Constellium (NYSE:CSTM) Stock Rating Upgraded by UBS Group

Key Points

• UBS Group upgraded Constellium to a "strong-buy", and several brokers have raised price targets leaving the stock with a consensus “Moderate Buy” rating and an average price target of $36.60.
• Constellium reported a material Q1 EPS beat of $1.42 versus $0.62 expected and revenue up 24.4% year‑over‑year, supporting higher analyst earnings estimates for the year.
• The board approved a $300 million repurchase (about 8.8% of shares), but significant insider selling (over 318,000 shares in the last 90 days) presents a mixed signal for investors.

Constellium (NYSE:CSTM - Get Free Report) was upgraded by equities research analysts at UBS Group to a "strong-buy" rating in a note issued to investors on Tuesday,Zacks.com reports.

A number of other equities research analysts have also issued reports on CSTM. Wells Fargo & Company boosted their target price on Constellium from $35.00 to $39.00 and gave the stock an "overweight" rating in a research report on Thursday, April 30th. JPMorgan Chase & Co. reissued a "neutral" rating and set a $34.00 price target (up from $30.00) on shares of Constellium in a research report on Thursday, April 30th. Zacks Research lowered Constellium from a "strong-buy" rating to a "hold" rating in a research report on Monday, April 13th. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $40.00 price target on shares of Constellium in a research report on Thursday, April 30th. Finally, BMO Capital Markets set a $32.00 price target on Constellium and gave the company an "outperform" rating in a research report on Thursday, April 9th. One 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 stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $36.60.

Constellium Stock Up 1.3%

Shares of Constellium stock opened at $33.40 on Tuesday. The stock's fifty day moving average is $27.34 and its 200-day moving average is $22.18. The firm has a market capitalization of $4.55 billion, a PE ratio of 10.81 and a beta of 1.54. The company has a quick ratio of 0.60, a current ratio of 1.39 and a debt-to-equity ratio of 1.71. Constellium has a 12-month low of $10.71 and a 12-month high of $33.86.

Constellium (NYSE:CSTM - Get Free Report) last announced its earnings results on Wednesday, April 29th. The industrial products company reported $1.42 earnings per share (EPS) for the quarter, topping analysts' consensus estimates 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 return on equity of 46.22% and a net margin of 4.87%.Constellium's revenue for the quarter was up 24.4% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.26 earnings per share. Equities analysts anticipate that Constellium will post 2.85 earnings per share for the current year.

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

Insider Transactions at Constellium

In other news, CFO Jack Q. Guo sold 41,717 shares of the company's stock in a transaction dated Tuesday, March 10th. The stock was sold at an average price of $25.87, for a total transaction of $1,079,218.79. Following the completion of the sale, the chief financial officer owned 190,879 shares in the company, valued at approximately $4,938,039.73. This represents a 17.94% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, SVP Nicolas Brun sold 17,701 shares of the company's stock in a transaction dated Monday, March 9th. The stock was sold at an average price of $24.67, for a total value of $436,683.67. Following the sale, the senior vice president owned 103,466 shares of the company's stock, valued at approximately $2,552,506.22. This trade represents a 14.61% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 318,327 shares of company stock valued at $8,882,905. Corporate insiders own 1.20% of the company's stock.

Institutional Trading of Constellium

Several large investors have recently made changes to their positions in CSTM. Farther Finance Advisors LLC boosted its stake in shares of Constellium by 6,985.7% during the 4th quarter. Farther Finance Advisors LLC now owns 1,488 shares of the industrial products company's stock worth $28,000 after acquiring an additional 1,467 shares in the last quarter. EverSource Wealth Advisors LLC boosted its stake in shares of Constellium by 578.6% during the 3rd 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. Allworth Financial LP boosted its stake in shares of Constellium by 52.5% during the 4th quarter. Allworth Financial LP now owns 2,074 shares of the industrial products company's stock worth $39,000 after acquiring an additional 714 shares in the last quarter. GAMMA Investing LLC boosted its stake in shares of Constellium by 29.7% during the 4th 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 boosted its stake in shares of Constellium by 53.7% during the 3rd 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. Institutional investors own 92.59% of the company's stock.

Key Stories Impacting Constellium

Here are the key news stories impacting Constellium this week:

• Positive Sentiment: Q1 results, buyback and potential Airbus/aircraft ramp — Constellium reported a large EPS beat and revenue growth, and the board authorized a $300M repurchase plan; coverage notes that an Airbus/aircraft demand upswing could materially boost earnings and returns. Article Title
• Positive Sentiment: UBS starts coverage with a Buy — UBS initiated coverage on Constellium with a Buy rating and a constructive price target, which can attract institutional flows and support valuation expansion. Article Title
• Positive Sentiment: Sector/analyst momentum — Coverage pieces (Kalkine, MarketBeat, Deutsche Bank, Wells Fargo, BMO) highlight improving aluminum cycle dynamics and several broker price‑target increases, reinforcing upside expectations. Article Title
• Neutral Sentiment: Durability questions remain — analysis cautions that investors should watch margin sustainability and free cash flow conversion; the strong quarter improves the setup but proof of consistent cash generation is required. Article Title
• Negative Sentiment: Large insider sale — Philippe Hoffmann sold 50,000 shares (~$1.6M) at ~ $31.92, reducing his stake by ~25.8%; some investors treat large insider sales as a negative signal. Article Title
• Negative Sentiment: Additional insider disposals — Other senior insiders (SVP Philip Jurkovic and Stephane Corre) also sold shares in the same window, which could temper sentiment despite operational positives. Article Title Article Title

About Constellium

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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