WallStSmart

Huntington Ingalls Industries Inc (HII)vsHowmet Aerospace Inc (HWM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Huntington Ingalls Industries Inc generates 51% more annual revenue ($12.48B vs $8.25B). HWM leads profitability with a 18.3% profit margin vs 4.8%. HWM appears more attractively valued with a PEG of 0.80. HWM earns a higher WallStSmart Score of 69/100 (B-).

HII

Buy

63

out of 100

Grade: C+

Growth: 7.3Profit: 5.5Value: 4.7Quality: 5.8
Piotroski: 5/9Altman Z: 2.25

HWM

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 9.0Value: 5.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HIISignificantly Overvalued (-16.2%)

Margin of Safety

-16.2%

Fair Value

$337.96

Current Price

$362.17

$24.21 premium

UndervaluedFair: $337.96Overvalued

Intrinsic value data unavailable for HWM.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HII3 strengths · Avg: 8.0/10
Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

EPS GrowthGrowth
28.1%8/10

Earnings expanding 28.1% YoY

HWM5 strengths · Avg: 8.6/10
Return on EquityProfitability
30.4%10/10

Every $100 of equity generates 30 in profit

Market CapQuality
$94.83B9/10

Large-cap with strong market position

PEG RatioValuation
0.808/10

Growing faster than its price suggests

Operating MarginProfitability
26.3%8/10

Strong operational efficiency at 26.3%

EPS GrowthGrowth
20.3%8/10

Earnings expanding 20.3% YoY

Areas to Watch

HII1 concerns · Avg: 3.0/10
Profit MarginProfitability
4.8%3/10

4.8% margin — thin

HWM2 concerns · Avg: 3.0/10
Price/BookValuation
18.2x4/10

Trading at 18.2x book value

P/E RatioValuation
63.8x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : HII

The strongest argument for HII centers on Price/Book, Revenue Growth, EPS Growth. Revenue growth of 15.7% demonstrates continued momentum. PEG of 1.25 suggests the stock is reasonably priced for its growth.

Bull Case : HWM

The strongest argument for HWM centers on Return on Equity, Market Cap, PEG Ratio. Profitability is solid with margins at 18.3% and operating margin at 26.3%. Revenue growth of 14.6% demonstrates continued momentum.

Bear Case : HII

The primary concerns for HII are Profit Margin. Thin 4.8% margins leave little buffer for downturns.

Bear Case : HWM

The primary concerns for HWM are Price/Book, P/E Ratio. A P/E of 63.8x leaves little room for execution misses.

Key Dynamics to Monitor

HII profiles as a growth stock while HWM is a mature play — different risk/reward profiles.

HWM carries more volatility with a beta of 1.24 — expect wider price swings.

HII is growing revenue faster at 15.7% — sustainability is the question.

HWM generates stronger free cash flow (530M), providing more financial flexibility.

Bottom Line

HWM scores higher overall (69/100 vs 63/100), backed by strong 18.3% margins and 14.6% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Huntington Ingalls Industries Inc

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Huntington Ingalls Industries (HII) is the largest military shipbuilding company in the United States as well as a provider of professional services to partners in government and industry.

Howmet Aerospace Inc

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Howmet Aerospace Inc. is an American aerospace company based in Pittsburgh, Pennsylvania. The company manufactures components for jet engines, fasteners and titanium structures for aerospace applications, and forged aluminum wheels for heavy trucks.

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