The system and method for hyperspectral target identification provides for sue of a sensor array such that for a 2 by 2 pixel, each pixel is set to a different wavelength by employing a band pass filter, so that one can determine whether a cluster set is of a natural object or a man-made object. Using ratios of the collected energy within the partitioned sub-bands one can make near real-time declarations about targets and in some cases, friend or foe determinations.