HIINEUTRAL

HII Gross Margin Analysis

12.6%

Updated 1371h ago·SEC filings & market data

Key Takeaway

Gross margin is the share of revenue left after paying direct production costs—here, HII keeps 12.6 cents per dollar of sales.

Sector Performance

4th percentile

HII

12.6%

Sector Median

47.4%

Sector Avg

48.1%

Prior Period

13.2%(Jul 2026)

↓ Declining
📊

Deep Analysis

Gross margin is the share of revenue left after paying direct production costs—here, HII keeps 12.6 cents per dollar of sales.

That is far under the sector median of 46.4%, placing the company at the 4th percentile among peers, so most competitors retain a much larger cushion. The trend data is incomplete: year-over-year change is N/A, but quarter-over-quarter the margin fell 4.5% from 13.2% to 12.6%. A level this low, combined with a recent decline, points to weak pricing power or higher input costs, increasing downside risk for earnings. This metric contradicts the overall NEUTRAL verdict, since the margin signals fundamental pressure rather than balance.

Frequently Asked Questions

What does the Gross Margin tell investors about HII?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

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HII

12.6%

Sector Median

47.4%

Sector Avg

48.1%

How HII's Gross Margin compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.