NYSE · HII

Huntington Ingalls Industries, Inc.

Industrials · Aerospace & Defense

$281.67▲ 0.29% ($0.82)at close

As of 4:00 PM ET

52-week

$263.62$460.00

Market cap

$11.10B

What the market price implies · Reverse DCF

Historical FCFF grew by -4.31%/yr over the past 10 years.

Selected forecast · Base scenario

-4.31%/yr · Stage 1 default · years 1–5

Annual overrides take precedence over the Stage 1 default.

Market-implied · Other assumptions held fixed

Unavailable · Stage 1 · years 1–5

Stage 1 growth is solved while Stage 2 growth, terminal growth, discount inputs, and annual overrides remain fixed. This is a model-implied requirement, not an analyst forecast.

The projected free cash flow is negative through the forecast, so the model produces no defensible fair value.

Valuation

Recommended · Cash-flow DCF

Price used

$281.67

Estimated value / share

Unavailable

Base scenario

USD · TTM ending 2026-06-30

The projected free cash flow is negative through the forecast, so the model produces no defensible fair value.

FCFF base normalized by replacing latest capex with the company's trailing median capex-to-revenue ratio.

Working capital change smoothed: single-period ΔOWC exceeded ±5% of revenue and was capped to reduce timing noise.

Historical FCFF CAGR and the default growth rates are taken from the raw historical series. The valuation base is normalized for the current-period DCF.

Market beta (0.23) is below the minimum default of 0.5 — short lookback windows can understate systematic risk. Beta floored at 0.5 for default assumptions; adjust manually if needed.

Reported total debt includes capitalised leases (~8% of the total). They are excluded from net debt and from the WACC weights because rent is already charged inside operating income. The Net Debt shown here is therefore lower than the balance-sheet figure elsewhere on this page.

Stage 1 -4.31% · Stage 2 3.5% · Discount rate 6.75%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future free cash flow, discounted to its value today.

Price timestamp: Sep 10, 2026, 8:00 PM UTC
Financial statement period: TTM ending 2026-06-30
Data refreshed: Sep 11, 2026, 1:08 AM UTC · provider

Why this method?

FCFF is positive, but the year-to-year swings are too large for a direct CAGR. Normalize the cash-flow base first, then run DCF.

Is FCFF positive and has it been for 3+ consecutive years? 16 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 884.8%.

Price vs Fundamentals

Why The Stock Is Moving

Mixed / unclearLow confidence

1Y Price: 3.58%Revenue (TTM): 13.97%FCF (TTM): -59.13%P/FCF: 92nd pct

What changed

The stock rose 3.58% over the last year. Revenue grew 13.97% over the trailing twelve months. Operating margin moved from 4.38% to 5.18%. Free cash flow declined 59.13% over the trailing twelve months.

What the market seems to be pricing

The stock has moved higher against modestly improving underlying metrics. The operating data does not yet tell a clear story — the move may reflect sentiment, sector rotation, or macro factors rather than company-specific earnings power.

What would invalidate this read

Operating margin currently stands at 5.18%. A decisive move in revenue — currently up 13.97% — would be the clearest signal to resolve the ambiguity.

Performance

Return analysis

Company profile

Huntington Ingalls Industries, Inc. (HII) stands as a prominent American enterprise specializing in the comprehensive lifecycle management of military vessels, encompassing their design, construction, modernization, and maintenance.

CEOChristopher Douglas Kastner

SectorIndustrials

IndustryAerospace & Defense

Employees45,000

IPO dateMar 22, 2011

https://www.hii.com

Market multiples

Forward P/E—

EV/EBITDA12.99

Enterprise value$15.74B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth10.9%

Gross margin12.56%▲0.1ppvs FY2024

Operating margin5.18%▲0.2ppvs FY2024

ROE12.97%▲0.5ppvs FY2025

Analyst consensus

RatingHold

Target price$333.00▲18.22%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Oct 29, 2026

Q4 FY26 · EPS est $4.44 · Revenue est $3.36B

View

Dividends

$5.52/shareQuarterlyDividend Achiever · 13yrSafe

HII pays a dividend with a 1.96% dividend yield, 13 consecutive years of growth, growing at 3.9% annually, covered 3.7× by free cash flow.

Dividend Yield

1.96%

Annual Div / Share

$5.52

5yr CAGR

+3.9%

Doubles every ~18.1yr

Payout Ratio

32.68%

Safe

Dividend Growth Rate

3yr CAGR

+3.63%

5yr CAGR

+3.9%

10yr CAGR

+10.69%

Dividend Safety

10/10Safe

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$5.52+2.2%

2025$5.40+3.8%

2024$5.20+4.8%

2023$4.96+5.1%

2022$4.72+3.5%

2021$4.56+10.7%

2020$4.12+19.8%

Income Projection

Invest

Growth rate:

Reinvest dividends

Today

$20/yr

$2/mo

In 5 yrs

$24/yr+21%

$2/mo

In 10 yrs

$29/yr+47%

$2/mo

Today	In 5 yrs	In 10 yrs
$20/yr $2/mo	$24/yr+21% $2/mo	$29/yr+47% $2/mo

Yield-on-cost grows from 1.96% → 2.87% over 10yr

Analysis

Dividend Strengths

Dividend Achiever

HII has raised its dividend for 13 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.

