Investment Comparison: Huntington Ingalls vs. Lockheed Martin
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 28 2026
0mins
Source: Yahoo Finance
- Huntington Ingalls Financial Performance: In fiscal 2025, Huntington Ingalls reported nearly $12.5 billion in revenue, an 8.2% year-over-year increase, with a net income of approximately $605 million and a net margin of 4.8%, indicating robust growth in military shipbuilding.
- Lockheed Martin Market Position: During the same year, Lockheed Martin achieved revenue of nearly $75.1 billion, reflecting a growth of 5.7%, with a net income of about $5 billion and a net margin of 6.7%, further solidifying its leadership in aerospace and defense technology.
- Risk Analysis: Huntington Ingalls faces significant risks due to its reliance on U.S. Navy funding, leading to customer concentration risk, while Lockheed is heavily impacted by changes in defense budgets, particularly concerning the high-stakes F-35 program, which could result in delivery delays and increased costs.
- Valuation Comparison: Huntington Ingalls has a forward P/E of 17.2 and a P/S ratio of 0.9, making it appear cheaper compared to Lockheed Martin's 18.1 and 1.7, attracting investor interest due to its growth potential.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy HII?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on HII
Wall Street analysts forecast HII stock price to rise
6 Analyst Rating
4 Buy
1 Hold
1 Sell
Moderate Buy
Current: 294.100
Low
300.00
Averages
344.80
High
376.00
Current: 294.100
Low
300.00
Averages
344.80
High
376.00
About HII
Huntington Ingalls Industries, Inc. is a global, all-domain defense partner, building and delivering naval ships and technologies. Its segments include Ingalls Shipbuilding (Ingalls), Newport News Shipbuilding (Newport News) and Mission Technologies. Ingalls segment includes its non-nuclear ship design, construction, repair, and maintenance businesses. Newport News segment includes all of its nuclear ship design, construction, overhaul, refueling, and repair and maintenance businesses. Mission Technologies segment provides a range of services and products, including command, control, computers, communications, cyber, intelligence, surveillance, and reconnaissance systems and operations; the application of artificial intelligence and machine learning to battlefield decisions; defense and offensive cyberspace strategies and electronic warfare; unmanned autonomous systems; live, virtual, and constructive training solutions; platform modernization, and critical nuclear operations.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
HII Secures U.S. Navy Lionfish Contract
- Contract Renewal: HII has been awarded an option year production contract for the U.S. Navy's Lionfish small unmanned undersea vehicle, with a total contract value exceeding $347 million, reflecting the Navy's confidence and support for the platform.
- Production Milestone: By the end of 2025, HII completed the production of the 42nd Lionfish vehicle at its Pocasset facility, marking a significant production milestone, with the potential to scale to 200 vehicles over the next five years.
- Technological Advantage: Lionfish is based on HII's REMUS 300 platform, designed for multi-mission adaptability, enabling rapid payload integration and technology upgrades, ensuring cost efficiency while adapting to evolving mission requirements.
- Market Leadership: As the largest producer of unmanned underwater vehicles in the U.S., HII has delivered over 700 REMUS systems to more than 30 countries, with over 90% of these systems still in active service, solidifying its leadership position in global naval operations.
See More
HII's Spectrum Products Achieve Awardable Status
- Product Recognition: HII's GRIMM™ and VIPER® products have achieved awardable status in the U.S. Department of Defense's Tradewinds Solutions Marketplace, highlighting their innovative capabilities in AI and machine learning, thereby enhancing the company's competitiveness in the defense sector.
- Operational Enhancement: GRIMM™ serves as a compact, high-performance spectrum dominance solution that enables real-time geolocation and identification of adversary signals, significantly improving situational awareness and intelligence support for warfighters, thus increasing mission success rates.
- Data Scarcity Resolution: VIPER® acts as a high-resolution channel emulator that addresses AI data scarcity in cognitive electronic warfare and counter-UAS, reducing high costs and risks while ensuring effective testing across various environments.
- Strategic Implications: By integrating these technologies onto manned and unmanned platforms, HII expands spectrum awareness, ensuring forces can detect and respond to threats across all domains, thereby enhancing the overall capability of U.S. defense.
See More
HII Begins Construction of New Destroyer USS John F. Lehman (DDG 137)
- Construction Start: HII's Ingalls Shipbuilding division officially commenced fabrication of the USS John F. Lehman (DDG 137) on July 1, 2026, marking the beginning of the Navy's newest Flight III Arleigh Burke-class destroyer, reflecting the company's ongoing commitment to defense investments.
- Distributed Production Model: By shifting the fabrication of major structural units from Pascagoula to six partner yards across Texas, Louisiana, Mississippi, and Florida, HII's distributed shipbuilding model significantly enhances production capacity, ensuring efficient supply chain management.
