Why Huntington Ingalls Stock Gained Speed in April
The U.S. shipbuilding industry has been in a lull since the height of the pandemic, with companies tied to pre-COVID contracts that are not nearly as profitable now.
But the budget winds in Washington appear to be shifting, and Huntington Ingalls Industries (NYSE: HII) is likely to be one of the primary beneficiaries if they do. Shares of Huntington Ingalls traded up 12.9% in April, according to data provided by S&P Global Market Intelligence, as investors begin to climb on board for what they believe will be a profitable voyage.
Huntington Ingalls has long been considered one of the most vulnerable among the largest defense contractors. The company is one of the two primary shipbuilders for the U.S. Navy, but unlike its vertically integrated peers, Huntington relies on ships for nearly all its revenue.
Source Fool.com
