Huntington Ingalls Industries

HII · NYSE · Industrials · Financials, fiscal 2016 to 2025

HII · Last close · October 26, 2026

$281.05

Value Huntington Ingalls Industries yourself

Huntington Ingalls Industries' revenue rose 8.2% to $12.5 billion in fiscal 2025. Its operating margin was 5.3%, up from 4.6% a year earlier. Free cash flow was $794 million, up 2953.8%. It paid out $213 million in dividends and buybacks, 27% of free cash flow. The diluted share count fell 0.2%.

HUNTINGTON INGALLS INDUSTRIES, INC. Latest fiscal year ended December 31, 2025 10-K filed February 5, 2026 · 0001501585-26-000006 Updated October 9, 2026

Revenue

$12.5B

8.2%

Operating margin

5.3%

0.6 pts

Net income

$605M

10.0%

Free cash flow

$794M

2953.8%

Return on capital

7.3%

0.3 pts

Market cap

$11.1B

Oct 26 close

P/E

16.7x

On $16.78 EPS, 4 qtrs

Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

What Huntington Ingalls Industries does

Huntington Ingalls Industries builds ships and offers technology services, mostly for the U.S. government. It is based in Newport News, Virginia, and employs over 44,000 people. It says its two shipyards have built more ships in more ship classes than any other U.S. naval shipbuilder. Most of its business is with the U.S. government, mainly the Department of War.

It has three segments. Ingalls Shipbuilding, in Pascagoula, Mississippi, builds non-nuclear ships for the Navy and Coast Guard: amphibious assault ships, guided missile destroyers and Coast Guard cutters. It is the only builder of the Navy's amphibious assault ships and one of two builders of its destroyers. Newport News Shipbuilding, in Virginia, designs and builds nuclear ships, including aircraft carriers and submarines, and does refueling, overhaul and repair work. Mission Technologies sells communications, cyber, intelligence, unmanned systems, training and electronic warfare products and services.

In 2025 the company agreed with the Coast Guard to end production of the 11th and last national security cutter.

Its biggest risks, as it describes them

Depending on the U.S. government for almost all of its business, so changes in its priorities and funding matter.
Cost growth on contracts, which can cut profit when prices are fixed or only partly flexible.
Delays or cuts in government appropriations for its programs.
Relying on subcontractors and on single suppliers for some parts.
Difficulty hiring and keeping skilled workers, and labor contract negotiations.

From Huntington Ingalls Industries's annual report on Form 10-K, filed February 5, 2026, in our words; the 10-K has the full description and every risk factor. Updated with each new 10-K.

Charts show fiscal years, from the 10-K filings.

Revenue and margins

Revenue

US$ billions, fiscal years

Margins

Percent of revenue

GrossOperatingNetFree cash flow

Net income and earnings per share

From fiscal 2016 to 2025, earnings per share grew 2.7% a year and net income 0.6% a year, as buybacks cut the share count by 17%.

Net income

US$ billions, fiscal years; loss years in red.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Cash flow

Free cash flow

US$ billions. Cash from operations minus capital expenditure; negative years in red.

Payouts and share count

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Valuation

Two ways to value Huntington Ingalls Industries yourself, both starting from its filings: a discounted cash flow model and the price-to-earnings method.

Discounted cash flow (DCF)

A discounted cash flow (DCF) model values a business as the cash it may generate in future, discounted back to today. The starting figures come from Huntington Ingalls Industries' 10-K (or, for net cash and shares, its latest 10-Q) and the assumptions are yours: start from one of three example scenarios, then change any figure to see what it implies for a share, and how that compares with the last share price.

Value per share on three example scenarios, from Huntington Ingalls Industries' fiscal 2025 free cash flow of $794M, net cash of −$1.9B at December 31, 2025 and 39 million diluted shares, from its filings. The scenarios are fitted to Huntington Ingalls Industries: the base scenario's growth in years 1 to 5 is its revenue growth over the last 3 years, 5.4% a year; the cautious and optimistic ones are lower and higher, and growth in years 6 to 10 is halfway to the long-run rate. The base scenario's discount rate is 9% for a business of moderate risk (Aerospace & Defense); the cautious and optimistic ones use a point more and a point less. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

From the filings

Starting free cash flow, US$ millions

Cash from operations minus capital spending in fiscal 2025.

