Huntington Ingalls Industries (NYSE:HII) Shares Gap Down – Time to Sell?

Huntington Ingalls Industries, Inc. (NYSE:HII)’s stock price gapped down before the market opened on Thursday . The stock had previously closed at $413.14, but opened at $354.61. Huntington Ingalls Industries shares last traded at $373.1740, with a volume of 488,065 shares traded.

Trending Headlines about Huntington Ingalls Industries

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

• Positive Sentiment: Q4 earnings and revenue beat consensus — HII reported $4.04 EPS (vs. ~3.75 consensus) and $3.48B revenue, up ~15.7% year-over-year, topping estimates which supports near-term cash flow and margins. Huntington Ingalls (HII) Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: Company press release & materials confirm broad segment growth and provided investor materials (slide deck, call) that validated the beat and revenue detail. HII Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Newport News completed builder’s sea trials for the John F. Kennedy (CVN‑79), de‑risking a high‑profile program milestone and supporting future cash conversion/timing. John F. Kennedy Sea Trials
• Positive Sentiment: Board declared a $1.38 quarterly dividend (payable Mar 13), showing capital return discipline — modest yield but supports shareholder income thesis. Dividend and Sea Trials Coverage
• Neutral Sentiment: FY‑2026 revenue guidance was reiterated/updated to roughly $12.7B–$13.1B (text in filings was unclear on EPS range); revenue band is roughly in line with consensus but lacks clarity on margin/earnings detail — this ambiguity can temper enthusiasm. (Company guidance entry)
• Neutral Sentiment: Analysts and previews (Zacks pieces) provided detailed metric comparisons and sector context — useful for modeling but not disruptive by themselves. Key Metrics vs Estimates
• Neutral Sentiment: Corporate engagement with USMC leadership at Ingalls highlights program relationships and backlog visibility but is a longer‑term positive. HII Hosts U.S. Marine Corps Leaders
• Negative Sentiment: Market skepticism about whether HII can sustain the post‑beat surge — commentary questions durability of margin expansion and backlog cadence; profit‑taking after a strong run may be driving the stock lower today. Can shipbuilder sustain surge?

Analyst Ratings Changes

Several brokerages have weighed in on HII. Sanford C. Bernstein reiterated a “market perform” rating and issued a $362.00 target price on shares of Huntington Ingalls Industries in a research note on Friday, November 7th. JPMorgan Chase & Co. upped their price target on Huntington Ingalls Industries from $287.00 to $342.00 and gave the stock a “neutral” rating in a report on Monday, November 3rd. TD Cowen boosted their target price on Huntington Ingalls Industries from $320.00 to $350.00 and gave the stock a “buy” rating in a research report on Friday, October 31st. Citigroup lifted their price target on Huntington Ingalls Industries from $376.00 to $450.00 and gave the stock a “buy” rating in a research note on Tuesday, January 13th. Finally, The Goldman Sachs Group upped their target price on shares of Huntington Ingalls Industries from $384.00 to $425.00 and gave the company a “buy” rating in a report on Tuesday, January 20th. Five analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $343.63.

Huntington Ingalls Industries Stock Down 11.0%

The company has a debt-to-equity ratio of 0.54, a current ratio of 1.14 and a quick ratio of 1.06. The firm has a 50 day simple moving average of $366.26 and a 200-day simple moving average of $312.27. The stock has a market capitalization of $14.43 billion, a price-to-earnings ratio of 25.33, a price-to-earnings-growth ratio of 1.73 and a beta of 0.34.

Huntington Ingalls Industries (NYSE:HII) last announced its quarterly earnings results on Thursday, February 5th. The aerospace company reported $4.04 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.75 by $0.29. The firm had revenue of $3.48 billion during the quarter, compared to the consensus estimate of $3.09 billion. Huntington Ingalls Industries had a net margin of 4.74% and a return on equity of 11.79%. The firm’s quarterly revenue was up 15.7% on a year-over-year basis. During the same period last year, the firm posted $3.15 EPS. On average, sell-side analysts forecast that Huntington Ingalls Industries, Inc. will post 13.99 EPS for the current fiscal year.

Huntington Ingalls Industries Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 13th. Shareholders of record on Friday, February 27th will be issued a dividend of $1.38 per share. The ex-dividend date of this dividend is Friday, February 27th. This represents a $5.52 annualized dividend and a yield of 1.5%. Huntington Ingalls Industries’s dividend payout ratio (DPR) is currently 38.12%.

Insider Buying and Selling

In other news, CEO Christopher D. Kastner sold 15,000 shares of Huntington Ingalls Industries stock in a transaction on Wednesday, November 12th. The shares were sold at an average price of $321.06, for a total value of $4,815,900.00. Following the completion of the sale, the chief executive officer owned 68,139 shares in the company, valued at $21,876,707.34. The trade was a 18.04% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, VP Edmond E. Jr. Hughes sold 850 shares of the company’s stock in a transaction dated Thursday, November 20th. The stock was sold at an average price of $315.44, for a total transaction of $268,124.00. Following the completion of the sale, the vice president owned 8,731 shares in the company, valued at $2,754,106.64. This represents a 8.87% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 16,637 shares of company stock worth $5,331,276. Company insiders own 0.72% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Korea Investment CORP purchased a new position in Huntington Ingalls Industries in the 2nd quarter worth $1,604,000. Primoris Wealth Advisors LLC purchased a new position in shares of Huntington Ingalls Industries in the third quarter worth $2,260,000. CWA Asset Management Group LLC boosted its position in Huntington Ingalls Industries by 51.2% during the 3rd quarter. CWA Asset Management Group LLC now owns 24,746 shares of the aerospace company’s stock valued at $7,125,000 after buying an additional 8,384 shares during the period. Markel Group Inc. raised its stake in shares of Huntington Ingalls Industries by 13.9% during the second quarter. Markel Group Inc. now owns 20,500 shares of the aerospace company’s stock valued at $4,950,000 after acquiring an additional 2,500 shares during the last quarter. Finally, SS&H Financial Advisors Inc. boosted its holdings in shares of Huntington Ingalls Industries by 76.7% during the third quarter. SS&H Financial Advisors Inc. now owns 8,120 shares of the aerospace company’s stock worth $2,338,000 after purchasing an additional 3,525 shares during the period. Hedge funds and other institutional investors own 90.46% of the company’s stock.

About Huntington Ingalls Industries

Huntington Ingalls Industries (NYSE: HII) is America’s largest military shipbuilding company and a leading provider of professional services to the U.S. government. Headquartered in Newport News, Virginia, HII designs, constructs and maintains nuclear-powered aircraft carriers, submarines and other complex vessels for the U.S. Navy. The company’s products include nuclear aircraft carriers, Virginia-class and Columbia-class submarines, as well as amphibious assault ships, destroyers and cutters.

Established in 2011 as a spin-off from Northrop Grumman’s shipbuilding operations, HII traces its heritage to two historic builders: Newport News Shipbuilding, founded in the 19th century, and Ingalls Shipbuilding, founded in 1938.