- Technological Upgrade: As the seventh Flight III destroyer, DDG 137 features the advanced AN/SPY-6(V)1 radar system and Aegis Baseline 10 combat system, designed to counter evolving threats well into the 21st century, thereby enhancing the Navy's operational capabilities.
- Future Plans: HII plans to outsource over 2.5 million hours of shipbuilding work in 2026, driving work to qualified yards nationwide, which will further strengthen the resilience of the long-term industrial base and ensure the ability to meet the Navy's demand for high-performance vessels.
See More
Investment Comparison: Huntington Ingalls vs. Lockheed Martin
- Revenue Growth Comparison: Huntington Ingalls reported nearly $12.5 billion in revenue for fiscal 2025, reflecting an 8.2% year-over-year increase, showcasing its strong position in military shipbuilding, although 81% of its revenue comes from the U.S. Navy, indicating significant customer concentration risk.
- Profitability Analysis: The company achieved a net income of approximately $605 million in 2025, resulting in a net margin of about 4.8%, which, while lower than competitors, is supported by a free cash flow of $794 million, providing a buffer for future investments.
- Debt Level Assessment: Huntington's debt-to-equity ratio stands at 0.6, indicating a relatively stable financial position, whereas Lockheed's ratio is 3.2, suggesting higher financial leverage risk that could impact long-term stability.
- Market Competition and Risks: Huntington faces intense competition from other shipbuilders like General Dynamics and relies heavily on U.S. Navy funding, making it vulnerable to any shifts in government spending priorities that could significantly affect its operations.
See More
Investment Comparison: Huntington Ingalls vs. Lockheed Martin
- Huntington Ingalls Performance: In fiscal 2025, Huntington Ingalls reported nearly $12.5 billion in revenue, an 8.2% increase year-over-year, with a net income of approximately $605 million and a net margin of 4.8%, reflecting its solid position in military shipbuilding.
- Lockheed Martin Financials: During the same year, Lockheed Martin achieved nearly $75.1 billion in revenue, growing by 5.7%, with a net income of around $5 billion and a net margin of 6.7%, showcasing its strength in aerospace and defense technology.
- Risk Assessment: Huntington Ingalls faces risks due to its reliance on U.S. Navy funding, while Lockheed is heavily dependent on the F-35 program, with both companies needing to manage the implications of customer concentration.
- Valuation Comparison: Huntington Ingalls has a forward P/E ratio of 17.2, lower than Lockheed's 18.1, and a P/S ratio of 0.9, indicating a relatively attractive valuation that may appeal to investors.
See More
Investment Comparison: Huntington Ingalls vs. Lockheed Martin
- Huntington Ingalls Financial Performance: In fiscal 2025, Huntington Ingalls reported nearly $12.5 billion in revenue, an 8.2% year-over-year increase, with a net income of approximately $605 million and a net margin of 4.8%, indicating robust growth in military shipbuilding.
- Lockheed Martin Market Position: During the same year, Lockheed Martin achieved revenue of nearly $75.1 billion, reflecting a growth of 5.7%, with a net income of about $5 billion and a net margin of 6.7%, further solidifying its leadership in aerospace and defense technology.
- Risk Analysis: Huntington Ingalls faces significant risks due to its reliance on U.S. Navy funding, leading to customer concentration risk, while Lockheed is heavily impacted by changes in defense budgets, particularly concerning the high-stakes F-35 program, which could result in delivery delays and increased costs.
- Valuation Comparison: Huntington Ingalls has a forward P/E of 17.2 and a P/S ratio of 0.9, making it appear cheaper compared to Lockheed Martin's 18.1 and 1.7, attracting investor interest due to its growth potential.
See More
HII Secures U.S. Navy Lionfish Contract
- Contract Renewal: HII has been awarded an option year production contract for the U.S. Navy's Lionfish small unmanned undersea vehicle, with a total contract value exceeding $347 million, reflecting the Navy's confidence and support for the platform.
- Production Milestone: By the end of 2025, HII completed the production of the 42nd Lionfish vehicle at its Pocasset facility, marking a significant production milestone, with the potential to scale to 200 vehicles over the next five years.
- Technological Advantage: Lionfish is based on HII's REMUS 300 platform, designed for multi-mission adaptability, enabling rapid payload integration and technology upgrades, ensuring cost efficiency while adapting to evolving mission requirements.
- Market Leadership: As the largest producer of unmanned underwater vehicles in the U.S., HII has delivered over 700 REMUS systems to more than 30 countries, with over 90% of these systems still in active service, solidifying its leadership position in global naval operations.
See More
HII's Spectrum Products Achieve Awardable Status
- Product Recognition: HII's GRIMM™ and VIPER® products have achieved awardable status in the U.S. Department of Defense's Tradewinds Solutions Marketplace, highlighting their innovative capabilities in AI and machine learning, thereby enhancing the company's competitiveness in the defense sector.