Net cash, US$ millions

Cash and short-term investments minus debt and finance leases at December 31, 2025. Negative means net debt.

Diluted shares, millions

Weighted-average diluted shares in fiscal 2025.

Your assumptions

Start from

Fitted to Huntington Ingalls Industries's own revenue growth, as above. Cautious: growth of 2.5% then 2% a year, 2% after year 10, a 10% discount rate. Base: growth of 5.5% then 4% a year, 2.5% after year 10, a 9% discount rate. Optimistic: growth of 8% then 5.5% a year, 3% after year 10, a 8% discount rate.

Free cash flow growth, years 1 to 5 (% a year)

Free cash flow growth, years 6 to 10 (% a year)

Growth after year 10 (% a year)Long-run growth forever after year 10. Usually close to inflation, and always below the discount rate.

Discount rate (% a year)The yearly return an investor wants for the risk. A higher rate gives a lower value.

Value per share on these assumptions

—

Last close, October 26, 2026: $281.05
Value on these assumptions, against the last close: —

Cash flows in years 1 to 10, valued today: —
Everything after year 10, valued today: —
Plus net cash: —
Share of value from after year 10: —

Projected free cash flow

US$ billions. Each column is one year's projected free cash flow, split into what it is worth today and the part removed by discounting.

Value todayRemoved by discounting

How the value changes with two assumptions

Value per share in US$, with the growth rates above. The highlighted cell matches the current assumptions.

How the model works. Free cash flow grows at the first rate for five years and the second rate for five more, and each year is discounted at the discount rate. Everything after year 10 is valued as year-10 cash flow × (1 + growth after year 10) ÷ (discount rate − growth after year 10), discounted back ten years. Net cash is added and the total is divided by diluted shares. The result depends entirely on the assumptions. It is not a forecast, a price target or a recommendation. The last close is the consolidated US closing price, from Databento.

Price-to-earnings (P/E) method

Another common way to value a company is to multiply its earnings per share by a price-to-earnings (P/E) multiple: the number of years of today's earnings an investor pays for a share. A higher multiple usually means investors expect earnings to grow. Choose a multiple, for example from similar companies, to see the value it gives.

Value per share on three example scenarios, from Huntington Ingalls Industries' earnings per share of $16.78 (over the last four quarters). Each grows earnings for a year at the cash flow scenarios' rates and applies a multiple to next year's earnings: 26.7×, the middle of Huntington Ingalls Industries' own P/E today, its peers' median and its sector's median (the Industrials median) for the base scenario, 20% less and more for the cautious and optimistic ones. The price is brought back a year at 10%, 9% and 8%. Select one to load it into the calculator. These are the model's arithmetic on those assumptions, not a forecast or a price target.

Earnings per share, US$

Diluted earnings per share over the four quarters to June 30, 2026, from the 10-Qs and 10-K.

P/E multiple

P/E today is the last close divided by the latest earnings per share, the four quarters' where available. Peers: Textron, TransDigm Group, Howmet Aerospace.

Earnings growth in the years ahead (% a year) Starts at Huntington Ingalls Industries' revenue growth over the last 3 years, 5.4% a year, as the base scenario does.

Earnings per share in the years ahead, US$

Year 1Year 2Year 3Year 4Year 5

Type your own estimate for any year; the years after it carry on at the growth rate.

Apply the multiple to earnings

A multiple on a future year's earnings gives the price then, brought back to today at the discount rate below.

Discount rate (% a year) The yearly return an investor wants for the risk, as in the cash flow model.

