Howmet Aerospace (NYSE:HWM) Shares Gap Down - Time to Sell?

Key Points

• Howmet Aerospace shares gapped down from $264.85 to an opening price of $248.25, trading near $247.75. The stock remains below its 50-day moving average of $277.41.
• Despite the decline, analysts remain positive: Howmet has a consensus “Moderate Buy” rating and an average price target of $316.22, with several firms recently raising targets to $328–$340.
• The company exceeded quarterly earnings and revenue expectations, with EPS of $1.33 and revenue of $2.55 billion, while raising its quarterly dividend from $0.12 to $0.14 per share.

Howmet Aerospace Inc. (NYSE:HWM - Get Free Report)'s share price gapped down before the market opened on Monday . The stock had previously closed at $264.85, but opened at $248.25. Howmet Aerospace shares last traded at $247.7480, with a volume of 780,460 shares.

Wall Street Analysts Forecast Growth

A number of analysts have commented on the stock. BNP Paribas Exane reiterated an "outperform" rating and issued a $340.00 price objective (up from $265.00) on shares of Howmet Aerospace in a report on Friday, May 8th. BTIG Research raised their price target on shares of Howmet Aerospace from $300.00 to $340.00 and gave the stock a "buy" rating in a report on Monday, August 10th. Weiss Ratings raised shares of Howmet Aerospace from a "buy (b-)" rating to a "buy (b)" rating in a research report on Wednesday, August 19th. Sanford C. Bernstein increased their price objective on Howmet Aerospace from $318.00 to $328.00 and gave the stock an "outperform" rating in a research report on Monday, August 24th. Finally, Zacks Research raised Howmet Aerospace from a "hold" rating to a "strong-buy" rating in a research note on Wednesday, August 12th. One research analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $316.22.

Howmet Aerospace Stock Performance

The company has a quick ratio of 0.87, a current ratio of 1.82 and a debt-to-equity ratio of 0.71. The firm has a 50-day moving average price of $277.41 and a 200 day moving average price of $260.72. The firm has a market capitalization of $97.95 billion, a PE ratio of 52.76, a price-to-earnings-growth ratio of 1.89 and a beta of 1.20.

Howmet Aerospace (NYSE:HWM - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The company reported $1.33 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.24 by $0.09. Howmet Aerospace had a return on equity of 33.91% and a net margin of 20.52%.The firm had revenue of $2.55 billion for the quarter, compared to the consensus estimate of $2.43 billion. During the same quarter in the previous year, the business earned $0.91 EPS. The company's quarterly revenue was up 24.1% compared to the same quarter last year. Howmet Aerospace has set its Q3 2026 guidance at 1.340-1.360 EPS and its FY 2026 guidance at 5.230-5.310 EPS. Research analysts expect that Howmet Aerospace Inc. will post 5.33 earnings per share for the current year.

Howmet Aerospace Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, August 25th. Stockholders of record on Friday, August 7th were given a dividend of $0.14 per share. This is a boost from Howmet Aerospace's previous quarterly dividend of $0.12. This represents a $0.56 annualized dividend and a dividend yield of 0.2%. The ex-dividend date of this dividend was Friday, August 7th. Howmet Aerospace's dividend payout ratio is currently 12.07%.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in HWM. Premier Path Wealth Partners LLC lifted its position in Howmet Aerospace by 1.0% in the second quarter. Premier Path Wealth Partners LLC now owns 3,812 shares of the company's stock valued at $1,025,000 after acquiring an additional 37 shares during the last quarter. Bartlett & CO. Wealth Management LLC grew its holdings in shares of Howmet Aerospace by 55.1% during the second quarter. Bartlett & CO. Wealth Management LLC now owns 107 shares of the company's stock worth $29,000 after purchasing an additional 38 shares during the last quarter. UMB Bank n.a. grew its holdings in shares of Howmet Aerospace by 2.6% during the fourth quarter. UMB Bank n.a. now owns 1,620 shares of the company's stock worth $332,000 after purchasing an additional 41 shares during the last quarter. Tudor Financial Inc. increased its position in shares of Howmet Aerospace by 2.6% during the fourth quarter. Tudor Financial Inc. now owns 1,650 shares of the company's stock worth $338,000 after purchasing an additional 42 shares in the last quarter. Finally, Parkside Financial Bank & Trust increased its position in shares of Howmet Aerospace by 4.1% during the fourth quarter. Parkside Financial Bank & Trust now owns 1,077 shares of the company's stock worth $221,000 after purchasing an additional 42 shares in the last quarter. Institutional investors and hedge funds own 90.46% of the company's stock.

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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