olivLaw · US equity research
HUNTINGTON INGALLS INDUSTRIES, INC. HII
Ship & Boat Building & Repairing · SIC 3730 · Vertical: Ship & Boat Building & Repairing (SIC 3730)
HII is America's largest shipbuilder, designing and building nuclear-powered aircraft carriers, submarines and amphibious assault ships, and since 2026 also mission technology and defense systems. Second quarter 2026 revenues of about 3.4 billion USD and a backlog of 57.3 billion USD point to sustained demand for naval programs, set against defense budgets under political pressure.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, HUNTINGTON INGALLS INDUSTRIES, INC. (HII) stock was 303.99 USD (−4.08% on the day), with market capitalisation 12.0 bn USD, P/E 16.4 on diluted EPS of 18.59 USD over the last 12 months, dividend yield 1.82%, beta 0.71, 52-week range 257.05–453.73 USD. Latest reported quarter (Q3 2026): revenue of 3.5 bn USD (+10.8% YoY), net income of 217.0 m USD (+49.7% YoY), diluted EPS 5.48 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 62.1
- strong (55–70)
- Bollinger (20, 2)
- 242.68 – 320.67
- in the upper half of the band · %B 0.79 · band width 27.7%
- SMA 50 / 200
- 279.05 / 334.02
- mixed trend
- MACD (12, 26, 9)
- 9.93 / 5.23
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +14.1% | −2.0% | +16.1 pp | — |
| 3 months | −4.3% | −2.2% | −2.1 pp | — |
| 6 months | −4.9% | +4.3% | −9.1 pp | — |
| Year to date | −10.6% | +10.6% | −21.2 pp | — |
| 1 year | −3.8% | +10.5% | −14.2 pp | −35.1% |
| 3 years | +29.9% | +73.7% | −43.7 pp | −44.1% |
| 5 years | +56.7% | +61.7% | −5.0 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 3.0 bn | 2.7 bn | 3.1 bn | 3.2 bn | 3.5 bn | 3.1 bn | 3.4 bn | 3.5 bn |
| Operating income | 110.0 m | 161.0 m | 163.0 m | 161.0 m | 172.0 m | 155.0 m | 210.0 m | 246.0 m |
| Depreciation & amortisation | 84.0 m | 79.0 m | 83.0 m | 80.0 m | 87.0 m | 76.0 m | 79.0 m | 75.0 m |
| Interest expense | 27.0 m | 28.0 m | 28.0 m | 23.0 m | 26.0 m | 22.0 m | 27.0 m | 26.0 m |
| Pre-tax income | 131.0 m | 187.0 m | 188.0 m | 204.0 m | 198.0 m | 188.0 m | 254.0 m | 275.0 m |
| Income tax | 8.0 m | 38.0 m | 36.0 m | 59.0 m | 39.0 m | 39.0 m | 46.0 m | 58.0 m |
| Net income | 123.0 m | 149.0 m | 152.0 m | 145.0 m | 159.0 m | 149.0 m | 208.0 m | 217.0 m |
| Diluted EPS | 3.15 ≈ | 3.79 | 3.86 | 3.68 | 4.05 ≈ | 3.79 | 5.27 | 5.48 |
| Operating cash flow | 391.0 m | -395.0 m | 823.0 m ≈ | 118.0 m ≈ | 650.0 m | -390.0 m | -31.0 m ≈ | 520.0 m ≈ |
| Capex | 114.0 m | 67.0 m | 93.0 m | 102.0 m | 134.0 m | 74.0 m | 119.0 m ≈ | 95.0 m ≈ |
| Dividends paid | 52.0 m | 53.0 m | 53.0 m ≈ | 53.0 m ≈ | 54.0 m | 54.0 m | 55.0 m ≈ | 54.0 m ≈ |
| Share repurchases | 0 | — | — | — | — | — | — | — |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 68 percentile of its own 40-quarter history (min 9.6, median 15.1, max 24.7; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 8.2 bn | 8.9 bn | 9.4 bn | 9.5 bn | 10.7 bn | 11.5 bn | 11.5 bn | 12.5 bn |
| Revenue YoY | +9.9% | +8.8% | +5.2% | +1.7% | +12.1% | +7.3% | +0.7% | +8.2% |
| Net income | 836.0 m | 549.0 m | 696.0 m | 544.0 m | 579.0 m | 681.0 m | 550.0 m | 605.0 m |
| Net income YoY | +74.5% | −34.3% | +26.8% | −21.8% | +6.4% | +17.6% | −19.2% | +10.0% |
