Reviewing Intuitive Machines (NASDAQ:LUNR) and Huntington Ingalls Industries (NYSE:HII)

Intuitive Machines (NASDAQ:LUNRGet Free Report) and Huntington Ingalls Industries (NYSE:HIIGet Free Report) are both aerospace companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, risk, profitability, valuation, earnings and dividends.

Risk and Volatility

Intuitive Machines has a beta of 1.44, suggesting that its share price is 44% more volatile than the S&P 500. Comparatively, Huntington Ingalls Industries has a beta of 0.37, suggesting that its share price is 63% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Intuitive Machines and Huntington Ingalls Industries, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Intuitive Machines 2 2 10 0 2.57
Huntington Ingalls Industries 1 5 3 0 2.22

Intuitive Machines presently has a consensus target price of $15.50, indicating a potential upside of 31.02%. Huntington Ingalls Industries has a consensus target price of $318.57, indicating a potential downside of 1.52%. Given Intuitive Machines’ stronger consensus rating and higher possible upside, equities research analysts plainly believe Intuitive Machines is more favorable than Huntington Ingalls Industries.

Profitability

This table compares Intuitive Machines and Huntington Ingalls Industries’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Intuitive Machines -87.58% N/A -7.07%
Huntington Ingalls Industries 4.74% 11.79% 4.68%

Earnings and Valuation

This table compares Intuitive Machines and Huntington Ingalls Industries”s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Intuitive Machines $228.00 million 9.35 -$283.41 million ($2.47) -4.79
Huntington Ingalls Industries $11.54 billion 1.10 $550.00 million $14.48 22.34

Huntington Ingalls Industries has higher revenue and earnings than Intuitive Machines. Intuitive Machines is trading at a lower price-to-earnings ratio than Huntington Ingalls Industries, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

72.2% of Intuitive Machines shares are owned by institutional investors. Comparatively, 90.5% of Huntington Ingalls Industries shares are owned by institutional investors. 39.8% of Intuitive Machines shares are owned by company insiders. Comparatively, 0.7% of Huntington Ingalls Industries shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Huntington Ingalls Industries beats Intuitive Machines on 8 of the 14 factors compared between the two stocks.

About Intuitive Machines

(Get Free Report)

Intuitive Machines, Inc. designs, manufactures, and operates space products and services in the United States. Its space systems and space infrastructure enable scientific and human exploration and utilization of lunar resources to support sustainable human presence on the moon. The company offers lunar access services, such µNova, lunar surface rover services, fixed lunar surface services, lunar orbit delivery services, rideshare delivery services to lunar orbit, as well as content sales and marketing sponsorships; and orbital services, including satellite delivery and rideshare, satellite servicing and refueling, space station servicing, satellite repositioning, and orbital debris removal. It also provides lunar data services, comprising Lunar data network, lunar south pole and far-side coverage, lunar positioning services, data relay, and data storage/caching. In addition, the company offers propulsion systems and navigation systems; engineering services contracts; lunar mobility vehicles, such as rovers and drones; power infrastructure that includes fission surface power; and human habitation systems. It serves its products to the U.S. government, commercial, and international customers. Intuitive Machines, Inc. was founded in 2013 and is headquartered in Houston, Texas.

About Huntington Ingalls Industries

(Get Free Report)

Huntington Ingalls Industries, Inc. designs, builds, overhauls, and repairs military ships in the United States. It operates through three segments: Ingalls, Newport News, and Mission Technologies. The company is involved in the design and construction of non-nuclear ships comprising amphibious assault ships; expeditionary warfare ships; surface combatants; and national security cutters for the U.S. Navy and U.S. Coast Guard. It also provides nuclear-powered ships, such as aircraft carriers and submarines, as well as refueling and overhaul, and inactivation services of nuclear-powered aircraft carriers. In addition, the company offers naval nuclear support services, including fleet services comprising design, construction, maintenance, and disposal activities for in-service the U.S. Navy nuclear ships; and maintenance services on nuclear reactor prototypes. Further, the company provides C5ISR systems and operations; application of artificial intelligence and machine learning to battlefield decisions; defensive and offensive cyberspace strategies and electronic warfare; live, virtual, and constructive solutions; unmanned, autonomous systems; and fleet sustainment; and critical nuclear operations. Huntington Ingalls Industries, Inc. was founded in 1886 and is headquartered in Newport News, Virginia.

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