Howmet Aerospace Inc

Howmet Aerospace Inc

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Market Cap$111.09B
Close$

Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Howmet Aerospace IncHowmet Aerospace Inc63.80.17%32%13.40.1

Earnings Call Q1 2026

May 7, 2026 - AI Summary

Strong Q1 performance vs guidance (and margin expansion): Howmet delivered $2.31B revenue, $740M EBITDA and $1.22 EPS in 1Q 2026. EBITDA margin was 32%, up +320 bps YoY (record), with EBITDA up 32% vs revenue up 19%; incremental flow-through cited at ~49%. Free cash flow (FCF) was $359M (record for a first quarter) on strong working-capital efficiency.
Cash deployment: buybacks + dividends + leverage still pressured by M&A (but improving): Company repurchased $300M in Q1 (avg $230) and another $150M in April (avg $246); 20 consecutive quarters of repurchases. Board authorization remaining: ~$1.05B. Dividend: $0.12/share in Q1 and management expects 2026 dividend $ > 2025 (higher $ payout). Balance sheet: ended Q1 with $2.4B cash and cited net leverage improving to 0.9x prior to CAM closing, but after CAM (closed April 6) leverage was ~1.6x with expectation to reduce meaningfully through the year.
Portfolio moves (surprising/important): CAM + Brunner acquired; disk forging divested: - CAM Fastener acquisition closed April 6 for ~$1.8B, funded by $1.65B new debt plus use of disposal proceeds; weighted avg cost of debt ~4.2%. - Brunner acquired Feb 6 for ~$120M cash (integration on track). - Savannah U.S. Disk operation sold March 31 for $230M cash (expected margin-accretive to Structures). - Management estimates these deals add ~$275M revenue and ~$60M EBITDA for the remainder of 2026; EPS impact in 2026 ~insignificant due to higher interest expense, with positive EPS impact expected starting 2027.

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$304.30

Target Price by Analysts

8.5% upsideHowmet Aerospace Target Price DetailsTarget Price
$122.39

Current Fair Value

56.3% downside

Overvalued by 56.3% based on the discounted cash flow analysis.

Share Statistics

Market cap$111.09 Billion
Enterprise Value$109.05 Billion
Dividend Yield$0.48 (0.17%)
Earnings per Share$3.73
Beta1.19
Outstanding Shares401,000,000

Return

Return on Equity31.58%ROE
Return on Assets13.35%
Return on Invested Capital22.05%

Valuation & Multiples

P/E Ratio63.84P/E Ratio
PEG93.06PEG
Price to Sales13.35Price to Sales
Price to Book Ratio21.57Price to Book Ratio
Enterprise Value to Revenue12.65
Enterprise Value to EBIT46
Enterprise Value to Net Income62
Total Debt to Enterprise0
Debt to Equity0.07Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
May 7, 2026
EPS Estimate
$1.11
Average shareholder expectation
Revenue Estimate
$2.24 B
Average shareholder expectation

Next Earnings Call

Expected Date
July 30, 2026
EPS Estimate
$1.24
Average shareholder expectation
Revenue Estimate
$2.43 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio1.6964 53.85%
Total Calls1,449,157 0.84%
Total Puts2,458,400 47.73%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %89.43% 2.95%
Total Invested$83.07B 7.28%
Investors Holding1,508 102.00%

ESG Score

No data

About Howmet Aerospace Inc

Relevant Senate Committees

Finance

This is a critical committee for Howmet Aerospace as it controls taxation policy (directly impacting profitability) and trade policy (e.g., tariffs on aluminum or bauxite imports/exports, which are highly relevant to primary aluminum production).

Appropriations

This committee directly allocates federal spending across various sectors. Its funding decisions for defense programs, infrastructure, and scientific research directly impact government contracts and demand for Howmet Aerospace's products.

Armed Services

As Howmet Aerospace supplies advanced materials and components to the aerospace industry, this committee's authorization of the annual NDAA and oversight of the Department of Defense directly impacts demand and funding for its products.

Energy and Natural Resources

Primary aluminum production is one of the most energy-intensive industrial processes. This committee's regulation of national energy policy, pricing, and supply directly impacts Howmet Aerospace's operational costs and profitability.

Environment and Public Works

Alumina refining and primary aluminum production are heavy industrial processes with substantial environmental footprints. This committee's oversight of the EPA directly impacts regulatory costs and compliance for Howmet Aerospace's core operations.