Value per share today at this multiple

—

Last close, October 26, 2026: $281.05
Value at this multiple, against the last close: —
Huntington Ingalls Industries' P/E at the last close: 16.7×

Company	Last close	Earnings per share	P/E today
Howmet AerospaceHWM	$194.36	$4.64	41.9×
TransDigm GroupTDG	$1,129.70	$32.98	34.3×
Huntington Ingalls IndustriesHII	$281.05	$16.78	16.7×
TextronTXT	$78.11	$5.31	14.7×

How the P/E method works. Value per share is earnings per share times the multiple. On a future year's earnings, that gives the price in that year, which is brought back to today at the discount rate: price ÷ (1 + discount rate) for each year ahead. It is quick and easy to compare across companies, but it ignores debt and cash, and earnings can swing with one-off gains and charges, so a multiple says most about steady, profitable businesses. Like the cash flow model, the result depends entirely on the assumptions you choose. It is not a forecast, a price target or a recommendation.

Balance sheet

Fiscal year end	FY21	FY22	FY23	FY24	FY25
Cash and short-term investments	627	467	430	831	774
Debt incl. finance leases	3,298	2,905	2,445	3,203	2,700
Net debt (negative means net cash)	2,671	2,438	2,015	2,372	1,926
Net debt to EBITDA	3.3x	2.6x	1.8x	2.8x	1.9x
Debt to equity	1.2x	0.8x	0.6x	0.7x	0.5x
Interest coverage	5.8x	5.5x	8.2x	5.6x	6.3x
Current ratio	1.1x	0.9x	0.9x	1.1x	1.1x
Quick ratio	1.1x	0.9x	0.9x	1.0x	1.1x

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Insider trades

Over the 12 months between October 27, 2025 and October 26, 2026, no insider bought Huntington Ingalls Industries shares on the open market, and 8 insiders sold $18.8 million, $9.1 million of it under trading plans set up in advance.

Date	Insider	Trade	Shares	Price	Value	Filing
Aug 10, 2026	Christopher D KastnerDirector, President & CEO, Director	Sold plan	13,070	$324.92	$4.2 million	Form 4
Aug 7, 2026	Victoria D HarkerDirector	Sold	723	$333.17	$240,882	Form 4
May 28, 2026	Edmond E. Hughes Jr.Ex VP & Chief HR Officer	Sold	3,500	$319.58	$1.1 million	Form 4
Mar 6, 2026	Thomas E. StiehleEx. VP and CFO	Sold	4,500	$430.54	$1.9 million	Form 4
Mar 5, 2026	Chad N. BoudreauxEx VP & Chief Legal Officer	Sold	4,400	$422.45	$1.9 million	Form 4
Mar 4, 2026	Eric D. ChewningEVP, Maritime Sys & Corp STR	Sold	1,700	$433.44	$736,848	Form 4
Mar 2, 2026	Edgar A Green IIIEx VP, Pres. HII Mission Tech	Sold	4,448	$457.74	$2.0 million	Form 4
Mar 2, 2026	Nicolas G SchuckCorp VP, Controller & CAO	Sold	1,720	$457.39	$786,711	Form 4
Nov 26, 2025	Chad N. BoudreauxEx VP & Chief Legal Officer	Sold	787	$314.17	$247,217	Form 4
Nov 20, 2025	Edmond E. Hughes Jr.Ex VP & Chief HR Officer	Sold	850	$315.44	$268,124	Form 4
Nov 12, 2025	Christopher D KastnerDirector, President & CEO, Director	Sold plan	15,000	$321.06	$4.8 million	Form 4
Nov 4, 2025	Victoria D HarkerDirector	Sold	1,000	$316.61	$316,610	Form 4

The latest 12 of 13 trades. Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Piotroski F-score

The F-score counts how many of nine simple tests of profitability, funding and efficiency a company passed in a year (Piotroski, 2000). The more tests passed, the stronger the year: 8 or 9 is strong, 0 to 2 weak. Companies that report no gross profit are scored on the other eight.

