Are Wall Street Analysts Bullish on Huntington Ingalls Stock?

Huntington Ingalls Industries, Inc. (HII), a prominent shipbuilder with a market cap of $11.7 billion, is currently underperforming relative to the broader market. After rising 7.6% over the past 52 weeks, the stock has fallen 12.6% year-to-date, lagging the S&P 500 Index's 12.9% increase. The defense contractor's underperformance has been attributed to shipyard execution challenges, labor shortages, supply-chain pressures, and the profitability of legacy contracts.

However, HII's stock surged 14.1% on July 30 after exceeding Q2 2026 revenue expectations by 10.9% to $3.42 billion and increasing EPS to $5.27. The improved results were driven by higher volumes at Newport News and Ingalls plants, a $6.7 billion increase in new contract awards, and a higher shipbuilding revenue guidance of $10.2 billion - $10.4 billion.

Analysts project a 20% year-over-year EPS growth for the fiscal year ending in December 2026, with a consensus rating of "Moderate Buy" based on six "Strong Buy" ratings and seven "Hold" ratings. Bernstein SocGen Group recently raised its price target to $341, representing a 19.7% premium to the stock's current levels, with a potential upside of 48.3%.