HOWMET AEROSPACE INC (1HWM.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1HWM - US4432011082 - Common Stock
189.4 EUR
+1 (+0.53%)
Overall 1HWM gets a fundamental rating of 7 out of 10. We evaluated 1HWM against 54 industry peers in the Aerospace & Defense industry. Both the health and profitability get an excellent rating, making 1HWM a very profitable company, without any liquidiy or solvency issues. 1HWM is valued quite expensive, but it does show an excellent growth. With these ratings, 1HWM could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- In the past year 1HWM was profitable.
- In the past year 1HWM had a positive cash flow from operations.
- 1HWM had positive earnings in each of the past 5 years.
- Each year in the past 5 years 1HWM had a positive operating cash flow.
1.2 Ratios
- 1HWM's Return On Assets of 12.96% is amongst the best of the industry. 1HWM outperforms 94.44% of its industry peers.
- 1HWM has a better Return On Equity (28.15%) than 83.33% of its industry peers.
- 1HWM has a Return On Invested Capital of 16.94%. This is amongst the best in the industry. 1HWM outperforms 90.74% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1HWM is above the industry average of 9.17%.
- The last Return On Invested Capital (16.94%) for 1HWM is above the 3 year average (11.81%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.96% | ||
| ROE | 28.15% | ||
| ROIC | 16.94% |
ROA(3y)7.61%
ROA(5y)5.52%
ROE(3y)19.06%
ROE(5y)14.35%
ROIC(3y)11.81%
ROIC(5y)9.94%
1.3 Margins
- Looking at the Profit Margin, with a value of 18.16%, 1HWM belongs to the top of the industry, outperforming 90.74% of the companies in the same industry.
- In the last couple of years the Profit Margin of 1HWM has grown nicely.
- 1HWM has a better Operating Margin (25.05%) than 98.15% of its industry peers.
- In the last couple of years the Operating Margin of 1HWM has grown nicely.
- The Gross Margin of 1HWM (33.43%) is comparable to the rest of the industry.
- 1HWM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.05% | ||
| PM (TTM) | 18.16% | ||
| GM | 33.43% |
OM growth 3Y9.72%
OM growth 5Y6.18%
PM growth 3Y44.45%
PM growth 5Y18.67%
GM growth 3Y3.97%
GM growth 5Y3.11%
2. Health
2.1 Basic Checks
- 1HWM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- 1HWM has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for 1HWM has been reduced compared to 5 years ago.
- 1HWM has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 10.89 indicates that 1HWM is not in any danger for bankruptcy at the moment.
- 1HWM's Altman-Z score of 10.89 is amongst the best of the industry. 1HWM outperforms 92.59% of its industry peers.
- 1HWM has a debt to FCF ratio of 2.49. This is a good value and a sign of high solvency as 1HWM would need 2.49 years to pay back of all of its debts.
- 1HWM has a better Debt to FCF ratio (2.49) than 79.63% of its industry peers.
- A Debt/Equity ratio of 0.62 indicates that 1HWM is somewhat dependend on debt financing.
- 1HWM's Debt to Equity ratio of 0.62 is on the low side compared to the rest of the industry. 1HWM is outperformed by 62.96% of its industry peers.
- Although 1HWM does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 2.49 | ||
| Altman-Z | 10.89 |
ROIC/WACC1.72
WACC9.84%
2.3 Liquidity
- A Current Ratio of 2.35 indicates that 1HWM has no problem at all paying its short term obligations.
- The Current ratio of 1HWM (2.35) is better than 83.33% of its industry peers.
- 1HWM has a Quick Ratio of 1.14. This is a normal value and indicates that 1HWM is financially healthy and should not expect problems in meeting its short term obligations.
- 1HWM has a better Quick ratio (1.14) than 75.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 39.52% over the past year.
- 1HWM shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.88% yearly.
- 1HWM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.70%.
- The Revenue has been growing slightly by 0.92% on average over the past years.
