President Donald Trump will meet with several defense firms next week
Shipbuilding stock Huntington Ingalls Industries Inc (NYSE:HII) hit a fresh record high of $360.20 straight out of the gate today, last seen up just 0.1% at $353.77 and looking to eke its fourth consecutive win. The shares enjoyed a boost after Bloomberg reported President Donald Trump plans to meet with several defense firms next week to urge them to spend more on weapons, research, and development, rather than stock buybacks and dividends.
Huntington Ingalls Industries stock had already tacked on 5% yesterday after Trump announced plans for a class of new Navy battleships, which will be part of his "Golden Fleet" initiative. Construction will begin with two warships, and eventually expand to 20-25 vessels.
The broader defense sector saw immense growth in 2025, with HII adding 87.1% since the start of the year. Long-term support from the ascending 50-day moving average has helped guide the shares higher since April.
Huntington Ingalls Industries stock's typically quiet options pits are seeing more activity than usual this morning, with contracts being picked up at four times the usual pace. The January 16, 2026 360-strike call is the most popular, followed by the June 450 call, with new positions opening at the latter.
Luckily for these traders, options are reasonably priced at the moment. This is per HII's Schaeffer's Volatility Index (SVI) of 30% that sits in the low 21st percentile of its annual range.