Howmet Aerospace Stock Current Valuation
| HWM Stock | USD 115.84 2.60 2.20% |
Valuation analysis of Howmet Aerospace helps investors to measure Howmet Aerospace's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. As of the 26th of November 2024, Enterprise Value Over EBITDA is likely to grow to 18.30. Also, Enterprise Value Multiple is likely to grow to 18.30. Fundamental drivers impacting Howmet Aerospace's valuation include:
Price Book 10.8178 | Enterprise Value 51.1 B | Enterprise Value Ebitda 29.584 | Price Sales 6.6186 | Forward PE 38.1679 |
Overvalued
Today
Please note that Howmet Aerospace's price fluctuation is very steady at this time. Calculation of the real value of Howmet Aerospace is based on 3 months time horizon. Increasing Howmet Aerospace's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Howmet stock is determined by what a typical buyer is willing to pay for full or partial control of Howmet Aerospace. Since Howmet Aerospace is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Howmet Stock. However, Howmet Aerospace's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 115.84 | Real 85.85 | Target 55.67 | Hype 116.35 | Naive 114.99 |
The intrinsic value of Howmet Aerospace's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Howmet Aerospace's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Howmet Aerospace helps investors to forecast how Howmet stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Howmet Aerospace more accurately as focusing exclusively on Howmet Aerospace's fundamentals will not take into account other important factors: Howmet Aerospace Company Current Valuation Analysis
Howmet Aerospace's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Howmet Aerospace Current Valuation | 51.09 B |
Most of Howmet Aerospace's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Howmet Aerospace is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Howmet Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Howmet Aerospace is extremely important. It helps to project a fair market value of Howmet Stock properly, considering its historical fundamentals such as Current Valuation. Since Howmet Aerospace's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Howmet Aerospace's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Howmet Aerospace's interrelated accounts and indicators.
Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Howmet Aerospace has a Current Valuation of 51.09 B. This is much higher than that of the Aerospace & Defense sector and 104.61% higher than that of the Industrials industry. The current valuation for all United States stocks is significantly lower than that of the firm.
Howmet Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Howmet Aerospace's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Howmet Aerospace could also be used in its relative valuation, which is a method of valuing Howmet Aerospace by comparing valuation metrics of similar companies.Howmet Aerospace is currently under evaluation in current valuation category among its peers.
Howmet Aerospace ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Howmet Aerospace's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Howmet Aerospace's managers, analysts, and investors.Environmental | Governance | Social |
Howmet Fundamentals
| Return On Equity | 0.26 | ||||
| Return On Asset | 0.0905 | ||||
| Profit Margin | 0.15 % | ||||
| Operating Margin | 0.22 % | ||||
| Current Valuation | 51.09 B | ||||
| Shares Outstanding | 406.26 M | ||||
| Shares Owned By Insiders | 1.05 % | ||||
| Shares Owned By Institutions | 92.70 % | ||||
| Number Of Shares Shorted | 7.39 M | ||||
| Price To Earning | 36.86 X | ||||
| Price To Book | 10.82 X | ||||
| Price To Sales | 6.62 X | ||||
| Revenue | 6.64 B | ||||
| Gross Profit | 1.6 B | ||||
| EBITDA | 1.47 B | ||||
| Net Income | 765 M | ||||
| Cash And Equivalents | 791 M | ||||
| Cash Per Share | 1.10 X | ||||
| Total Debt | 3.83 B | ||||
| Debt To Equity | 1.31 % | ||||
| Current Ratio | 2.06 X | ||||
| Book Value Per Share | 10.93 X | ||||
| Cash Flow From Operations | 901 M | ||||
| Short Ratio | 3.56 X | ||||
| Earnings Per Share | 2.61 X | ||||
| Price To Earnings To Growth | 0.80 X | ||||
| Target Price | 123.19 | ||||
| Number Of Employees | 23.2 K | ||||
| Beta | 1.29 | ||||
| Market Capitalization | 48.12 B | ||||
| Total Asset | 10.43 B | ||||
| Retained Earnings | 1.72 B | ||||
| Working Capital | 1.53 B | ||||
| Current Asset | 6.02 B | ||||
| Current Liabilities | 4.19 B | ||||
| Annual Yield | 0 % | ||||
| Net Asset | 10.43 B | ||||
| Last Dividend Paid | 0.23 |
About Howmet Aerospace Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Howmet Aerospace's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Howmet Aerospace using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Howmet Aerospace based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
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Is Aerospace & Defense space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Howmet Aerospace. If investors know Howmet will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Howmet Aerospace listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.8 | Dividend Share 0.23 | Earnings Share 2.61 | Revenue Per Share 17.775 | Quarterly Revenue Growth 0.107 |
The market value of Howmet Aerospace is measured differently than its book value, which is the value of Howmet that is recorded on the company's balance sheet. Investors also form their own opinion of Howmet Aerospace's value that differs from its market value or its book value, called intrinsic value, which is Howmet Aerospace's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Howmet Aerospace's market value can be influenced by many factors that don't directly affect Howmet Aerospace's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Howmet Aerospace's value and its price as these two are different measures arrived at by different means. Investors typically determine if Howmet Aerospace is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Howmet Aerospace's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.