HOWMET AEROSPACE INC (1HWM.MI) Stock Fundamental Analysis
Europe - BIT:1HWM - US4432011082 - Common Stock
177.2 EUR
+12.1 (+7.33%)
Taking everything into account, 1HWM scores 7 out of 10 in our fundamental rating. 1HWM was compared to 46 industry peers in the Aerospace & Defense industry. 1HWM gets an excellent profitability rating and is at the same time showing great financial health properties. 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.
1HWM had a positive operating cash flow in the past year.
In the past 5 years 1HWM has always been profitable.
1HWM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of 1HWM (12.96%) is better than 95.74% of its industry peers.
1HWM has a better Return On Equity (28.15%) than 82.98% of its industry peers.
With an excellent Return On Invested Capital value of 16.94%, 1HWM belongs to the best of the industry, outperforming 91.49% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1HWM is above the industry average of 9.34%.
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
With an excellent Profit Margin value of 18.16%, 1HWM belongs to the best of the industry, outperforming 91.49% of the companies in the same industry.
1HWM's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 25.05%, 1HWM belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
1HWM's Operating Margin has improved in the last couple of years.
1HWM has a Gross Margin (33.43%) which 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1HWM is still creating some value.
1HWM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1HWM has less shares outstanding
The debt/assets ratio for 1HWM has been reduced compared to a year ago.
2.2 Solvency
1HWM has an Altman-Z score of 10.22. This indicates that 1HWM is financially healthy and has little risk of bankruptcy at the moment.
1HWM's Altman-Z score of 10.22 is amongst the best of the industry. 1HWM outperforms 95.74% 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.
With a decent Debt to FCF ratio value of 2.49, 1HWM is doing good in the industry, outperforming 78.72% of the companies in the same industry.
1HWM has a Debt/Equity ratio of 0.62. This is a neutral value indicating 1HWM is somewhat dependend on debt financing.
The Debt to Equity ratio of 1HWM (0.62) is comparable to the rest of the industry.
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 | 10.22 |
ROIC/WACC1.79
WACC9.48%
2.3 Liquidity
A Current Ratio of 2.35 indicates that 1HWM has no problem at all paying its short term obligations.
1HWM has a Current ratio of 2.35. This is amongst the best in the industry. 1HWM outperforms 85.11% 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.
The Quick ratio of 1HWM (1.14) is better than 80.85% 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.
The Earnings Per Share has been growing slightly by 4.88% on average over the past years.
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
1HWM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 21.22% yearly.
1HWM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.05% yearly.
EPS Next Y37.19%
EPS Next 2Y28.28%
EPS Next 3Y24.82%
EPS Next 5Y21.22%
Revenue Next Year10.34%
Revenue Next 2Y10.49%
Revenue Next 3Y10.39%
Revenue Next 5Y10.05%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
1HWM is valuated quite expensively with a Price/Earnings ratio of 59.26.
The rest of the industry has a similar Price/Earnings ratio as 1HWM.
1HWM's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.06.
Based on the Price/Forward Earnings ratio of 46.28, the valuation of 1HWM can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1HWM indicates a slightly more expensive valuation: 1HWM is more expensive than 72.34% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of 1HWM to the average of the S&P500 Index (32.73), we can say 1HWM is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 59.26 | ||
| Fwd PE | 46.28 |
4.2 Price Multiples
74.47% of the companies in the same industry are cheaper than 1HWM, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1HWM is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.57 | ||
| EV/EBITDA | 37.32 |
4.3 Compensation for Growth
1HWM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
1HWM has an outstanding profitability rating, which may justify a higher PE ratio.
1HWM's earnings are expected to grow with 24.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.59
PEG (5Y)12.15
EPS Next 2Y28.28%
EPS Next 3Y24.82%
5. Dividend
5.1 Amount
1HWM has a yearly dividend return of 0.23%, which is pretty low.
Compared to an average industry Dividend Yield of 1.14, 1HWM is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.36, 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 2Y28.28%
EPS Next 3Y24.82%
BIT:1HWM (10/30/2025, 7:00:00 PM)
177.2
+12.1 (+7.33%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners95.94%
Inst Owner ChangeN/A
Ins Owners1.11%
Ins Owner ChangeN/A
Market Cap71.43B
Revenue(TTM)7.97B
Net Income(TTM)1.45B
Analysts81.43
Price Target179.11 (1.08%)
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)N/A
PT rev (3m)N/A
EPS NQ rev (1m)1.8%
EPS NQ rev (3m)5.71%
EPS NY rev (1m)0.75%
EPS NY rev (3m)4.05%
Revenue NQ rev (1m)-0.19%
Revenue NQ rev (3m)0.66%
Revenue NY rev (1m)0.35%
Revenue NY rev (3m)1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 59.26 | ||
| Fwd PE | 46.28 | ||
| P/S | 10.36 | ||
| P/FCF | 64.57 | ||
| P/OCF | 48.3 | ||
| P/B | 16.06 | ||
| P/tB | 132.56 | ||
| EV/EBITDA | 37.32 |
EPS(TTM)2.99
EY1.69%
EPS(NY)3.83
Fwd EY2.16%
FCF(TTM)2.74
FCFY1.55%
OCF(TTM)3.67
OCFY2.07%
SpS17.11
BVpS11.04
TBVpS1.34
PEG (NY)1.59
PEG (5Y)12.15
Graham Number27.25
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 | 10.22 |
F-Score9
WACC9.48%
ROIC/WACC1.79
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 Y37.19%
EPS Next 2Y28.28%
EPS Next 3Y24.82%
EPS Next 5Y21.22%
Revenue 1Y (TTM)9.7%
Revenue growth 3Y14.33%
Revenue growth 5Y0.92%
Sales Q2Q%13.84%
Revenue Next Year10.34%
Revenue Next 2Y10.49%
Revenue Next 3Y10.39%
Revenue Next 5Y10.05%
EBIT growth 1Y28.9%
EBIT growth 3Y25.44%
EBIT growth 5Y7.15%
EBIT Next Year44.51%
EBIT Next 3Y23.66%
EBIT Next 5Y17.84%
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 for 1HWM 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 are the PE and PB ratios of HOWMET AEROSPACE INC (1HWM.MI) stock?
The Price/Earnings (PE) ratio for HOWMET AEROSPACE INC (1HWM.MI) is 59.26 and the Price/Book (PB) ratio is 16.06.
Can you provide the expected EPS growth for 1HWM stock?
The Earnings per Share (EPS) of HOWMET AEROSPACE INC (1HWM.MI) is expected to grow by 37.19% in the next year.