| Diluted EPS | 19.09 | 13.26 | 17.14 | 13.50 | 14.44 | 17.07 | 13.96 | 15.39 |
| Diluted EPS YoY | +82.5% | −30.5% | +29.3% | −21.2% | +7.0% | +18.2% | −18.2% | +10.2% |
| net % | 10.2% | 6.2% | 7.4% | 5.7% | 5.4% | 5.9% | 4.8% | 4.8% |
| Free cash flow | 451.0 m | 366.0 m | 740.0 m | 429.0 m | 482.0 m | 678.0 m | 26.0 m | 794.0 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 774.0 m USD
- Financial debt
- 2.7 bn USD
- Net debt
- 1.9 bn USD
- Equity
- 5.1 bn USD
- Total assets
- 12.7 bn USD
- Debt / equity
- 0.53x
- Current ratio
- 1.13x
- ROE
- 12.4%
- ROA
- 4.9%
- FCF margin
- 6.4%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 9.4 bn | 9.5 bn | 10.7 bn | 11.5 bn | 11.5 bn | 12.5 bn | SEC (XBRL)· 05 Feb 2026verified |
| Research & development | 31.0 m | 34.0 m | 40.0 m | 35.0 m | 27.0 m | 26.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Operating income | 799.0 m | 513.0 m | 565.0 m | 781.0 m | 535.0 m | 657.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Depreciation & amortisation | 247.0 m | 293.0 m | 358.0 m | 347.0 m | 326.0 m | 329.0 m | SEC (XBRL)· 05 Feb 2026verified |
| EBITDA | 1.0 bn ≈ | 806.0 m ≈ | 923.0 m ≈ | 1.1 bn ≈ | 861.0 m ≈ | 986.0 m ≈ | SEC (XBRL)· 05 Feb 2026derived |
| Interest expense | 114.0 m | 89.0 m | 102.0 m | 95.0 m | 95.0 m | 105.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Pre-tax income | 810.0 m | 622.0 m | 719.0 m | 853.0 m | 643.0 m | 777.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Income tax | 114.0 m | 78.0 m | 140.0 m | 172.0 m | 93.0 m | 172.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Net income | 696.0 m | 544.0 m | 579.0 m | 681.0 m | 550.0 m | 605.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Diluted EPS | 17.14 | 13.50 | 14.44 | 17.07 | 13.96 | 15.39 | SEC (XBRL)· 05 Feb 2026verified |
| Weighted average diluted shares | 40.6 m | 40.3 m | 40.1 m | 39.9 m | 39.4 m | 39.3 m | SEC (XBRL)· 05 Feb 2026verified |
| Dividend per share | 4.23 | 4.60 | 4.78 | 5.02 | 5.25 | 5.43 | SEC (XBRL)· 05 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 512.0 m | 627.0 m | 467.0 m | 430.0 m | 831.0 m | 774.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Receivables | 397.0 m | 433.0 m | 636.0 m | 461.0 m | 212.0 m | 339.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Current assets | 2.4 bn | 2.8 bn | 2.7 bn | 2.9 bn | 3.2 bn | 3.5 bn | SEC (XBRL)· 05 Feb 2026verified |
| Property, plant & equipment, net | 3.0 bn | 3.1 bn | 3.2 bn | 3.3 bn | 3.5 bn | 3.7 bn | SEC (XBRL)· 05 Feb 2026verified |
| Goodwill | 1.6 bn | 2.6 bn | 2.6 bn | 2.6 bn | 2.6 bn | 2.7 bn | SEC (XBRL)· 05 Feb 2026verified |
| Intangibles (excl. goodwill) | 512.0 m | 1.2 bn | 1.0 bn | 891.0 m | 782.0 m | 694.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Total assets | 8.2 bn | 10.6 bn | 10.9 bn | 11.2 bn | 12.1 bn | 12.7 bn | SEC (XBRL)· 05 Feb 2026verified |
| Accounts payable | 460.0 m | 603.0 m | 642.0 m | 554.0 m | 598.0 m | 556.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Short-term debt | — | — | 399.0 m | 231.0 m | 503.0 m | — | SEC (XBRL)· 30 Oct 2025verified |
| Long-term debt | 1.7 bn | 3.3 bn | 2.5 bn | 2.2 bn | 2.7 bn | 2.7 bn | SEC (XBRL)· 05 May 2026verified |
| Current liabilities | 2.2 bn | 2.4 bn | 2.9 bn | 3.0 bn | 3.0 bn | 3.0 bn | SEC (XBRL)· 05 Feb 2026verified |
