HUNTINGTON INGALLS INDUSTRIE (HII) Stock Fundamental Analysis
USA - NYSE:HII - US4464131063 - Common Stock
306.09 USD
-0.59 (-0.19%)
Taking everything into account, HII scores 4 out of 10 in our fundamental rating. HII was compared to 71 industry peers in the Aerospace & Defense industry. HII has an average financial health and profitability rating. 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
HII had positive earnings in the past year.
In the past year HII had a positive cash flow from operations.
In the past 5 years HII has always been profitable.
HII had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
HII's Return On Assets of 4.62% is fine compared to the rest of the industry. HII outperforms 64.79% of its industry peers.
With a decent Return On Equity value of 11.42%, HII is doing good in the industry, outperforming 76.06% of the companies in the same industry.
HII's Return On Invested Capital of 4.72% is in line compared to the rest of the industry. HII outperforms 46.48% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HII is below the industry average of 8.48%.
| 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
Looking at the Profit Margin, with a value of 4.74%, HII is in line with its industry, outperforming 54.93% of the companies in the same industry.
HII's Profit Margin has declined in the last couple of years.
HII has a Operating Margin (4.56%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of HII has declined.
With a Gross Margin value of 12.52%, HII is not doing good in the industry: 77.46% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of HII has declined.
| 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
HII has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
HII has less shares outstanding than it did 1 year ago.
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 2.76 indicates that HII is not a great score, but indicates only limited risk for bankruptcy at the moment.
HII has a Altman-Z score of 2.76. This is in the lower half of the industry: HII underperforms 60.56% of its industry peers.
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.
The Debt to FCF ratio of HII (4.86) is better than 71.83% 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 has a Debt to Equity ratio (0.54) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 4.86 | ||
| Altman-Z | 2.76 |
ROIC/WACC0.52
WACC9.13%
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 81.69% 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.
The Quick ratio of HII (1.06) is worse than 67.61% of its industry peers.
| 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.
HII shows a small growth in Revenue. In the last year, the Revenue has grown by 2.60%.
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
The Earnings Per Share is expected to grow by 11.63% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.50% on average over the next years.
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.14, which indicates a rather expensive current valuation of HII.
Based on the Price/Earnings ratio, HII is valued cheaper than 88.73% of the companies in the same industry.
HII is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.13, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 17.52, HII is valued on the expensive side.
Based on the Price/Forward Earnings ratio, HII is valued cheaply inside the industry as 87.32% of the companies are valued more expensively.
HII is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.14 | ||
| Fwd PE | 17.52 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HII is valued a bit cheaper than the industry average as 78.87% of the companies are valued more expensively.
HII's Price/Free Cash Flow ratio is rather cheap when compared to the industry. HII is cheaper than 94.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.64 | ||
| EV/EBITDA | 16.5 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as HII's earnings are expected to grow with 13.23% in the coming years.
PEG (NY)2.53
PEG (5Y)N/A
EPS Next 2Y11.88%
EPS Next 3Y13.23%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.80%, HII has a reasonable but not impressive dividend return.
HII's Dividend Yield is rather good when compared to the industry average which is at 1.10. HII pays more dividend than 95.77% of the companies in the same industry.
HII's Dividend Yield is slightly below the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
The dividend of HII is nicely growing with an annual growth rate of 7.82%!
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
37.08% of the earnings are spent on dividend by HII. This is a low number and 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 (11/6/2025, 1:50:07 PM)
306.09
-0.59 (-0.19%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners98.27%
Inst Owner Change-0.29%
Ins Owners0.66%
Ins Owner Change-2.62%
Market Cap12.01B
Revenue(TTM)12.01B
Net Income(TTM)569.00M
Analysts70.67
Price Target304.12 (-0.64%)
Short Float %3.98%
Short Ratio3.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
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)5.03%
PT rev (3m)15.76%
EPS NQ rev (1m)-0.1%
EPS NQ rev (3m)-5.53%
EPS NY rev (1m)-0.25%
EPS NY rev (3m)2.98%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)-0.73%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.14 | ||
| Fwd PE | 17.52 | ||
| P/S | 1 | ||
| P/FCF | 21.64 | ||
| P/OCF | 12.82 | ||
| P/B | 2.41 | ||
| P/tB | 7.44 | ||
| EV/EBITDA | 16.5 |
EPS(TTM)14.48
EY4.73%
EPS(NY)17.47
Fwd EY5.71%
FCF(TTM)14.14
FCFY4.62%
OCF(TTM)23.88
OCFY7.8%
SpS306.12
BVpS127.01
TBVpS41.13
PEG (NY)2.53
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 | 2.76 |
F-Score4
WACC9.13%
ROIC/WACC0.52
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%.