HUNTINGTON INGALLS INDUSTRIE (HII) Stock Fundamental Analysis
USA - NYSE:HII - US4464131063 - Common Stock
313.91 USD
-3.98 (-1.25%)
Taking everything into account, HII scores 4 out of 10 in our fundamental rating. HII was compared to 72 industry peers in the Aerospace & Defense industry. HII has only an average score on both its financial health and profitability. HII is not valued too expensively and it also shows a decent growth rate. HII also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year HII was profitable.
HII had a positive operating cash flow in the past year.
Each year in the past 5 years HII has been profitable.
In the past 5 years HII always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 4.62%, HII is doing good in the industry, outperforming 65.28% of the companies in the same industry.
With a decent Return On Equity value of 11.42%, HII is doing good in the industry, outperforming 76.39% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.72%, HII is in line with its industry, outperforming 47.22% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for HII is below the industry average of 8.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.62% | ||
| ROE | 11.42% | ||
| ROIC | 4.72% |
ROA(3y)5.31%
ROA(5y)5.92%
ROE(3y)15.01%
ROE(5y)20.2%
ROIC(3y)5.76%
ROIC(5y)6.54%
1.3 Margins
With a Profit Margin value of 4.74%, HII perfoms like the industry average, outperforming 56.94% of the companies in the same industry.
HII's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 4.56%, HII is in line with its industry, outperforming 45.83% of the companies in the same industry.
In the last couple of years the Operating Margin of HII has declined.
HII has a worse Gross Margin (12.52%) than 76.39% of its industry peers.
HII's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.56% | ||
| PM (TTM) | 4.74% | ||
| GM | 12.52% |
OM growth 3Y-5.13%
OM growth 5Y-12.78%
PM growth 3Y-5.84%
PM growth 5Y-5.02%
GM growth 3Y-4.35%
GM growth 5Y-6.08%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), HII is destroying value.
Compared to 1 year ago, HII has less shares outstanding
Compared to 5 years ago, HII has less shares outstanding
HII has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.79 indicates that HII is not a great score, but indicates only limited risk for bankruptcy at the moment.
HII has a Altman-Z score (2.79) which is comparable to the rest of the industry.
The Debt to FCF ratio of HII is 4.86, which is a neutral value as it means it would take HII, 4.86 years of fcf income to pay off all of its debts.
HII has a Debt to FCF ratio of 4.86. This is in the better half of the industry: HII outperforms 70.83% of its industry peers.
HII has a Debt/Equity ratio of 0.54. This is a neutral value indicating HII is somewhat dependend on debt financing.
HII's Debt to Equity ratio of 0.54 is in line compared to the rest of the industry. HII outperforms 51.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 4.86 | ||
| Altman-Z | 2.79 |
ROIC/WACC0.5
WACC9.45%
2.3 Liquidity
HII has a Current Ratio of 1.14. This is a normal value and indicates that HII is financially healthy and should not expect problems in meeting its short term obligations.
HII has a Current ratio of 1.14. This is amonst the worse of the industry: HII underperforms 80.56% of its industry peers.
HII has a Quick Ratio of 1.06. This is a normal value and indicates that HII is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.06, HII is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
The earnings per share for HII have decreased strongly by -18.24% in the last year.
The Earnings Per Share has been decreasing by -0.09% on average over the past years.
The Revenue has been growing slightly by 2.60% in the past year.
HII shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.33% yearly.
EPS 1Y (TTM)-18.24%
EPS 3Y1.07%
EPS 5Y-0.09%
EPS Q2Q%43.75%
Revenue 1Y (TTM)2.6%
Revenue growth 3Y6.59%
Revenue growth 5Y5.33%
Sales Q2Q%16.11%
3.2 Future
HII is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.63% yearly.
Based on estimates for the next years, HII will show a small growth in Revenue. The Revenue will grow by 4.50% on average per year.