| Total liabilities | 6.3 bn | 7.8 bn | 7.4 bn | 7.1 bn | 7.5 bn | 7.7 bn | SEC (XBRL)· 05 Feb 2026verified |
| Equity | 1.9 bn | 2.8 bn | 3.5 bn | 4.1 bn | 4.7 bn | 5.1 bn | SEC (XBRL)· 05 Feb 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 1.1 bn | 760.0 m | 766.0 m | 970.0 m | 393.0 m | 1.2 bn | SEC (XBRL)· 05 Feb 2026verified |
| Capex | 353.0 m | 331.0 m | 284.0 m | 292.0 m | 367.0 m | 402.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Free cash flow | 740.0 m ≈ | 429.0 m ≈ | 482.0 m ≈ | 678.0 m ≈ | 26.0 m ≈ | 794.0 m ≈ | SEC (XBRL)· 05 Feb 2026derived |
| Investing cash flow | -759.0 m | -2.0 bn | -268.0 m | -236.0 m | -348.0 m | -521.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Financing cash flow | 103.0 m | 1.3 bn | -658.0 m | -771.0 m | 356.0 m | -732.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Dividends paid | 172.0 m | 186.0 m | 192.0 m | 200.0 m | 206.0 m | 213.0 m | SEC (XBRL)· 05 Feb 2026verified |
| Share repurchases | 84.0 m | 101.0 m | 52.0 m | 75.0 m | 162.0 m | — | SEC (XBRL)· 06 Feb 2025verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 46 / 100
A scoring methodology on indicators and valuation, not investment advice.
(margin_of_safety <= -0.25 & agreement in ['high', 'medium'])
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 12.0 bn USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet64
- Valuation38
- Quality49
- Growth29
- Returns46
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 71.36 – 190.24 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)95.16 – 190.24 (Mid 130.83)WACC 8.5% · starting FCFF 407.9 m USD · terminal value share of EV 76%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): 36.9%
- Peers: EV/EBITDAunavailable · not enough peers
- Peers: P/Eunavailable · not enough peers
- Dividend discount (DDM)71.36 – 95.96 (Mid 81.85)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Unattractive profile · Score 46/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 8.3% | 48 (on a fixed band) | 10% |
| Net margin · Quality | 5.4% | 80 (vs peers) | 6% |
| FCF conversion · Quality | 44.6% | 21 (on a fixed band) | 6% |
| Revenue CAGR 3Y · Growth | 5.4% | 45 (on a fixed band) | 8% |
| EPS CAGR 3Y · Growth | 2.1% | 14 (on a fixed band) | 8% |
| Net debt / EBITDA · Balance sheet | 2.1x | 54 (on a fixed band) | 10% |
| Interest coverage · Balance sheet | 7.8x | 96 (on a fixed band) | 6% |
| Current ratio · Balance sheet | 1.3x | 39 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 16.4x | 62 (on a fixed band) | 10% |
| EV/EBITDA · Valuation | 13.0x | 18 (on a fixed band) | 10% |
| FCF yield · Valuation | 2.7% | 34 (on a fixed band) | 8% |
| Shareholder yield (distributions) · Returns | 1.8% | 26 (on a fixed band) | 6% |
| Payout ratio (FCF) · Returns | 66.4% | 77 (on a fixed band) | 4% |
Score groups
- Balance sheet64/100 · 3/3 factors with a value
- Growth29/100 · 2/2 factors with a value
- Quality49/100 · 3/3 factors with a value
- Returns46/100 · 2/2 factors with a value
- Valuation38/100 · 3/3 factors with a value
Memo
HUNTINGTON INGALLS INDUSTRIES, INC. (HII). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 12.5 bn USD in 2025; YoY growth 8.2%; net margin 5.4%; ROE 14.0%; net debt/EBITDA 2.1x.
