Howmet Aerospace Inc. (NYSE:HWM) Receives Average Recommendation of "Moderate Buy" from Analysts

Key Points

• Analysts remain broadly bullish: Howmet Aerospace has a “Moderate Buy” consensus from 21 analysts, with 17 buy ratings and four holds. The average 12-month price target is $294.53.
• Strong quarterly performance: Howmet reported $1.22 in earnings per share, exceeding estimates of $1.11, while revenue rose 19.1% year over year to $2.31 billion. Shares opened at $282.98, up 2.1%.
• Dividend increased: The company raised its quarterly dividend from $0.12 to $0.14 per share, payable August 25, representing an annualized dividend of $0.56 and a 0.2% yield.

Howmet Aerospace Inc. (NYSE:HWM - Get Free Report) has been given an average rating of "Moderate Buy" by the twenty-one ratings firms that are currently covering the company, Marketbeat reports. Four investment analysts have rated the stock with a hold rating and seventeen have issued a buy rating on the company. The average twelve-month price objective among brokers that have updated their coverage on the stock in the last year is $294.5263.

A number of analysts have commented on HWM shares. Susquehanna increased their price target on shares of Howmet Aerospace from $300.00 to $330.00 and gave the company a "positive" rating in a research note on Friday, May 8th. Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a $320.00 price objective on shares of Howmet Aerospace in a research note on Friday, May 8th. BTIG Research upped their target price on shares of Howmet Aerospace from $275.00 to $300.00 and gave the company a "buy" rating in a report on Friday, May 8th. Citigroup raised their target price on shares of Howmet Aerospace from $303.00 to $311.00 and gave the company a "buy" rating in a research note on Wednesday, July 1st. Finally, UBS Group lifted their price target on Howmet Aerospace from $260.00 to $290.00 and gave the stock a "neutral" rating in a report on Friday, May 8th.

Howmet Aerospace Stock Up 2.1%

NYSE:HWM opened at $282.98 on Friday. The firm has a market capitalization of $113.22 billion, a price-to-earnings ratio of 65.66, a price-to-earnings-growth ratio of 2.18 and a beta of 1.19. Howmet Aerospace has a twelve month low of $169.45 and a twelve month high of $295.28. The stock's 50 day moving average price is $269.94 and its two-hundred day moving average price is $251.65. The company has a quick ratio of 1.59, a current ratio of 2.44 and a debt-to-equity ratio of 0.73.

Howmet Aerospace (NYSE:HWM - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The company reported $1.22 EPS for the quarter, beating the consensus estimate of $1.11 by $0.11. Howmet Aerospace had a return on equity of 29.27% and a net margin of 20.23%.The company had revenue of $2.31 billion during the quarter, compared to the consensus estimate of $2.24 billion. During the same quarter in the prior year, the firm posted $0.86 EPS. The firm's revenue for the quarter was up 19.1% compared to the same quarter last year. 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. Equities research analysts expect that Howmet Aerospace will post 5.05 earnings per share for the current fiscal year.

Howmet Aerospace Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 25th. Stockholders of record on Friday, August 7th will be given a $0.14 dividend. The ex-dividend date of this dividend is Friday, August 7th. This is a positive change from Howmet Aerospace's previous quarterly dividend of $0.12. This represents a $0.56 dividend on an annualized basis and a dividend yield of 0.2%. Howmet Aerospace's payout ratio is 11.14%.

Insider Activity at Howmet Aerospace

In other news, EVP Neil Edward Marchuk sold 41,932 shares of Howmet Aerospace 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 transaction, 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 position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.85% of the company's stock.

Hedge Funds Weigh In On Howmet Aerospace

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Platform Technology Partners bought a new position in shares of Howmet Aerospace in the second quarter valued at about $262,000. Sunpointe LLC boosted its holdings in shares of Howmet Aerospace by 62.4% during the 2nd quarter. Sunpointe LLC now owns 4,691 shares of the company's stock worth $1,261,000 after buying an additional 1,802 shares during the period. WealthBridge Capital Management LLC bought a new stake in shares of Howmet Aerospace during the 2nd quarter worth about $221,000. Petra Financial Advisors Inc. boosted its holdings in shares of Howmet Aerospace by 76.3% during the 2nd quarter. Petra Financial Advisors Inc. now owns 5,071 shares of the company's stock worth $1,363,000 after buying an additional 2,195 shares during the period. Finally, Bartlett & CO. Wealth Management LLC grew its stake in Howmet Aerospace by 55.1% in the 2nd quarter. Bartlett & CO. Wealth Management LLC now owns 107 shares of the company's stock valued at $29,000 after buying an additional 38 shares during the last quarter. 90.46% of the stock is owned by institutional investors.

Howmet Aerospace Company Profile

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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