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Donald Kirkland, a director at Huntington Ingalls Industries, Inc. (NYSE:HII), has purchased 575 shares of the company’s common stock. The transaction, which took place on February 27, 2025, was valued at approximately $99,831, with shares acquired at a price of $173.62 each. Following this acquisition, Kirkland’s (NASDAQ:KIRK) direct ownership in the company now totals 575 shares. The purchase comes as HII trades at an attractive P/E ratio of 12.5x and offers a 3.12% dividend yield. According to InvestingPro analysis, the stock appears undervalued based on its Fair Value estimate. Huntington Ingalls, based in Newport News, Virginia, is a leader in ship and boat building and repair. The $6.84 billion market cap company has maintained dividend increases for 13 consecutive years, though its stock has declined 38% over the past six months. Get deeper insights into HII’s valuation and growth prospects with a comprehensive InvestingPro Research Report, available along with 12+ additional ProTips.
In other recent news, Huntington Ingalls Industries (HII) reported its fourth-quarter earnings, revealing a slight miss with an earnings per share (EPS) of $3.15, just below the consensus estimate of $3.16. The company’s revenue also fell short of expectations, coming in at $3 billion compared to the anticipated $3.05 billion. Analysts from BofA Securities and Bernstein have adjusted their price targets for HII, with BofA lowering it to $165 and maintaining an Underperform rating, while Bernstein reduced it to $192 with a Market Perform rating. BofA highlighted ongoing operational challenges, while Bernstein noted underperformance in the shipbuilding division, particularly at Newport News and Ingalls.
In positive developments, HII secured a $70 million cybersecurity task order from the U.S. Air Force, aimed at enhancing the security of systems and software. Additionally, HII was awarded a $296 million task order to support the United States Air Forces in Europe-Air Forces in Africa, enhancing command and control and integrated air and missile defense capabilities. These contracts reflect HII’s ongoing efforts to expand its defense capabilities beyond shipbuilding. Analyst feedback underscores the need for improvement in shipbuilding margins, with future guidance indicating potential revenue growth in both shipbuilding and Mission Technologies divisions.
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