The estimated value range is 83.26–143.10 USD per share (median of 2 methods, agreement: high); assumptions are illustrative. Against the central value of 106.34 USD, the price of 303.99 USD leaves a potential of -65.0% (value / price − 1) and a margin of safety of -185.9% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 46/100, methodological classification: unattractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net margin: 5.4%
- Interest coverage: 7.8x
- Payout ratio (FCF): 66.4%
What contradicts it
- FCF conversion: 44.6%
- EPS CAGR 3Y: 2.1%
- EV/EBITDA: 13.0x
- Shareholder yield (distributions): 1.8%
- The price is above the estimated value range
Versus the vertical median
Ship & Boat Building & Repairing (SIC 3730) · same industry (4-digit SIC) · compared with 6 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| GDGeneral Dynamics Corporation | 101.2 bn | 21.7 | 18.0% | 8.2% | +10.1% | +10% / +52% |
| HIIHuntington Ingalls Industries, Inc. | 12.0 bn | 16.4 | 14.0% | 5.4% | +8.2% | −4% / +30% |
| MCFTMasterCraft Boat Holdings, Inc. | 541.6 m | — | -0.6% | -0.5% | +22.8% | +20% / +11% |
| NXBNextBoat Inc. | 37.2 m | — | -129.3% | -5.4% | +21.1% | −57% / unavailable |
| VEEETwin Vee Powercats Co. | 5.2 m | — | -62.6% | -76.3% | +3.0% | −91% / −98% |
| MBUUMalibu Boats, Inc. | 297 | 275.0 | 0.3% | 0.2% | +13.3% | −13% / −44% |
| VMARVision Marine Technologies Inc. | — | — | — | — | +45.4% | −100% / −100% |
1- and 3-year price returns: for HII from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 181.38 Total return -39% · Per year -39% | 320.53 Total return 7% · Per year 7% | 482.63 Total return 61% · Per year 61% |
| 3 years | 179.06 Total return -37% · Per year -14% | 355.77 Total return 23% · Per year 7% | 587.74 Total return 101% · Per year 26% |
| 5 years | 176.78 Total return -35% · Per year -8% | 394.88 Total return 41% · Per year 7% | 715.74 Total return 150% · Per year 20% |
- Exit P/E± 88.94
- Net margin± 62.26
- Annual revenue growth± 50.69
- Annual dilution± 5.23
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 30 Jul 2026; since then the company filed 8-K (29 Oct 2026 · results), 10-Q (29 Oct 2026).
In brief
HII is America's largest shipbuilder, designing and building nuclear-powered aircraft carriers, submarines and amphibious assault ships, and since 2026 also mission technology and defense systems. Second quarter 2026 revenues of about 3.4 billion USD 3 and a backlog of 57.3 billion USD 3 point to sustained demand for naval programs, set against defense budgets under political pressure.
SWOT
Strengths
- The company is the sole builder of the Navy's amphibious assault ships and one of few suppliers of nuclear carriers and submarines 1.
- The contract portfolio is solid, with substantial coverage of future revenues 3.
- The company has long experience in shipbuilding and a broad base of skilled personnel 12.
Weaknesses
- Near-total dependence on the U.S. government makes the company vulnerable to budget and priority changes 1.
- Operating margins are relatively thin, and cost estimates on new programs can lead to negative adjustments 13.
- Free cash flow was negative in the second quarter, showing sensitivity to payment timing 3.
Opportunities
- Demand for new ships and fleet modernization could support higher revenues over the long term 12.
- Expansion into unmanned systems and artificial intelligence could open new markets for Mission Technologies 3.
- If the Navy extends carrier lives, refueling and inactivation work could become significant contracts 1.
Risks
- Dependence on a single customerhigh
Nearly all revenue comes from the U.S. government, and shifts in its priorities can directly affect the company's contracts 1.
- Cost estimates on fixed-price contractshigh
If new program costs rise without compensation, profitability could decline and recovery may be difficult 1.
- Budget interruptionsmedium
Failure to pass a budget on time can delay programs and payments, affecting cash flow 1.
- Workforce and supply chainmedium
Shortages of skilled workers and material delays can slow deliveries 1.
- Competition for new contractslow
If the company loses bids for new programs, future revenues could be lower 1.
Investment thesis
What would need to be true (bull case)
- If demand for warships and submarines stays high, the company's backlog could support revenue growth over several years 13.
- Its unique position as builder of nuclear carriers and submarines could strengthen its competitiveness in future bids 1.
- Higher volumes at Ingalls and Newport News could improve margins if execution stays strong 3.
What would break the thesis
What to watch
- Evolution of the fiscal 2027 defense budget and its approval by Congress2026
- Whether shipbuilding revenue and margin land within the raised guidance2026
- Progress of free cash flow against the stated rangeQ3 2026
- Outcome of bids for the FF(X) frigate and other new programsnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 30 Jul 2026; since then the company filed 8-K (29 Oct 2026 · results), 10-Q (29 Oct 2026).
The business
HII operates through three segments: Ingalls Shipbuilding, which builds non-nuclear ships for the U.S. Navy and Coast Guard, Newport News Shipbuilding, which handles nuclear-powered carriers and submarines, and Mission Technologies, which provides C5ISR systems, artificial intelligence, training and unmanned vehicles 1. The U.S. Navy accounted for about 81% of revenues in fiscal 2025 1. The company is headquartered in Newport News, Virginia, with about 45,000 employees 2.