Test	FY23	FY24	FY25
Net income is positive	Pass	Pass	Pass
Cash from operations is positive	Pass	Pass	Pass
Return on assets rose	Pass	Fail	Pass
Cash from operations exceeds net income	Pass	Fail	Pass
Debt fell relative to assets	Pass	Fail	Pass
Current ratio rose	Pass	Pass	Pass
Share count didn't rise	Pass	Pass	Pass
Gross margin rose	—	—	—
Revenue rose relative to assets	Pass	Fail	Fail
F-score	8 of 8	4 of 8	7 of 8
Accruals ratio	−2.6%	1.3%	−4.8%

The accruals ratio is net income minus cash from operations, over average total assets.

Compare

Put Huntington Ingalls Industries side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
Huntington Ingalls Industries	FY25	8.2%	5.3%	6.4%	7.3%	1.9x	7
Textron	FY25	8.0%	—	6.3%	—	—	—	Compare
TransDigm Group	FY25	11.2%	47.2%	20.6%	22.5%	5.9x	4	Compare
Howmet Aerospace	FY25	11.1%	24.8%	17.3%	22.4%	1.0x	7	Compare
Elbit Systems	FY25	16.3%	8.5%	7.0%	18.0%	−0.6x	8	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score above.

10 years of figures

Fiscal year	FY16	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25
Income statement
Revenue	7,068	7,441	8,176	8,899	9,361	9,524	10,676	11,454	11,535	12,484
Revenue growth	0.7%	5.3%	9.9%	8.8%	5.2%	1.7%	12.1%	7.3%	0.7%	8.2%
Gross profit	2,688	2,997	—	—	—	—	—	—	—	—
Research and development	19	17	25	23	31	34	40	35	27	26
Operating income	876	881	951	736	799	513	565	781	535	657
Net income	573	479	836	549	696	544	579	681	550	605
Diluted EPS (US$)	12.14	10.46	19.09	13.26	17.14	13.50	14.44	17.07	13.96	15.39
Diluted shares (millions)	47	46	44	41	41	40	40	40	39	39
Cash flow
Cash from operations	822	814	914	896	1,093	760	766	970	393	1,196
Capital expenditure	285	382	463	530	353	331	284	292	367	402
Free cash flow	537	432	451	366	740	429	482	678	26	794
Dividends paid	98	115	132	149	172	186	192	200	206	213
Share buybacks	194	286	742	262	84	101	52	75	162	0
Acquisitions	372	3	77	195	417	1,643	0	0	0	132
Stock-based compensation	36	34	36	30	23	33	36	34	23	54
Balance sheet at fiscal year end
Cash and short-term investments	720	701	240	75	512	627	467	430	831	774
Debt incl. finance leases	1,278	1,279	1,283	1,286	1,686	3,298	2,905	2,445	3,203	2,700
Total assets	6,352	6,374	6,383	7,031	8,157	10,627	10,857	11,215	12,141	12,749
Total liabilities	4,699	4,616	4,867	5,443	6,256	7,819	7,368	7,122	7,475	7,676
Shareholders' equity	1,653	1,758	1,516	1,588	1,901	2,808	3,489	4,093	4,666	5,073
Margins and ratios
Gross margin	38.0%	40.3%	—	—	—	—	—	—	—	—
Operating margin	12.4%	11.8%	11.6%	8.3%	8.5%	5.4%	5.3%	6.8%	4.6%	5.3%
Net margin	8.1%	6.4%	10.2%	6.2%	7.4%	5.7%	5.4%	6.0%	4.8%	4.8%
Free cash flow margin	7.6%	5.8%	5.5%	4.1%	7.9%	4.5%	4.5%	5.9%	0.2%	6.4%
Return on capital	31.4%	24.0%	33.5%	22.1%	23.4%	10.5%	8.0%	10.4%	7.0%	7.3%
Return on equity	36.5%	28.1%	51.1%	35.4%	39.9%	23.1%	18.4%	18.0%	12.6%	12.4%
Return on assets	9.3%	7.5%	13.1%	8.2%	9.2%	5.8%	5.4%	6.2%	4.7%	4.9%
Net debt to EBITDA	0.5x	0.5x	0.9x	1.3x	1.1x	3.3x	2.6x	1.8x	2.8x	1.9x

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: Huntington Ingalls Industries' Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with Huntington Ingalls Industries.