Bessemer Group Inc. Trims Stake in Howmet Aerospace Inc. $HWM

Key Points

• Bessemer Group Inc. cut its Howmet Aerospace stake by 5.2% in the fourth quarter, selling 117,939 shares and ending with 2.15 million shares valued at about $440.7 million.
• Howmet reported strong quarterly results, posting EPS of $1.22 versus $1.11 expected and revenue of $2.31 billion versus $2.24 billion expected, with revenue up 19.1% year over year.
• The company raised investor appeal with a dividend and favorable analyst sentiment: it declared a quarterly dividend of $0.12 per share, while analysts maintain a consensus rating of Moderate Buy with a $283.84 target price.

Bessemer Group Inc. reduced its stake in shares of Howmet Aerospace Inc. (NYSE:HWM - Free Report) by 5.2% in the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 2,149,709 shares of the company's stock after selling 117,939 shares during the quarter. Howmet Aerospace accounts for 0.7% of Bessemer Group Inc.'s holdings, making the stock its 26th largest position. Bessemer Group Inc. owned approximately 0.53% of Howmet Aerospace worth $440,735,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors also recently bought and sold shares of the company. Sound Income Strategies LLC raised its position in Howmet Aerospace by 66.7% during the fourth quarter. Sound Income Strategies LLC now owns 125 shares of the company's stock valued at $28,000 after acquiring an additional 50 shares in the last quarter. Newbridge Financial Services Group Inc. raised its position in Howmet Aerospace by 119.7% during the second quarter. Newbridge Financial Services Group Inc. now owns 134 shares of the company's stock valued at $25,000 after acquiring an additional 73 shares in the last quarter. Manning & Napier Advisors LLC purchased a new position in Howmet Aerospace during the third quarter valued at approximately $32,000. Flagship Wealth Advisors LLC purchased a new position in Howmet Aerospace during the third quarter valued at approximately $33,000. Finally, Laurel Wealth Advisors LLC purchased a new position in Howmet Aerospace during the fourth quarter valued at approximately $36,000. 90.46% of the stock is currently owned by hedge funds and other institutional investors.

Howmet Aerospace Stock Down 0.4%

Howmet Aerospace stock opened at $272.02 on Friday. The stock has a market capitalization of $108.84 billion, a PE ratio of 63.11, a price-to-earnings-growth ratio of 2.17 and a beta of 1.19. Howmet Aerospace Inc. has a 12 month low of $159.00 and a 12 month high of $280.74. The business has a 50 day simple moving average of $246.95 and a 200-day simple moving average of $226.23. The company has a debt-to-equity ratio of 0.73, a current ratio of 2.44 and a quick ratio of 1.59.

Howmet Aerospace (NYSE:HWM - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The company reported $1.22 EPS for the quarter, beating analysts' consensus estimates of $1.11 by $0.11. The business had revenue of $2.31 billion during the quarter, compared to analysts' expectations of $2.24 billion. Howmet Aerospace had a return on equity of 29.27% and a net margin of 20.23%.The business's revenue was up 19.1% compared to the same quarter last year. During the same period in the previous year, the business earned $0.86 earnings per share. Howmet Aerospace has set its FY 2026 guidance at 4.880-5.000 EPS and its Q2 2026 guidance at 1.220-1.240 EPS. On average, analysts anticipate that Howmet Aerospace Inc. will post 5.02 EPS for the current fiscal year.

Howmet Aerospace Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, May 26th. Investors of record on Friday, May 8th will be given a dividend of $0.12 per share. This represents a $0.48 annualized dividend and a dividend yield of 0.2%. The ex-dividend date is Friday, May 8th. Howmet Aerospace's payout ratio is presently 11.14%.

Insider Activity at Howmet Aerospace

In related news, EVP Neil Edward Marchuk sold 41,932 shares of the business's stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $269.50, for a total transaction of $11,300,674.00. Following the completion of the sale, the executive vice president directly owned 65,105 shares in the company, valued at approximately $17,545,797.50. The trade was a 39.18% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Barbara Lou Shultz sold 1,000 shares of the business's stock in a transaction that occurred on Thursday, February 26th. The stock was sold at an average price of $260.00, for a total value of $260,000.00. Following the sale, the vice president owned 23,874 shares of the company's stock, valued at $6,207,240. The trade was a 4.02% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 88,082 shares of company stock valued at $22,924,929 over the last quarter. 0.85% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on HWM shares. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $320.00 price target on shares of Howmet Aerospace in a research report on Friday, May 8th. Sanford C. Bernstein reiterated an "outperform" rating and set a $280.00 price target on shares of Howmet Aerospace in a research report on Tuesday, February 17th. Truist Financial set a $280.00 price target on Howmet Aerospace in a research report on Wednesday, March 11th. KeyCorp began coverage on Howmet Aerospace in a research report on Wednesday, March 25th. They issued a "sector weight" rating for the company. Finally, Wall Street Zen upgraded Howmet Aerospace from a "hold" rating to a "buy" rating in a research report on Sunday, January 18th. Eighteen investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $283.84.

About Howmet Aerospace

Howmet Aerospace Inc is an industrial technology company that designs, manufactures and repairs engineered metal products for the aerospace, transportation and industrial markets. Its product portfolio includes precision castings and forgings, engineered fasteners, seamless rolled rings, and complex components for turbine engines, airframes and industrial gas turbines. The company also provides aftermarket services such as component repair, overhaul and parts distribution to support the operating fleet of commercial and military customers.

Howmet serves a global customer base of original equipment manufacturers (OEMs) and aftermarket operators, with manufacturing, service and distribution facilities across North America, Europe and Asia.

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