Huntington Ingalls Industries (NYSE:HII) Announces Quarterly Earnings Results

Posted by Brenda Bartman on Oct 29th, 2026

Huntington Ingalls Industries (NYSE:HII – Get Free Report) issued its quarterly earnings results on Thursday. The aerospace company reported $5.48 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.36 by $1.12, FiscalAI reports. The company had revenue of $3.54 billion for the quarter, compared to analyst estimates of $3.38 billion. Huntington Ingalls Industries had a net margin of 5.01% and a return on equity of 12.89%. The business’s revenue for the quarter was up 10.8% compared to the same quarter last year. During the same period in the prior year, the firm earned $3.68 earnings per share.

Here are the key takeaways from Huntington Ingalls Industries’ conference call:

Record results and raised shipbuilding revenue outlook: Third-quarter sales reached $3.5 billion and diluted EPS was $5.48, while shipbuilding revenue guidance increased to $10.5 billion–$10.7 billion for 2026. The company maintained its 6%–6.5% shipbuilding operating-margin outlook.
Exceptional contract awards expanded backlog: HII booked $32.4 billion of awards in the quarter, lifting backlog to $86.2 billion; the figures exclude the $5.1 billion CVN-75 refueling and complex overhaul contract, which will be recognized in the fourth quarter.
Mission Technologies momentum improved: The segment delivered $792 million in revenue, a 2.4x book-to-bill ratio, and 9% operating margins. HII raised its full-year Mission Technologies operating-margin expectation to approximately 6% and EBITDA-margin expectation to approximately 9%, supported by awards including the $2.2 billion STINGRAI program and new unmanned-systems contracts.
Shipbuilding execution remains mixed: Throughput was up approximately 9% year to date, but below the prior 15% target because Ingalls faced a slower labor recovery and is managing three ship deliveries and testing activities. Management said hiring and apprentice enrollment are improving, with more than 6,000 shipbuilders hired year to date.
Long-term cash generation and margin expansion remain priorities: HII expects incremental shipbuilding-margin improvement in 2027 and reiterated cumulative 2026–2027 free cash flow of $1.2 billion–$1.3 billion. Approximately 90% of expected shipbuilding revenue through 2030 is already under contract, providing substantial forward visibility.

Huntington Ingalls Industries Stock Performance

HII stock traded up $37.95 during trading on Thursday, reaching $317.21. 1,705,525 shares of the company’s stock were exchanged, compared to its average volume of 532,636. Huntington Ingalls Industries has a 1-year low of $255.35 and a 1-year high of $460.00. The firm has a market cap of $12.50 billion, a PE ratio of 18.90, a P/E/G ratio of 1.02 and a beta of 0.21. The company’s fifty day moving average price is $277.60 and its 200-day moving average price is $336.87. The company has a quick ratio of 1.14, a current ratio of 1.23 and a debt-to-equity ratio of 0.51.

Huntington Ingalls Industries Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, December 11th. Shareholders of record on Friday, November 27th will be paid a dividend of $1.41 per share. This represents a $5.64 annualized dividend and a yield of 1.8%. The ex-dividend date of this dividend is Friday, November 27th. This is an increase from Huntington Ingalls Industries’s previous quarterly dividend of $1.38. Huntington Ingalls Industries’s dividend payout ratio (DPR) is presently 33.61%.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on the stock. Wells Fargo & Company lifted their price objective on shares of Huntington Ingalls Industries from $325.00 to $340.00 and gave the company an “equal weight” rating in a report on Tuesday, August 4th. Wolfe Research upgraded shares of Huntington Ingalls Industries from a “peer perform” rating to an “outperform” rating and set a $364.00 price target for the company in a research note on Friday, July 31st. Citigroup upped their price objective on Huntington Ingalls Industries from $349.00 to $379.00 and gave the stock a “buy” rating in a research report on Friday, July 31st. Sanford C. Bernstein reduced their price objective on Huntington Ingalls Industries from $327.00 to $304.00 and set a “market perform” rating on the stock in a research note on Wednesday, October 14th. Finally, TD Cowen decreased their target price on Huntington Ingalls Industries from $360.00 to $340.00 and set a “buy” rating for the company in a report on Friday, October 9th. Five research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $361.75.

View Our Latest Report on HII

Insiders Place Their Bets

In related news, CEO Christopher Kastner sold 13,070 shares of the stock in a transaction dated Monday, August 10th. The shares were sold at an average price of $324.92, for a total value of $4,246,704.40. Following the completion of the transaction, the chief executive officer owned 11,224 shares in the company, valued at $3,646,902.08. This represents a 53.80% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.80% of the stock is owned by insiders.

Trending Headlines about Huntington Ingalls Industries

Here are the key news stories impacting Huntington Ingalls Industries this week:

Positive Sentiment: Q3 earnings beat expectations. HII reported adjusted EPS of $5.48, up from $3.68 a year earlier and ahead of the roughly $4.36–$4.41 analyst consensus. Revenue rose 10.8% year over year to $3.54 billion, exceeding estimates of approximately $3.38 billion. Huntington Ingalls Q3 Earnings and Revenues Beat Estimates
Positive Sentiment: Profitability and cash flow improved. Operating margin expanded by 180 basis points to 7.4%, helped by the roll-off of legacy contracts and better execution, particularly at Newport News Shipbuilding. Quarterly free cash flow was reportedly about twice net income, strengthening the quality of the earnings beat. Why Huntington Ingalls Stock Popped on Thursday
Positive Sentiment: Visibility remains high and the outlook was raised. Approximately 90% of shipbuilding revenue is covered by contracts through 2030, while higher shipbuilding volumes, contract awards and demand for unmanned maritime systems support future revenue. Huntington Ingalls Soars on Earnings Beat
Positive Sentiment: Unmanned-systems momentum adds a growth angle. HII highlighted production progress on ROMULUS unmanned surface vessels for the U.S. Navy, reinforcing its position in autonomous maritime capabilities. HII Celebrates ROMULUS Production Progress
Neutral Sentiment: Risks could limit further upside. Analysts noted that defense-spending constraints and political gridlock in Washington may restrict longer-term growth despite secure backlog and improved contract mix, leading to a more cautious Hold view. Huntington Ingalls: Improving Contract Mix, but Looming Gridlock Limits Upside

Huntington Ingalls Industries Company Profile

(Get Free Report)

Huntington Ingalls Industries, Inc (NYSE:HII) is an American defense company that designs, builds, maintains and modernizes ships for the U.S. Navy and other government customers. Its shipbuilding activities include nuclear-powered aircraft carriers, submarines, amphibious assault ships, destroyers and other surface vessels, along with fleet sustainment and modernization services.

HII operates through its Newport News Shipbuilding and Ingalls Shipbuilding divisions. Newport News Shipbuilding is involved in the construction and maintenance of nuclear-powered aircraft carriers and submarines, while Ingalls Shipbuilding builds surface combatants and amphibious ships.