EPS Next Y8.35%
EPS Next 2Y11.88%
EPS Next 3Y13.23%
EPS Next 5Y11.63%
Revenue Next Year3.67%
Revenue Next 2Y4.28%
Revenue Next 3Y4.59%
Revenue Next 5Y4.5%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.68, the valuation of HII can be described as rather expensive.
Based on the Price/Earnings ratio, HII is valued cheaper than 86.11% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.34. HII is around the same levels.
Based on the Price/Forward Earnings ratio of 17.97, the valuation of HII can be described as rather expensive.
Based on the Price/Forward Earnings ratio, HII is valued cheaply inside the industry as 86.11% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.43, HII is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.68 | ||
| Fwd PE | 17.97 |
4.2 Price Multiples
75.00% of the companies in the same industry are more expensive than HII, based on the Enterprise Value to EBITDA ratio.
90.28% of the companies in the same industry are more expensive than HII, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.19 | ||
| EV/EBITDA | 17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HII does not grow enough to justify the current Price/Earnings ratio.
HII's earnings are expected to grow with 13.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.6
PEG (5Y)N/A
EPS Next 2Y11.88%
EPS Next 3Y13.23%
5. Dividend
5.1 Amount
HII has a Yearly Dividend Yield of 1.81%.
HII's Dividend Yield is rather good when compared to the industry average which is at 1.12. HII pays more dividend than 95.83% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.36, HII is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
5.2 History
On average, the dividend of HII grows each year by 7.82%, which is quite nice.
HII has paid a dividend for at least 10 years, which is a reliable track record.
HII has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.82%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
HII pays out 37.08% of its income as dividend. This is a sustainable payout ratio.
HII's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP37.08%
EPS Next 2Y11.88%
EPS Next 3Y13.23%
NYSE:HII (11/13/2025, 1:58:02 PM)
313.91
-3.98 (-1.25%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners98.27%
Inst Owner Change-0.69%
Ins Owners0.66%
Ins Owner Change-2.47%
Market Cap12.32B
Revenue(TTM)12.01B
Net Income(TTM)569.00M
Analysts70.67
Price Target304.12 (-3.12%)
Short Float %3.98%
Short Ratio3.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
Yearly Dividend5.23
Dividend Growth(5Y)7.82%
DP37.08%
Div Incr Years12
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.59%
Min EPS beat(2)8.55%
Max EPS beat(2)16.62%
EPS beat(4)3
Avg EPS beat(4)10.84%
Min EPS beat(4)-10.56%
Max EPS beat(4)28.76%
EPS beat(8)6
Avg EPS beat(8)12.17%
EPS beat(12)9
Avg EPS beat(12)9.26%
EPS beat(16)11
Avg EPS beat(16)9.39%
Revenue beat(2)2
Avg Revenue beat(2)5.51%
Min Revenue beat(2)4.23%
Max Revenue beat(2)6.79%
Revenue beat(4)2
Avg Revenue beat(4)1.34%
Min Revenue beat(4)-3.02%
Max Revenue beat(4)6.79%
Revenue beat(8)4
Avg Revenue beat(8)2.07%
Revenue beat(12)8
Avg Revenue beat(12)2.32%