EPS 1Y (TTM)39.52%
EPS 3Y38.62%
EPS 5Y4.88%
EPS Q2Q%33.8%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y14.33%
Revenue growth 5Y0.92%
Sales Q2Q%13.84%
3.2 Future
- The Earnings Per Share is expected to grow by 20.94% on average over the next years. This is a very strong growth
- Based on estimates for the next years, 1HWM will show a quite strong growth in Revenue. The Revenue will grow by 10.10% on average per year.
EPS Next Y38.71%
EPS Next 2Y29.46%
EPS Next 3Y25.49%
EPS Next 5Y20.94%
Revenue Next Year10.61%
Revenue Next 2Y10.84%
Revenue Next 3Y10.68%
Revenue Next 5Y10.1%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 64.20 indicates a quite expensive valuation of 1HWM.
- The rest of the industry has a similar Price/Earnings ratio as 1HWM.
- Compared to an average S&P500 Price/Earnings ratio of 27.32, 1HWM is valued quite expensively.
- With a Price/Forward Earnings ratio of 49.27, 1HWM can be considered very expensive at the moment.
- Based on the Price/Forward Earnings ratio, 1HWM is valued a bit more expensive than the industry average as 72.22% of the companies are valued more cheaply.
- 1HWM's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.2 | ||
| Fwd PE | 49.27 |
4.2 Price Multiples
- 1HWM's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1HWM is more expensive than 68.52% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1HWM indicates a slightly more expensive valuation: 1HWM is more expensive than 61.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 69.83 | ||
| EV/EBITDA | 40.26 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of 1HWM may justify a higher PE ratio.
- 1HWM's earnings are expected to grow with 25.49% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.66
PEG (5Y)13.16
EPS Next 2Y29.46%
EPS Next 3Y25.49%
5. Dividend
5.1 Amount
- 1HWM has a yearly dividend return of 0.23%, which is pretty low.
- 1HWM's Dividend Yield is slightly below the industry average, which is at 0.75.
- Compared to an average S&P500 Dividend Yield of 1.86, 1HWM's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
5.2 History
- The dividend of 1HWM is nicely growing with an annual growth rate of 16.52%!
Dividend Growth(5Y)16.52%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- 11.33% of the earnings are spent on dividend by 1HWM. This is a low number and sustainable payout ratio.
- 1HWM's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP11.33%
EPS Next 2Y29.46%
EPS Next 3Y25.49%
BIT:1HWM (1/19/2026, 7:00:00 PM)
189.4
+1 (+0.53%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)10-30 2025-10-30/bmo
Earnings (Next)02-11 2026-02-11/amc
Inst Owners94.81%
Inst Owner ChangeN/A
Ins Owners1.1%
Ins Owner ChangeN/A
Market Cap76.15B
Revenue(TTM)7.97B
Net Income(TTM)1.45B
Analysts81.38
Price Target189.94 (0.29%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.23% |
Yearly Dividend0.23
Dividend Growth(5Y)16.52%
DP11.33%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.57%
Min EPS beat(2)3.32%
Max EPS beat(2)3.81%
EPS beat(4)4
Avg EPS beat(4)4.66%
Min EPS beat(4)2.1%
Max EPS beat(4)9.41%
EPS beat(8)8
Avg EPS beat(8)7.25%
EPS beat(12)11
Avg EPS beat(12)6.23%
EPS beat(16)14
Avg EPS beat(16)5.49%
Revenue beat(2)2
Avg Revenue beat(2)1.25%
Min Revenue beat(2)1.23%
Max Revenue beat(2)1.26%
