We recently published a list of Top 10 Growing Aerospace and Defense Stocks For Trump’s Presidency. In this article, we are going to take a look at where Huntington Ingalls Industries, Inc. (NYSE:HII) stands against other top growing aerospace and defense stocks for Trump’s Presidency.
There is carnage in the US stock market as the major indices continue to shed points after last week’s aggressive selloff. The Dow was down over 2% with the S&P losing nearly 3% of its value. Nasdaq continued to be the worst of the three, down 4% by market close.
As tariffs continue to spook markets, we look at sectors that are either a safer bet amid the volatility, or provide near-term growth opportunities. In the Aerospace and Defense Industries, such an opportunity is currently presenting itself.
The US is signaling to the rest of the world that it needs to spend more on its own defense rather than relying on the US for military aid. This is making major economies of the world rethink their defense budget allocations.
Since most of the Western world buys its military equipment from the US, the money is eventually going to flow into US companies. This simple bullish thesis is what’s driving the industry and we believe it is time for investors to take positions in these stocks to benefit from this.
To come up with the list of 10 buy and forget Aerospace and Defense stocks for Trump’s Presidency, we only considered stocks with a market cap of at least $2 billion that are the best performers so far in 2025.
A towering military warship off the shore, its hull representing the companies commitment to the defense sector.
Huntington Ingalls Industries, Inc. (NYSE:HII)
Huntington Ingalls Industries, Inc. is a builder, designer, and repairer of military ships. The company operates in Mission Technologies, Ingalls, and Newport News segments. The company’s stock is surging and is likely to continue going up this week.
The optimism comes from recent developments from the White House, with Donald Trump doubling down on efforts to boost the local shipbuilding industry, including through tax breaks. The move is aimed at strengthening the US military. The President went as far as saying that there will be a new office of shipbuilding in the White House, underscoring the urgency of the matter.
According to Citi analyst Jason Gursky, defense stocks like HII are a buy. These stocks have priced in a flat US defense revenue, which is unlikely to be the case now with Donald Trump’s focus on building the country’s defense. While the stock rises just like many other defense stocks, there is a chance that HII brings greater rewards thanks to its focus on shipbuilding.
Overall, HII ranks 7th on our list of top growing aerospace and defense stocks for Trump’s Presidency. While we acknowledge the potential of HII as a leading investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as HII but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