Revenue beat(16)10
Avg Revenue beat(16)1.63%
PT rev (1m)1.66%
PT rev (3m)6.15%
EPS NQ rev (1m)-6.56%
EPS NQ rev (3m)-6.62%
EPS NY rev (1m)-0.17%
EPS NY rev (3m)3.05%
Revenue NQ rev (1m)-3.78%
Revenue NQ rev (3m)-5.39%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)0.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.68 | ||
| Fwd PE | 17.97 | ||
| P/S | 1.03 | ||
| P/FCF | 22.19 | ||
| P/OCF | 13.15 | ||
| P/B | 2.47 | ||
| P/tB | 7.63 | ||
| EV/EBITDA | 17 |
EPS(TTM)14.48
EY4.61%
EPS(NY)17.47
Fwd EY5.57%
FCF(TTM)14.14
FCFY4.51%
OCF(TTM)23.88
OCFY7.61%
SpS306.12
BVpS127.01
TBVpS41.13
PEG (NY)2.6
PEG (5Y)N/A
Graham Number203.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.62% | ||
| ROE | 11.42% | ||
| ROCE | 5.7% | ||
| ROIC | 4.72% | ||
| ROICexc | 4.87% | ||
| ROICexgc | 7.65% | ||
| OM | 4.56% | ||
| PM (TTM) | 4.74% | ||
| GM | 12.52% | ||
| FCFM | 4.62% |
ROA(3y)5.31%
ROA(5y)5.92%
ROE(3y)15.01%
ROE(5y)20.2%
ROIC(3y)5.76%
ROIC(5y)6.54%
ROICexc(3y)6.16%
ROICexc(5y)7.06%
ROICexgc(3y)11.25%
ROICexgc(5y)12.66%
ROCE(3y)6.97%
ROCE(5y)7.91%
ROICexgc growth 3Y-7.33%
ROICexgc growth 5Y-15.7%
ROICexc growth 3Y-2%
ROICexc growth 5Y-16.81%
OM growth 3Y-5.13%
OM growth 5Y-12.78%
PM growth 3Y-5.84%
PM growth 5Y-5.02%
GM growth 3Y-4.35%
GM growth 5Y-6.08%
F-Score4
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 4.86 | ||
| Debt/EBITDA | 3.09 | ||
| Cap/Depr | 117.18% | ||
| Cap/Sales | 3.18% | ||
| Interest Coverage | 4.53 | ||
| Cash Conversion | 107.21% | ||
| Profit Quality | 97.54% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.06 | ||
| Altman-Z | 2.79 |
F-Score4
WACC9.45%
ROIC/WACC0.5
Cap/Depr(3y)92.02%
Cap/Depr(5y)106.39%
Cap/Sales(3y)2.8%
Cap/Sales(5y)3.13%
Profit Quality(3y)62.51%
Profit Quality(5y)74.54%
High Growth Momentum
Growth
EPS 1Y (TTM)-18.24%
EPS 3Y1.07%
EPS 5Y-0.09%
EPS Q2Q%43.75%
EPS Next Y8.35%
EPS Next 2Y11.88%
EPS Next 3Y13.23%
EPS Next 5Y11.63%
Revenue 1Y (TTM)2.6%
Revenue growth 3Y6.59%
Revenue growth 5Y5.33%
Sales Q2Q%16.11%
Revenue Next Year3.67%
Revenue Next 2Y4.28%
Revenue Next 3Y4.59%
Revenue Next 5Y4.5%
EBIT growth 1Y-20.58%
EBIT growth 3Y1.12%
EBIT growth 5Y-8.14%
EBIT Next Year70.45%
EBIT Next 3Y28%
EBIT Next 5Y18.65%
FCF growth 1Y-25%
FCF growth 3Y-60.72%
FCF growth 5Y-41.08%
OCF growth 1Y-7.14%
OCF growth 3Y-19.73%
OCF growth 5Y-15.2%
HUNTINGTON INGALLS INDUSTRIE / HII FAQ
What is the fundamental rating for HII stock?
ChartMill assigns a fundamental rating of 4 / 10 to HII.
What is the valuation status for HII stock?
ChartMill assigns a valuation rating of 5 / 10 to HUNTINGTON INGALLS INDUSTRIE (HII). This can be considered as Fairly Valued.
What is the profitability of HII stock?
HUNTINGTON INGALLS INDUSTRIE (HII) has a profitability rating of 4 / 10.
What is the expected EPS growth for HUNTINGTON INGALLS INDUSTRIE (HII) stock?
The Earnings per Share (EPS) of HUNTINGTON INGALLS INDUSTRIE (HII) is expected to grow by 8.35% in the next year.
Can you provide the dividend sustainability for HII stock?
The dividend rating of HUNTINGTON INGALLS INDUSTRIE (HII) is 7 / 10 and the dividend payout ratio is 37.08%.