Howmet Aerospace Valuation
| HWM Stock | USD 207.21 0.87 0.42% |
At this time, the firm appears to be undervalued. Howmet Aerospace retains a regular Real Value of $227.41 per share. The prevalent price of the firm is $207.21. Our model calculates the value of Howmet Aerospace from evaluating the firm fundamentals such as Return On Asset of 0.11, return on equity of 0.3, and Current Valuation of 86.84 B as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Howmet Aerospace's valuation include:
Price Book 16.528 | Enterprise Value | Enterprise Value Ebitda 38.7862 | Price Sales 10.5018 | Forward PE 47.3934 |
Undervalued
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 207.21 | Real 227.41 | Target 246.75 | Hype 208.2 | Naive 201.09 |
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: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Howmet Aerospace's intrinsic value based on its ongoing forecasts of Howmet Aerospace's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Howmet Aerospace's closest peers.
Howmet Aerospace Cash |
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Howmet Revenue by Product
Howmet Aerospace Total Value Analysis
Howmet Aerospace is currently anticipated to have company total value of 86.84 B with market capitalization of 83.75 B, debt of 3.47 B, and cash on hands of 564 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Howmet Aerospace fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
86.84 B | 83.75 B | 3.47 B | 564 M |
Howmet Aerospace Investor Information
About 94.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 0.8. Howmet Aerospace last dividend was issued on the 6th of February 2026. The entity had 667:500 split on the 1st of November 2016. Based on the measurements of operating efficiency obtained from Howmet Aerospace's historical financial statements, Howmet Aerospace may be sliding down financialy. It has an above-average chance of going through some form of financial crunch next quarter.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.11 | 0.2 |
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| Total Cash From Operating Activities | 873.2 M | 1.2 B |
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Howmet Aerospace Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Howmet Aerospace has an asset utilization ratio of 70.63 percent. This suggests that the Company is making $0.71 for each dollar of assets. An increasing asset utilization means that Howmet Aerospace is more efficient with each dollar of assets it utilizes for everyday operations.Howmet Aerospace Profitability Analysis
Based on the measurements of profitability obtained from Howmet Aerospace's financial statements, Howmet Aerospace is yielding more profit at the present time then in previous quarter. It has a moderate chance of reporting better profitability numbers in March. Profitability indicators assess Howmet Aerospace's ability to earn profits and add value for shareholders.Net Income | First Reported 2003-03-31 | Previous Quarter 407 M | Current Value 385 M | Quarterly Volatility 659.5 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Gross Profit Margin | 0.16 | 0.25 |
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| Operating Profit Margin | 0.11 | 0.2 |
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| Pretax Profit Margin | 0.18 | 0.17 |
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For Howmet Aerospace profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Howmet Aerospace to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Howmet Aerospace utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Howmet Aerospace's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Howmet Aerospace over time as well as its relative position and ranking within its peers.
Howmet Aerospace Earnings per Share Projection vs Actual
The next projected EPS of Howmet Aerospace is estimated to be 0.9489 with future projections ranging from a low of 0.9175 to a high of 0.955. Howmet Aerospace's most recent 12-month trailing earnings per share (EPS TTM) is at 3.54. Please be aware that the consensus of earnings estimates for Howmet Aerospace is based on EPS before non-recurring items and includes expenses related to employee stock options.Howmet Aerospace Earnings Estimation Breakdown
The calculation of Howmet Aerospace's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Howmet Aerospace is estimated to be 0.9489 with the future projection ranging from a low of 0.9175 to a high of 0.955. Please be aware that this consensus of annual earnings estimates for Howmet Aerospace is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
0.92 Lowest | Expected EPS | 0.95 Highest |
Howmet Aerospace Earnings Projection Consensus
Suppose the current estimates of Howmet Aerospace's value are higher than the current market price of the Howmet Aerospace stock. In this case, investors may conclude that Howmet Aerospace is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Howmet Aerospace's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 31st of December 2025 | Current EPS (TTM) | |
| 23 | 94.03% | 0.95 | 0.9489 | 3.54 |
Howmet Aerospace Ownership Allocation
Howmet Aerospace has a total of 402.5 Million outstanding shares. The majority of Howmet Aerospace outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in Howmet Aerospace to benefit from reduced commissions. Consequently, third-party entities are subject to a different set of regulations than regular investors in Howmet Aerospace. Please pay attention to any change in the institutional holdings of Howmet Aerospace as this could imply that something significant has changed or is about to change at the company. Please note that on November 19, 2025, Representative Byron Donalds of US Congress acquired under $15k worth of Howmet Aerospace's common stock.Howmet Aerospace Profitability Analysis
The company reported the last year's revenue of 7.43 B. Total Income to common stockholders was 1.16 B with profit before taxes, overhead, and interest of 2.65 B.Howmet Aerospace Past Distributions to stockholders
About Howmet Aerospace Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Howmet Aerospace. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Howmet Aerospace based exclusively on its fundamental and basic technical indicators. By analyzing Howmet Aerospace's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Howmet Aerospace's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Howmet Aerospace. We calculate exposure to Howmet Aerospace's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Howmet Aerospace's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 2.4 B | 2.5 B | |
| Pretax Profit Margin | 0.17 | 0.18 | |
| Operating Profit Margin | 0.20 | 0.11 | |
| Net Profit Margin | 0.14 | 0.15 | |
| Gross Profit Margin | 0.25 | 0.16 |
A single share of Howmet Aerospace represents a small ownership stake in the entity. As a stockholder of Howmet, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Howmet Aerospace Dividends Analysis For Valuation
At this time, Howmet Aerospace's Dividend Payout Ratio is very stable compared to the past year. As of the 2nd of February 2026, Dividend Paid And Capex Coverage Ratio is likely to grow to 2.85, while Dividends Paid is likely to drop about 100.8 M. . At this time, Howmet Aerospace's Earnings Yield is very stable compared to the past year. As of the 2nd of February 2026, Price Earnings Ratio is likely to grow to 36.51, while Retained Earnings are likely to drop about 2.4 B.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 125.3 M | 100.8 M | |
| Dividend Payout Ratio | 0.08 | 0.09 | |
| Dividend Paid And Capex Coverage Ratio | 2.72 | 2.85 |
There are various types of dividends Howmet Aerospace can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Howmet shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Howmet Aerospace directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Howmet pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Howmet Aerospace by the value of the dividends paid out.
Howmet Aerospace Growth Indicators
Investing in growth stocks can be very risky. If the company such as Howmet Aerospace does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 410 M | |
| Quarterly Earnings Growth Y O Y | 0.173 | |
| Forward Price Earnings | 47.3934 |
Howmet Aerospace Current Valuation Indicators
Howmet Aerospace's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Howmet Aerospace's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Howmet Aerospace, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Howmet Aerospace's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Howmet Aerospace's worth.When determining whether Howmet Aerospace is a strong investment it is important to analyze Howmet Aerospace's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Howmet Aerospace's future performance. For an informed investment choice regarding Howmet Stock, refer to the following important reports: Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Howmet Aerospace. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in american community survey. To learn how to invest in Howmet Stock, please use our How to Invest in Howmet Aerospace guide.You can also try the Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
Will Aerospace & Defense sector continue expanding? Could Howmet diversify its offerings? Factors like these will boost the valuation of Howmet Aerospace. Market participants price Howmet higher when confident in its future expansion prospects. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Howmet Aerospace data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth 0.173 | Dividend Share 0.52 | Earnings Share 3.54 | Revenue Per Share | Quarterly Revenue Growth 0.138 |
Investors evaluate Howmet Aerospace using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Howmet Aerospace's intrinsic value—the estimated true worth—helps identify when the stock trades at a discount or premium to fair value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. External factors like market trends, sector rotation, and investor psychology can cause Howmet Aerospace's market price to deviate significantly 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. Conversely, Howmet Aerospace's market price signifies the transaction level at which participants voluntarily complete trades.