Well-covered by free cash flow

The dividend is covered 3.7× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Risks to Watch

No strong risk signal stands out from the latest period pair.

NYSE · HII

Huntington Ingalls Industries, Inc.

Industrials · Aerospace & Defense

$281.67▲ 0.29% ($0.82)at close

As of 4:00 PM ET

52-week

$263.62$460.00

Market cap

$11.10B

What the market price implies · Reverse DCF

Historical FCFF grew by -4.31%/yr over the past 10 years.

Selected forecast · Base scenario

-4.31%/yr · Stage 1 default · years 1–5

Annual overrides take precedence over the Stage 1 default.

Market-implied · Other assumptions held fixed

Unavailable · Stage 1 · years 1–5

Stage 1 growth is solved while Stage 2 growth, terminal growth, discount inputs, and annual overrides remain fixed. This is a model-implied requirement, not an analyst forecast.

The projected free cash flow is negative through the forecast, so the model produces no defensible fair value.

Valuation

Recommended · Cash-flow DCF

Price used

$281.67

Estimated value / share

Unavailable

Base scenario

USD · TTM ending 2026-06-30

The projected free cash flow is negative through the forecast, so the model produces no defensible fair value.

FCFF base normalized by replacing latest capex with the company's trailing median capex-to-revenue ratio.

Working capital change smoothed: single-period ΔOWC exceeded ±5% of revenue and was capped to reduce timing noise.

Historical FCFF CAGR and the default growth rates are taken from the raw historical series. The valuation base is normalized for the current-period DCF.

Market beta (0.23) is below the minimum default of 0.5 — short lookback windows can understate systematic risk. Beta floored at 0.5 for default assumptions; adjust manually if needed.

Stage 1 -4.31% · Stage 2 3.5% · Discount rate 6.75%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future free cash flow, discounted to its value today.

Price timestamp: Sep 10, 2026, 8:00 PM UTC
Financial statement period: TTM ending 2026-06-30
Data refreshed: Sep 11, 2026, 1:08 AM UTC · provider

Why this method?

FCFF is positive, but the year-to-year swings are too large for a direct CAGR. Normalize the cash-flow base first, then run DCF.

Is FCFF positive and has it been for 3+ consecutive years? 16 consecutive positive FCFF years are available.

Is FCFF stable (not swinging >30% year to year)? The largest recent FCFF swing is 884.8%.

Price vs Fundamentals

Why The Stock Is Moving

Mixed / unclearLow confidence

1Y Price: 3.58%Revenue (TTM): 13.97%FCF (TTM): -59.13%P/FCF: 92nd pct

What changed

What the market seems to be pricing

What would invalidate this read

Operating margin currently stands at 5.18%. A decisive move in revenue — currently up 13.97% — would be the clearest signal to resolve the ambiguity.

Performance

Return analysis

Company profile

CEOChristopher Douglas Kastner

SectorIndustrials

IndustryAerospace & Defense

Employees45,000

IPO dateMar 22, 2011

https://www.hii.com

Market multiples

Forward P/E—

EV/EBITDA12.99

Enterprise value$15.74B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth10.9%

Gross margin12.56%▲0.1ppvs FY2024

Operating margin5.18%▲0.2ppvs FY2024

ROE12.97%▲0.5ppvs FY2025

Analyst consensus

RatingHold

Target price$333.00▲18.22%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Oct 29, 2026

Q4 FY26 · EPS est $4.44 · Revenue est $3.36B

View

Dividends

$5.52/shareQuarterlyDividend Achiever · 13yrSafe

HII pays a dividend with a 1.96% dividend yield, 13 consecutive years of growth, growing at 3.9% annually, covered 3.7× by free cash flow.

Dividend Yield

1.96%

Annual Div / Share

$5.52

5yr CAGR

+3.9%

Doubles every ~18.1yr

Payout Ratio

32.68%

Safe

Dividend Growth Rate

3yr CAGR

+3.63%

5yr CAGR

+3.9%

10yr CAGR

+10.69%

Dividend Safety

10/10Safe

Dividend History

Annualized dividend cycles per share

YearAnnual DivYoY

2026$5.52+2.2%

2025$5.40+3.8%

2024$5.20+4.8%

2023$4.96+5.1%

2022$4.72+3.5%

2021$4.56+10.7%

2020$4.12+19.8%

Income Projection

Invest

Growth rate:

Reinvest dividends

Today

$20/yr

$2/mo

In 5 yrs

$24/yr+21%

$2/mo

In 10 yrs

$29/yr+47%

$2/mo

Today	In 5 yrs	In 10 yrs
$20/yr $2/mo	$24/yr+21% $2/mo	$29/yr+47% $2/mo

Yield-on-cost grows from 1.96% → 2.87% over 10yr

Analysis

Dividend Strengths

Dividend Achiever

HII has raised its dividend for 13 consecutive years — qualifying as a Dividend Achiever, demonstrating long-term commitment to shareholder income.

Well-covered by free cash flow

The dividend is covered 3.7× by free cash flow, indicating the company generates sufficient cash to sustain and potentially grow the payout without straining its finances.

Risks to Watch

No strong risk signal stands out from the latest period pair.