ingalls Industries had a net margin of 4.54% and a return on equity of 11.34%. The business had revenue of $3.08 billion for the quarter, compared to the consensus estimate of $2.94 billion. During the same quarter in the previous year, the firm earned $4.38 earnings per share. The company's revenue for the quarter was up 3.5% on a year-over-year basis. Huntington Ingalls Industries has set its FY 2025 guidance at EPS. On average, equities research analysts predict that Huntington Ingalls Industries will post 13.99 EPS for the current year.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on HII. Bank of America lifted their price target on shares of Huntington Ingalls Industries from $180.00 to $260.00 and gave the company an "underperform" rating in a report on Wednesday, August 13th. Wall Street Zen downgraded shares of Huntington Ingalls Industries from a "strong-buy" rating to a "buy" rating in a report on Sunday, September 7th. TD Cowen raised shares of Huntington Ingalls Industries from a "hold" rating to a "buy" rating and lifted their price target for the company from $250.00 to $300.00 in a report on Thursday, July 10th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Huntington Ingalls Industries in a report on Wednesday, October 8th. Finally, Barclays lifted their price objective on shares of Huntington Ingalls Industries from $235.00 to $295.00 and gave the company an "equal weight" rating in a research report on Monday, August 4th. Three investment analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $262.67.

About Huntington Ingalls Industries

Huntington Ingalls Industries, Inc designs, builds, overhauls, and repairs military ships in the United States. It operates through three segments: Ingalls, Newport News, and Mission Technologies. The company is involved in the design and construction of non-nuclear ships comprising amphibious assault ships; expeditionary warfare ships; surface combatants; and national security cutters for the U.S.

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