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Howmet Aerospace Inc (HWM)

Fair Value
IndustrialsAerospace & DefenseUnited States

Fundamental

67

Price

$228.48

Market Cap

$91.05B

Part 1 · What the company is worth

Overview

Howmet Aerospace Inc. provides advanced engineered solutions for the aerospace and transportation industries in the United States, Japan, France, Germany, the United Kingdom, Mexico, Italy, Canada, Poland, China, and internationally. It operates through four segments: Engine Products, Fastening Systems, Engineered Structures, and Forged Wheels. The Engine Products segment offers airfoils and seamless rolled rings primarily for aircraft engines and industrial gas turbines; and rotating and structural parts. The Fastening Systems segment produces aerospace fastening systems, as well as commercial transportation, industrial, and other fasteners; and latches, bearings, fluid fittings, and installation tools. The Engineered Structures segment provides titanium ingots and mill products, aluminum and nickel forgings, and machined components and assemblies for aerospace and defense applications; and titanium forgings, extrusions, and forming and machining services for airframe, wing, aero-engine, and landing gear components. The Forged Wheels segment offers forged aluminum wheels and related products for heavy-duty trucks and commercial transportation markets. The company was formerly known as Arconic Inc. Howmet Aerospace Inc. was founded in 1888 and is based in Pittsburgh, Pennsylvania.

No editorial profile for this company yet

Direct competitors

Who this company fights with for the same customers

Compare

Generated on September 18, 2026 with claude-haiku-4-5 — shared with all users

P/E: 55.4Score: 70Market cap: $24.60B

Its High Performance Materials & Components business supplies titanium and nickel-superalloy forgings and engine components to the same aero-engine and airframe programmes Howmet serves.

Precision Castparts Corp.Not tracked

Named first in Howmet's own 10-K, it bids for the same jet-engine investment castings, forgings, structural parts and aerospace fasteners sold to the same engine makers and airframers.

Consolidated Precision Products Corp.Not tracked

A pure-play investment caster of aerospace and defence components, competing for the same airfoil and structural casting contracts from engine OEMs.

Doncasters Group Ltd.Not tracked

UK maker of superalloy castings and precision components for aero engines and industrial gas turbines, chasing the same turbine-hot-section work Howmet bids for.

LISI S.A. — LISI AerospaceNot tracked

The European reference in aerospace fasteners and assembly components, competing head-on with Howmet's Fastening Systems segment on Airbus and Boeing programmes.

Accuride CorporationNot tracked

Cited by Howmet as a leading rival in aluminium commercial-vehicle wheels, selling to the same truck and trailer fleets as the Forged Wheels segment.

Balance Sheet & Liquidity

Revenue

$9.12B

Trailing 12 months (through 6/30/2026)

Net Income

$1.87B

Trailing 12 months (through 6/30/2026)

Free Cash Flow

$1.43B

Total Equity

$5.35B

Total Liabilities

$5.83B

Current Ratio

1.82

Interest Coverage

-

Debt/EBITDA

2.00

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

General caseFairly Valued

Fair Value

$259.97

Current Price

$228.48

Margin of Safety

+12.1%

Fair Value Range

$191.90 - $328.04

Spread across the valuation methods used, not a statistically calibrated confidence interval.

Estimation Methods

Analyst price target:$337.74
Discounted cash flow (DCF):$211.64
Earnings multiple (P/E):$171.44
Graham growth formula:$241.44
Earnings power value (EPV):$41.91
Justified P/B:$53.14
Dividend discount (Gordon):$6.11
P/FFO, funds from operations:$71.86
Mid-cycle earnings:$59.11
Revenue multiple:$64.50
Analyst Consensus:Strong Buy (23B / 5H / 0S)
Last Earnings Surprise:+5.71%

Valuation Metrics

P/E Ratio

48.75

ROE

28.2%

P/B Ratio

15.74

P/FCF

50.36

Gross Margin

-

ROIC

18.0%

Profitability Radar

Value Creation (Economic Moat)

ROIC

18.0%

WACC

11.1%

ROIC − WACC

+7.0 pp

ROIC exceeds the cost of capital — the company is creating value for shareholders.

