Howmet Aerospace (NYSE:HWM) Shares Up 1.5% - Still a Buy?

Key Points

• Howmet Aerospace shares rose 1.5% to $228.83, although trading volume was 13% below the average session volume.
• Analyst sentiment remains positive: the stock has a consensus “Buy” rating and an average price target of $318, with recent targets ranging as high as $350.
• The company exceeded quarterly earnings and revenue estimates, reporting $1.33 EPS and $2.55 billion in revenue, while raising its quarterly dividend from $0.12 to $0.14 per share.

Howmet Aerospace Inc. (NYSE:HWM - Get Free Report)'s share price shot up 1.5% during trading on Wednesday . The stock traded as high as $230.37 and last traded at $228.8250. Approximately 2,397,777 shares were traded during trading, a decline of 13% from the average session volume of 2,743,661 shares. The stock had previously closed at $225.36.

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Analyst Ratings Changes

A number of analysts have recently weighed in on the stock. Guggenheim assumed coverage on shares of Howmet Aerospace in a research note on Monday, September 14th. They issued a "buy" rating and a $350.00 price target for the company. Weiss Ratings raised Howmet Aerospace from a "buy (b-)" rating to a "buy (b)" rating in a report on Wednesday, August 19th. Zacks Research upgraded Howmet Aerospace from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, August 12th. BTIG Research boosted their price target on shares of Howmet Aerospace from $300.00 to $340.00 and gave the stock a "buy" rating in a research report on Monday, August 10th. Finally, Wells Fargo & Company restated an "outperform" rating and set a $315.00 price objective on shares of Howmet Aerospace in a research report on Monday, August 10th. Two equities research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and two have assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Buy" and an average target price of $318.00.

Howmet Aerospace Stock Performance

The firm's 50-day moving average price is $265.52 and its two-hundred day moving average price is $258.93. The firm has a market capitalization of $91.56 billion, a PE ratio of 49.32, a P/E/G ratio of 2.05 and a beta of 1.19. The company has a quick ratio of 0.87, a current ratio of 1.82 and a debt-to-equity ratio of 0.71.

Howmet Aerospace (NYSE:HWM - Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The company reported $1.33 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.24 by $0.09. The business had revenue of $2.55 billion for the quarter, compared to analyst estimates of $2.43 billion. Howmet Aerospace had a net margin of 20.52% and a return on equity of 33.91%. The firm's revenue was up 24.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.91 earnings per share. 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. As a group, research analysts predict that Howmet Aerospace Inc. will post 5.33 earnings per share for the current fiscal year.

Howmet Aerospace Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, August 25th. Stockholders of record on Friday, August 7th were issued a $0.14 dividend. The ex-dividend date was Friday, August 7th. This is an increase 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 dividend payout ratio is currently 12.07%.

Institutional Trading of Howmet Aerospace

Several hedge funds and other institutional investors have recently modified their holdings of the business. Andra AP fonden raised its holdings in shares of Howmet Aerospace by 12.7% in the 2nd quarter. Andra AP fonden now owns 61,272 shares of the company's stock worth $16,474,000 after buying an additional 6,900 shares in the last quarter. State Street Corp boosted its stake in Howmet Aerospace by 3.3% in the 2nd quarter. State Street Corp now owns 18,933,928 shares of the company's stock valued at $5,090,576,000 after buying an additional 612,866 shares in the last quarter. Bullseye Investment Management LLC acquired a new stake in Howmet Aerospace in the 2nd quarter valued at $134,000. Sequoia Financial Advisors LLC grew its position in Howmet Aerospace by 44.1% in the second quarter. Sequoia Financial Advisors LLC now owns 21,778 shares of the company's stock valued at $5,855,000 after acquiring an additional 6,670 shares during the period. Finally, Gemmer Asset Management LLC bought a new stake in Howmet Aerospace in the second quarter valued at $238,000. Institutional investors and hedge funds own 90.46% of the company's stock.

Howmet Aerospace Company Profile

Howmet Aerospace Inc NYSE: HWM is an aerospace and industrial manufacturer that develops and produces engineered components for commercial and defense aircraft, as well as products for transportation, energy and other industrial markets. Its offerings include aircraft engine components, airframe structures, fastening systems and forged aluminum wheels for commercial transportation.

The company's aerospace products include turbine airfoils, engine casings, structural components and other specialized parts designed to support aircraft performance and efficiency.

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