The business model rests mostly on long-term contracts, with firm fixed-price, incentive and cost-type structures, and revenue recognized over time based on costs incurred 1. Results therefore depend on cost estimates and execution, especially on new programs where the final design is not fully known 1.
In the first half of 2026 the company reported higher revenues and raised its shipbuilding revenue guidance, while keeping its free cash flow outlook 3. How these results develop depends on delivery pace and the ability to increase throughput at the shipyards.
Segments
Ingalls Shipbuilding
Ingalls builds amphibious assault ships, Arleigh Burke destroyers and national security cutters for the Coast Guard 1. Second quarter 2026 revenues rose 16.7% on higher volumes of amphibious assault ships 3, and the company won the lead yard support contract for the FF(X) frigate 3.
Mission Technologies
The segment offers command, control, cyber, training and unmanned systems, including unmanned underwater vehicles and surface vessels 1. Revenues edged down in the second quarter of 2026 while segment margin improved, and the company expects a segment operating margin of about 5% in 2026 23.
Market context
The reference market is U.S. defense spending, especially for shipbuilding and fleet maintenance 1. The proposed fiscal 2027 budget includes funding for new ships, and Congress is currently reviewing it 2. Funding depends on the annual appropriations process, and delays can push back programs 1.
The industry is dominated by one customer, the U.S. Navy, and served by a narrow supplier base 1. Competition is limited to a few U.S. shipyards, so shifts in Pentagon priorities have a significant effect on demand 1.
Trends
- Rising demand for shipbuildingtailwind
Defense priorities and additional shipbuilding funds support long-term demand for carriers, submarines and amphibious ships 12.
- Acquisition delays and supply chain strainheadwind
Labor shortages and material delays can lengthen lead times and compress margins if costs rise faster than revenues 1.
- Budget uncertainty and government shutdownsheadwind
Federal budget gridlock and stopgap resolutions can delay program funding and affect the company's cash flow 1.
- Modernization through unmanned systems and AImixed
Demand for unmanned underwater and surface vehicles, along with artificial intelligence, opens new opportunities for Mission Technologies 13.
Competitive position
In surface combatant and submarine construction, HII competes with another large defense contractor and with smaller shipyards that have recently entered the market 1. For nuclear carrier refueling, the company is currently the only capable provider, though a government shipyard could become a competitor if it made substantial investments 1.
In naval engineering and design, HII faces engineering services firms that can win Navy program bids 1. Competition could reduce market share if the company loses future contract awards 1.
- General Dynamics (Electric Boat)GD
Partner on the Virginia and Columbia submarine programs, and also a major rival for submarine and surface ship contracts 1.
- Another large defense shipbuilder
Competes with the company for destroyer, submarine and large amphibious ship contracts, though not named in the source 1.
- Smaller shipyards
Have recently entered the surface combatant market and could compete for new programs 1.
- Naval engineering services firms
Provide design and planning support and can win Navy program bids 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
- Inside Huntington Ingalls Industries (HII)’s Latest Pentagon Win: Long Lead Materials, Long Runway to 2039Yahoo Finance — News · 18 Sept 2026 · EN
- Are Wall Street Analysts Bullish on Huntington Ingalls Stock?Yahoo Finance — News · 28 Aug 2026 · EN
- HD Hyundai, Huntington Ingalls deepen Korea-US shipbuilding cooperationKorea Times — Business · 05 Aug 2026 · RO
The latest news item in our archive is from 18 Sept 2026; the newest SEC filing is from 29 Oct 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Quarterly report29 Oct 2026
- Current report29 Oct 2026Results of operations · Financial statements and exhibits
- Current report20 Oct 2026Departure or appointment of officers · Financial statements and exhibits
- Quarterly report30 Jul 2026
- Current report30 Jul 2026Results of operations · Financial statements and exhibits
- Quarterly report05 May 2026
- Current report05 May 2026Results of operations · Financial statements and exhibits
- Current report01 May 2026Shareholder vote · Financial statements and exhibits
- Proxy statement20 Mar 2026
- Annual report05 Feb 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / HUNTINGTON INGALLS INDUSTRIES, INC. · 05 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / HUNTINGTON INGALLS INDUSTRIES, INC. · 30 Jul 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / HUNTINGTON INGALLS INDUSTRIES, INC. · 30 Jul 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.