Huntington Ingalls Clinches Deal to Support Lionfish SUUV Production

Huntington Ingalls Industries HII recently secured a deal that will offer support and ancillary equipment to aid the production of the Lionfish Small Unmanned Undersea Vehicle (“SUUV”). The deal has been provided by the Naval Sea Systems Command, Washington, D.C.Valued at $31.9 million, the contract is expected to be completed by December 2025. The work related to this deal will be carried out in Pocasset, MA, and Hampton, VA.HII's Proficiency in UUVs HII is a manufacturer of unmanned undersea vehicles (UUVs) worldwide. It has delivered more than 600 UUVs to 30 countries, including 14 NATO members, so far. Its Remote Exploration and Mapping Unmanned System (REMUS) family of UUVs comprises low-logistics UUVs that can be rapidly deployed from any vessel, with their common usage in mine countermeasures, antisubmarine warfare, search and recovery.The U.S. Navy’s Lionfish System is based on HII's REMUS 300 UUV and is a highly portable, two-person SUUV with an open architecture design and versatile payload options.The proven expertise of HII in the UUV domain is likely to have led to a steady inflow of contracts for the company, like the latest one.HII’s Growth Prospects UUVs are known for their capacity to perform hazardous maritime tasks, such as mine countermeasure missions and port patrol. As a result, as investments in undersea combat capabilities have expanded dramatically in recent years, so has the demand for cutting-edge unmanned underwater vehicles.The Mordor Intelligence firm projects the Unmanned Sea Systems market to witness a CAGR of 13.8% during the 2024-2029 period. This growth prospect is anticipated to bode well for Huntington Ingalls, the largest producer of UUVs worldwide.HII’s UUV portfolio consists of Remus 100, Remus 300, Remus 620 and Remus 6000, which enjoy solid demand in the Unmanned Sea Systems market.Opportunities for Other Defense Companies A few other defense players that can gain from the expanding Unmanned Sea Systems market are The Boeing Company BA, BAE Systems BAESY and General Dynamics Corp. GD.Boeing’s Echo Voyager is a fully autonomous XLUUV-class UUV that can be used for various missions, which were previously impossible due to traditional UUV limitations. The vehicle's superior autonomy allows it to operate at sea for months, providing a more cost-effective, mission-capable alternative than standard UUVs.Boeing boasts a long-term (three to five years) earnings growth rate of 19.3%. The Zacks Consensus Estimate for 2025 sales indicates an improvement of 22.5% from the 2024 estimated figure.BAE Systems’ Riptide UUV-12 is easily adaptable to satisfy a wide range of mission requirements, including those requiring bigger and more powerful payloads. It can provide essential abilities such as Radio Frequency signal collecting, active acoustics, Acoustic Identification of Friend or Foe, mission autonomy and navigation.The stock boasts a long-term earnings growth rate of 11.1%. The Zacks Consensus Estimate for BAESY’s 2024 sales implies an improvement of 37.3%.General Dynamics' Bluefin SandShark is a one-person-portable, low-cost autonomous underwater vehicle meant to take advantage of today's tiny sensors while serving as a development platform for future generations.GD stock boasts a long-term earnings growth rate of 11.7%. The Zacks Consensus Estimate for General Dynamics’ 2024 sales implies an improvement of 13%.HII Stock Price Movement In the past month, HII shares have fallen 3.5% compared with the industry’s 2.2% decline.Image Source: Zacks Investment ResearchHII’s Zacks Rank Huntington Ingalls currently has a Zacks Rank #5 (Strong Sell).You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Free: 5 Stocks to Buy As Infrastructure Spending SoarsTrillions of dollars in Federal funds have been earmarked to repair and upgrade America’s infrastructure. In addition to roads and bridges, this flood of cash will pour into AI data centers, renewable energy sources and more.In, you’ll discover 5 surprising stocks positioned to profit the most from the spending spree that’s just getting started in this space.Download How to Profit from the Trillion-Dollar Infrastructure Boom absolutely free today.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Boeing Company (BA): Free Stock Analysis Report General Dynamics Corporation (GD): Free Stock Analysis Report Bae Systems PLC (BAESY): Free Stock Analysis Report Huntington Ingalls Industries, Inc. (HII): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks