Constellium (NYSE:CSTM) Director Sells $325,000.00 in Stock

Key Points

• Director Michiel Brandjes sold 10,400 shares on May 5 at an average of $31.25 for a total of $325,000, trimming his stake by 20.00% to 41,600 shares (about $1.3M).
• Constellium reported a strong Q1 beat (EPS $1.42 vs. $0.62 est., revenue $2.46B, +24.4% y/y) and the board authorized a $300 million buyback (≈8.8% of shares), with analysts holding a consensus "Moderate Buy" and $36.60 price target.
• Significant additional insider selling (e.g., Philippe Hoffmann ~50,000 shares ≈ $1.6M and CFO Jack Q. Guo 25,201 shares) may fuel near-term negative sentiment despite operational positives.

Constellium SE (NYSE:CSTM - Get Free Report) Director Michiel Brandjes sold 10,400 shares of the stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $31.25, for a total value of $325,000.00. Following the completion of the transaction, the director owned 41,600 shares in the company, valued at approximately $1,300,000. The trade was a 20.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website.

Constellium Stock Down 1.3%

Shares of NYSE CSTM traded down $0.44 during midday trading on Thursday, hitting $32.89. 1,535,904 shares of the company's stock were exchanged, compared to its average volume of 2,215,595. The firm's fifty day simple moving average is $27.34 and its 200-day simple moving average is $22.18. The company has a debt-to-equity ratio of 1.71, a current ratio of 1.39 and a quick ratio of 0.60. The company has a market cap of $4.48 billion, a PE ratio of 10.64 and a beta of 1.54. Constellium SE has a twelve month low of $10.90 and a twelve month high of $33.86.

Constellium (NYSE:CSTM - Get Free Report) last announced its quarterly earnings results on Wednesday, April 29th. The industrial products company reported $1.42 EPS for the quarter, beating the consensus estimate of $0.62 by $0.80. The company had revenue of $2.46 billion for the quarter, compared to analyst estimates of $2.43 billion. Constellium had a net margin of 4.87% and a return on equity of 46.22%. The firm's revenue was up 24.4% on a year-over-year basis. During the same period in the prior year, the firm posted $0.26 earnings per share. Research analysts predict that Constellium SE will post 2.85 EPS for the current fiscal year.

Constellium declared that its Board of Directors has approved a stock buyback plan on Thursday, March 12th that authorizes the company to repurchase $300.00 million in outstanding shares. This repurchase authorization authorizes the industrial products company to repurchase up to 8.8% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company's leadership believes its stock is undervalued.

Wall Street Analysts Forecast Growth

Several brokerages have commented on CSTM. Zacks Research lowered shares of Constellium from a "strong-buy" rating to a "hold" rating in a research note on Monday, April 13th. UBS Group began coverage on shares of Constellium in a research note on Tuesday. They issued a "buy" rating and a $38.00 price target on the stock. BMO Capital Markets set a $32.00 price target on shares of Constellium and gave the company an "outperform" rating in a research note on Thursday, April 9th. Wells Fargo & Company increased their price target on shares of Constellium from $35.00 to $39.00 and gave the company an "overweight" rating in a research note on Thursday, April 30th. Finally, JPMorgan Chase & Co. reiterated a "neutral" rating and issued a $34.00 price target (up from $30.00) on shares of Constellium in a research note on Thursday, April 30th. One investment analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $36.60.

Key Headlines Impacting Constellium

Here are the key news stories impacting Constellium this week:

• Positive Sentiment: Zacks upgraded CSTM to a Zacks Rank #1 (Strong Buy) and highlighted the stock as a momentum pick, which can attract retail and momentum-oriented flows. All You Need to Know About Constellium (CSTM) Rating Upgrade to Strong Buy
• Positive Sentiment: UBS initiated coverage with a Buy and $38 price target, arguing valuation still has upside and that traders may be “too bearish” on packaging spreads — this can prompt institutional interest. UBS initiates coverage of Constellium SE (CSTM) with buy recommendation
• Positive Sentiment: Operational positives: Constellium’s strong Q1 beat (large EPS beat, revenue growth) and a $300M share-repurchase authorization support earnings momentum and share-price upside. Stronger Q1 results and buybacks
• Positive Sentiment: Broker activity: several firms (Deutsche Bank, BMO, others) have raised targets or reiterated buys, which can lift expectations and multiple expansion. MarketBeat analyst coverage summary
• Neutral Sentiment: Balance-of-case commentary notes the rally depends on sustaining margins and free cash flow — investors should watch margin sustainability and FCF conversion rather than one quarter’s beat. Seeking Alpha caution on sustainability
• Negative Sentiment: Significant insider selling: Philippe Hoffmann sold 50,000 shares (~$1.6M), a sizable reduction that can be interpreted negatively by some investors. Philippe Hoffmann insider sale
• Negative Sentiment: Additional insider sales, including CFO Jack Q. Guo’s sale of 25,201 shares on May 5, add to the perception of insider profit-taking and may weigh on near-term sentiment. SEC filing: Jack Q. Guo Form 4

Institutional Investors Weigh In On Constellium

Several large investors have recently modified their holdings of CSTM. Farther Finance Advisors LLC lifted its holdings in shares of Constellium by 6,985.7% during the fourth quarter. Farther Finance Advisors LLC now owns 1,488 shares of the industrial products company's stock worth $28,000 after purchasing an additional 1,467 shares during the period. Allworth Financial LP lifted its holdings in shares of Constellium by 52.5% during the fourth quarter. Allworth Financial LP now owns 2,074 shares of the industrial products company's stock worth $39,000 after purchasing an additional 714 shares during the period. EverSource Wealth Advisors LLC raised its position in Constellium by 578.6% in the third quarter. EverSource Wealth Advisors LLC now owns 2,348 shares of the industrial products company's stock worth $35,000 after acquiring an additional 2,002 shares in the last quarter. GAMMA Investing LLC raised its position in Constellium by 29.7% in the fourth quarter. GAMMA Investing LLC now owns 3,089 shares of the industrial products company's stock worth $58,000 after acquiring an additional 707 shares in the last quarter. Finally, Quarry LP raised its position in Constellium by 53.7% in the third quarter. Quarry LP now owns 5,610 shares of the industrial products company's stock worth $83,000 after acquiring an additional 1,960 shares in the last quarter. 92.59% of the stock is owned by institutional investors and hedge funds.

Constellium Company Profile

Constellium SE is a global leader in the design and manufacture of high-performance aluminum products and solutions. The company serves key markets including aerospace, automotive, and packaging, offering advanced rolled and extruded aluminum sheet, plate and structural components. Its product portfolio encompasses precision-engineered parts for commercial and military aircraft, automotive body structures and closures, beverage and specialty packaging, as well as industrial and structural applications.

Established in 2011 through the consolidation of Rio Tinto Alcan's rolled-products and engineered-products businesses, Constellium has built a reputation for innovation in lightweighting and sustainability.

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