Fundamental Analysis Criteria

Passed (19)

  • EPS shows upward trend
  • Price CAGR 32.08%
  • ROIC 18.0%
  • Debt/Equity ratio
  • Operating Margin 27.4%
  • Positive Free Cash Flow
  • CapEx intensity
  • Current Ratio
  • Debt/EBITDA
  • Return on Tangible Assets
  • ROE 34.4%
  • Revenue Growth 5Y 9.4%
  • Analyst Consensus 82% Buy
  • Earnings Surprise avg 6.6%
  • PEG Ratio 1.10
  • Earnings Quality (OCF/NI) 1.19
  • Share Dilution -1.1%
  • Net Margin Trend 20.5% vs 18.1%
  • Piotroski F-Score 7/9

Failed (6)

  • EPS CAGR 1.30%
  • P/FCF 50.36
  • P/B Ratio 15.74
  • Low reliance on intangibles
  • Price below Graham Number
  • DCF valuation (Overvalued)

Unavailable (3)

  • Gross Margin NaN%
  • Dividend Payout NaN%
  • Interest Coverage

Piotroski F-Score

7/9

Strong financial health

score
criteria

Earnings Quality

1.19

High quality: earnings backed by cash

Share Dilution

-1.1%

Buying back shares. Shareholder friendly

Institutional Holdings

Governance

Executive Team

NameTitleAge
Mr. John C. Plant FCAExecutive Chairman & CEO71
Mr. Patrick Joseph WinterlichExecutive VP & CFO55
Mr. Neil E. MarchukExecutive VP & Chief Administrative Officer67
Mr. Michael Niem ChanatryVP & Chief Commercial Officer65
Mr. W. Paul MyronVice President of Finance, Strategy & Operations59
Mr. Paul Thomas Luther Jr.Vice President of Investor Relations-
Mr. Jonathan A. ArenaExecutive VP, Chief Legal and Compliance Officer & Secretary-
Ms. Ann HumphreyChief Human Resources Officer & VP-
Mr. Randall SchepsPresident of Forged Wheels57
Ms. Margaret S. Lam Esq.Assistant Secretary, Associate General Counsel and Chief Securities & Governance Counsel-

Audit Risk

7

Board Risk

5

Compensation Risk

10

Shareholder Rights Risk

4

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Documents

  • Annual Report (10-K)

    A yearly overview of the business, its financial results, and the risks it faces.

    Filed on 2026-02-12

    View document
  • Quarterly Report (10-Q)

    A snapshot of financial performance for the most recent three-month period.

    Filed on 2026-08-06

    View document
  • Current Report (8-K)

    An announcement of a major event, such as a leadership change or big news.

    Filed on 2026-08-06

    View document

via SEC EDGAR

Income History

via SEC EDGAR

Latest News

Recent headlines for HWM, sourced from Markets Gazette.

  • 6/16/2026POSITIVE
    $1000 Invested In Howmet Aerospace 5 Years Ago Would Be Worth This Much Today

    An investment of $1000 in Howmet Aerospace Inc. (HWM) five years ago would have yielded a significant return, now valued at approximately $3,500. This performance highlights the company's robust growth and market resilience over the past half-decade. Investors who held HWM stock have benefited from its strategic initiatives and operational efficiency, which have consistently driven shareholder value. The substantial appreciation suggests strong underlying business fundamentals and positive market sentiment towards the aerospace and defense sector, making it an attractive prospect for long-term investment.

  • 5/7/2026POSITIVE
    Relief Hits Aerospace ETFs As Howmet Shrugs Off Iran Conflict Risks

    Howmet Aerospace Inc. has raised its full-year outlook, signaling resilience despite geopolitical tensions. The company reported first-quarter earnings that surpassed analyst expectations, with revenue climbing 5% year-over-year to $1.7 billion. This positive performance has eased concerns for aerospace exchange-traded funds (ETFs) that hold Howmet stock, mitigating worries about potential disruptions from regional conflicts. The company's ability to navigate these risks and deliver improved financial guidance suggests a robust operational framework and potential for continued growth, offering a positive signal to investors in the aerospace sector.

  • 3/27/2026POSITIVE
    $100 Invested In Howmet Aerospace 5 Years Ago Would Be Worth This Much Today

    An investment of $100 in Howmet Aerospace (HWM) five years ago would have yielded a significant return, demonstrating strong performance for the aerospace and defense manufacturer. While specific figures are not detailed in the provided snippet, the headline implies substantial growth, likely driven by factors such as increased defense spending, successful product development, and robust demand from the aerospace sector. Investors looking at HWM today might consider its historical performance as an indicator of its resilience and potential for future capital appreciation, especially within the context of a recovering global aviation market and ongoing geopolitical developments.

  • 2/23/2026NEUTRAL
    If You Invested $100 In Howmet Aerospace Stock 5 Years Ago, You Would Have This Much Today

    Analyzing past performance is a common exercise for investors looking to gauge a stock's trajectory. Articles that calculate the return on a hypothetical investment, as in the case of Howmet Aerospace, offer a historical perspective on the company's ability to generate shareholder value over the long term. Howmet Aerospace, a leader in engineered components for the aerospace and defense industries, has navigated various market cycles. However, it is crucial to remember that such analyses are purely retrospective and do not constitute a forecast for the future. Market conditions, competition, and corporate strategies can change dramatically. Therefore, while useful for context, this data does not represent an operational trading signal and should be supplemented with a thorough fundamental analysis of the company's future prospects.

via Markets Gazette