Revenue beat(4)2
Avg Revenue beat(4)0.29%
Min Revenue beat(4)-1.02%
Max Revenue beat(4)1.26%
Revenue beat(8)5
Avg Revenue beat(8)1.04%
Revenue beat(12)9
Avg Revenue beat(12)1.76%
Revenue beat(16)11
Avg Revenue beat(16)1.11%
PT rev (1m)6.04%
PT rev (3m)N/A
EPS NQ rev (1m)0.14%
EPS NQ rev (3m)2%
EPS NY rev (1m)1.11%
EPS NY rev (3m)1.8%
Revenue NQ rev (1m)0.05%
Revenue NQ rev (3m)-0.14%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 64.2 | ||
| Fwd PE | 49.27 | ||
| P/S | 11.2 | ||
| P/FCF | 69.83 | ||
| P/OCF | 52.23 | ||
| P/B | 17.37 | ||
| P/tB | 143.35 | ||
| EV/EBITDA | 40.26 |
EPS(TTM)2.95
EY1.56%
EPS(NY)3.84
Fwd EY2.03%
FCF(TTM)2.71
FCFY1.43%
OCF(TTM)3.63
OCFY1.91%
SpS16.91
BVpS10.91
TBVpS1.32
PEG (NY)1.66
PEG (5Y)13.16
Graham Number26.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.96% | ||
| ROE | 28.15% | ||
| ROCE | 20.92% | ||
| ROIC | 16.94% | ||
| ROICexc | 18.2% | ||
| ROICexgc | 37% | ||
| OM | 25.05% | ||
| PM (TTM) | 18.16% | ||
| GM | 33.43% | ||
| FCFM | 16.04% |
ROA(3y)7.61%
ROA(5y)5.52%
ROE(3y)19.06%
ROE(5y)14.35%
ROIC(3y)11.81%
ROIC(5y)9.94%
ROICexc(3y)12.73%
ROICexc(5y)10.88%
ROICexgc(3y)28.49%
ROICexgc(5y)24.58%
ROCE(3y)14.58%
ROCE(5y)12.27%
ROICexgc growth 3Y22.26%
ROICexgc growth 5Y20.98%
ROICexc growth 3Y24.64%
ROICexc growth 5Y14.79%
OM growth 3Y9.72%
OM growth 5Y6.18%
PM growth 3Y44.45%
PM growth 5Y18.67%
GM growth 3Y3.97%
GM growth 5Y3.11%
F-Score9
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 2.49 | ||
| Debt/EBITDA | 1.4 | ||
| Cap/Depr | 152.3% | ||
| Cap/Sales | 5.4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.97% | ||
| Profit Quality | 88.33% | ||
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 10.89 |
F-Score9
WACC9.84%
ROIC/WACC1.72
Cap/Depr(3y)89.74%
Cap/Depr(5y)84.39%
Cap/Sales(3y)3.68%
Cap/Sales(5y)4.02%
Profit Quality(3y)96.58%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)39.52%
EPS 3Y38.62%
EPS 5Y4.88%
EPS Q2Q%33.8%
EPS Next Y38.71%
EPS Next 2Y29.46%
EPS Next 3Y25.49%
EPS Next 5Y20.94%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y14.33%
Revenue growth 5Y0.92%
Sales Q2Q%13.84%
Revenue Next Year10.61%
Revenue Next 2Y10.84%
Revenue Next 3Y10.68%
Revenue Next 5Y10.1%
EBIT growth 1Y28.9%
EBIT growth 3Y25.44%
EBIT growth 5Y7.15%
EBIT Next Year46.89%
EBIT Next 3Y24.91%
EBIT Next 5Y19.13%
FCF growth 1Y85.63%
FCF growth 3Y57.51%
FCF growth 5YN/A
OCF growth 1Y90.42%
OCF growth 3Y42.45%
OCF growth 5Y23%
HOWMET AEROSPACE INC / 1HWM.MI FAQ
Can you provide the ChartMill fundamental rating for HOWMET AEROSPACE INC?
ChartMill assigns a fundamental rating of 7 / 10 to 1HWM.MI.
What is the valuation status of HOWMET AEROSPACE INC (1HWM.MI) stock?
ChartMill assigns a valuation rating of 2 / 10 to HOWMET AEROSPACE INC (1HWM.MI). This can be considered as Overvalued.
How profitable is HOWMET AEROSPACE INC (1HWM.MI) stock?
HOWMET AEROSPACE INC (1HWM.MI) has a profitability rating of 9 / 10.
What is the valuation of HOWMET AEROSPACE INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for HOWMET AEROSPACE INC (1HWM.MI) is 64.2 and the Price/Book (PB) ratio is 17.37.
How sustainable is the dividend of HOWMET AEROSPACE INC (1HWM.MI) stock?
The dividend rating of HOWMET AEROSPACE INC (1HWM.MI) is 4 / 10 and the dividend payout ratio is 11.33%.