- Operational Enhancement: GRIMM™ serves as a compact, high-performance spectrum dominance solution that enables real-time geolocation and identification of adversary signals, significantly improving situational awareness and intelligence support for warfighters, thus increasing mission success rates.
- Data Scarcity Resolution: VIPER® acts as a high-resolution channel emulator that addresses AI data scarcity in cognitive electronic warfare and counter-UAS, reducing high costs and risks while ensuring effective testing across various environments.
- Strategic Implications: By integrating these technologies onto manned and unmanned platforms, HII expands spectrum awareness, ensuring forces can detect and respond to threats across all domains, thereby enhancing the overall capability of U.S. defense.
See More
HII Begins Construction of New Destroyer USS John F. Lehman (DDG 137)
- Construction Start: HII's Ingalls Shipbuilding division officially commenced fabrication of the USS John F. Lehman (DDG 137) on July 1, 2026, marking the beginning of the Navy's newest Flight III Arleigh Burke-class destroyer, reflecting the company's ongoing commitment to defense investments.
- Distributed Production Model: By shifting the fabrication of major structural units from Pascagoula to six partner yards across Texas, Louisiana, Mississippi, and Florida, HII's distributed shipbuilding model significantly enhances production capacity, ensuring efficient supply chain management.
- Technological Upgrade: As the seventh Flight III destroyer, DDG 137 features the advanced AN/SPY-6(V)1 radar system and Aegis Baseline 10 combat system, designed to counter evolving threats well into the 21st century, thereby enhancing the Navy's operational capabilities.
- Future Plans: HII plans to outsource over 2.5 million hours of shipbuilding work in 2026, driving work to qualified yards nationwide, which will further strengthen the resilience of the long-term industrial base and ensure the ability to meet the Navy's demand for high-performance vessels.
See More
Investment Comparison: Huntington Ingalls vs. Lockheed Martin
- Revenue Growth Comparison: Huntington Ingalls reported nearly $12.5 billion in revenue for fiscal 2025, reflecting an 8.2% year-over-year increase, showcasing its strong position in military shipbuilding, although 81% of its revenue comes from the U.S. Navy, indicating significant customer concentration risk.
- Profitability Analysis: The company achieved a net income of approximately $605 million in 2025, resulting in a net margin of about 4.8%, which, while lower than competitors, is supported by a free cash flow of $794 million, providing a buffer for future investments.
- Debt Level Assessment: Huntington's debt-to-equity ratio stands at 0.6, indicating a relatively stable financial position, whereas Lockheed's ratio is 3.2, suggesting higher financial leverage risk that could impact long-term stability.
- Market Competition and Risks: Huntington faces intense competition from other shipbuilders like General Dynamics and relies heavily on U.S. Navy funding, making it vulnerable to any shifts in government spending priorities that could significantly affect its operations.
See More
Investment Comparison: Huntington Ingalls vs. Lockheed Martin
- Huntington Ingalls Performance: In fiscal 2025, Huntington Ingalls reported nearly $12.5 billion in revenue, an 8.2% increase year-over-year, with a net income of approximately $605 million and a net margin of 4.8%, reflecting its solid position in military shipbuilding.
- Lockheed Martin Financials: During the same year, Lockheed Martin achieved nearly $75.1 billion in revenue, growing by 5.7%, with a net income of around $5 billion and a net margin of 6.7%, showcasing its strength in aerospace and defense technology.
- Risk Assessment: Huntington Ingalls faces risks due to its reliance on U.S. Navy funding, while Lockheed is heavily dependent on the F-35 program, with both companies needing to manage the implications of customer concentration.
- Valuation Comparison: Huntington Ingalls has a forward P/E ratio of 17.2, lower than Lockheed's 18.1, and a P/S ratio of 0.9, indicating a relatively attractive valuation that may appeal to investors.
See More
Investment Comparison: Huntington Ingalls vs. Lockheed Martin
- Huntington Ingalls Financial Performance: In fiscal 2025, Huntington Ingalls reported nearly $12.5 billion in revenue, an 8.2% year-over-year increase, with a net income of approximately $605 million and a net margin of 4.8%, indicating robust growth in military shipbuilding.
- Lockheed Martin Market Position: During the same year, Lockheed Martin achieved revenue of nearly $75.1 billion, reflecting a growth of 5.7%, with a net income of about $5 billion and a net margin of 6.7%, further solidifying its leadership in aerospace and defense technology.
- Risk Analysis: Huntington Ingalls faces significant risks due to its reliance on U.S. Navy funding, leading to customer concentration risk, while Lockheed is heavily impacted by changes in defense budgets, particularly concerning the high-stakes F-35 program, which could result in delivery delays and increased costs.
- Valuation Comparison: Huntington Ingalls has a forward P/E of 17.2 and a P/S ratio of 0.9, making it appear cheaper compared to Lockheed Martin's 18.1 and 1.7, attracting investor interest due to its growth potential.
See More
