Comparing EVE (NYSE:EVEX) and Huntington Ingalls Industries (NYSE:HII)

EVE (NYSE:EVEX) and Huntington Ingalls Industries (NYSE:HII) are both aerospace companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, earnings, institutional ownership, valuation, profitability, risk and dividends.

Earnings and Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EVE	N/A	N/A	-$138.17 million	($0.63)	-6.98
Huntington Ingalls Industries	$11.54 billion	1.02	$550.00 million	$13.36	22.37

Huntington Ingalls Industries has higher revenue and earnings than EVE. EVE 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.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
EVE	N/A	-202.62%	-65.15%
Huntington Ingalls Industries	4.54%	11.34%	4.43%

Analyst Recommendations

This is a breakdown of current ratings for EVE and Huntington Ingalls Industries, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EVE	1	2	3	0	2.33
Huntington Ingalls Industries	1	4	3	0	2.25

EVE currently has a consensus target price of $6.83, indicating a potential upside of 55.48%. Huntington Ingalls Industries has a consensus target price of $262.67, indicating a potential downside of 12.12%. Given EVE’s stronger consensus rating and higher possible upside, equities analysts plainly believe EVE is more favorable than Huntington Ingalls Industries.

Risk and Volatility

EVE has a beta of 0.81, meaning that its share price is 19% less volatile than the S&P 500. Comparatively, Huntington Ingalls Industries has a beta of 0.38, meaning that its share price is 62% less volatile than the S&P 500.

Insider & Institutional Ownership

1.3% of EVE shares are owned by institutional investors. Comparatively, 90.5% of Huntington Ingalls Industries shares are owned by institutional investors. 0.3% of EVE shares are owned by insiders. Comparatively, 0.9% of Huntington Ingalls Industries shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Huntington Ingalls Industries beats EVE on 9 of the 12 factors compared between the two stocks.

About EVE

Eve Holding, Inc. is a special purpose acquisition company focused on the aviation sector. The company was founded on 7th August, 2020 and is headquartered in Melbourne, FL.

About Huntington Ingalls Industries

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.