Company Overview
Howmet Aerospace Stock specializes in advanced engineered metal products, serving aerospace, defense, and transportation markets. Its core segments include Engine Products (titanium and nickel-based components for jet engines), Fastening Systems (bolts and rivets for aircraft assembly), Engineered Structures (airframe parts), and Forged Wheels (aluminum wheels for commercial vehicles). The company supplies major clients like Boeing, Airbus, and Lockheed Martin, with operations spanning North America (45% of revenue) and Europe (30%). Institutional ownership is high at 95.9%, reflecting confidence from large investors. Headquartered in Pittsburgh, Howmet emerged from a 2020 split from Alcoa, focusing on high-margin aerospace solutions. Recent leadership changes, announced in October 2025, aim to bolster strategic execution amid global supply chain challenges.
Stock Performance
HWM has delivered impressive gains in 2025, with a year-to-date return of 89.03% and a one-year surge of 102.51%, outperforming the S&P 500’s 15.55% YTD. The stock closed at $206.31 on November 5, 2025, near its 52-week high of $211.95, with a day’s range of $203.37 to $207.39. Market capitalization stands at approximately $83 billion. Over the past three years, shares have returned 477.54%, and five-year gains exceed 1,000%, underscoring long-term value creation. However, the stock dipped recently following guidance for slower 2026 revenue growth at about 10%, down from 14% in 2025. Analyst upgrades from firms like Cowen ($240 target, Buy) and RBC ($235, Outperform) in November 2025 highlight ongoing momentum.
Financial Highlights
Howmet’s third-quarter 2025 results were robust, with revenue hitting a record $2.09 billion, up from prior periods, and net income at $385 million. Trailing twelve-month (TTM) revenue reached $7.98 billion, with diluted EPS at $3.57. The company raised full-year 2025 guidance across all metrics, projecting EPS of $3.56–$3.64, up 37.2% year-over-year. Profit margins expanded to 8% in 2024 from 5% in 2021, fueled by aerospace recovery. Shareholder returns include a $0.12 quarterly dividend and $500 million in 2024 repurchases. Q2 2025 EPS of $0.91 beat estimates by 4.6%, with revenue at $2.05 billion. Challenges persist in the Forged Wheels segment due to softer commercial transportation demand.
Analyst Ratings and Forecasts
Analysts remain bullish on HWM, with a consensus “Buy” rating from 14–22 experts. Average 12-month price targets range from $201.14 to $225.50, implying 9–10% upside from current levels. High targets hit $245, low at $190. Goldman Sachs raised its target to $226 (Buy) in November 2025, while Truist set $217 (Buy) in October. The put/call ratio of 0.81 signals positive sentiment. For 2025, earnings growth is estimated at 32.7% to $3.57 per share. Long-term forecasts predict shares reaching $210–$285 by year-end, with volatility around 2%.
Future Outlook
Howmet’s growth is tied to aerospace demand, defense spending, and air travel recovery. The company anticipates 2026 revenue of $9 billion, a 10% increase, though moderated from current paces. Risks include supply chain disruptions, geopolitical tensions, and competition from RTX. Positive drivers: Engine and structures segments from rising jet production. Analysts project 2025 trading between $190–$211, with averages around $200. Congressional interest, like Rep. McCaul’s purchase, underscores defense ties. Overall, HWM’s AI score of 9/10 suggests a 10.72% edge over the market.
Conclusion
Howmet Aerospace stock represents a compelling opportunity in a thriving sector, backed by solid fundamentals and optimistic forecasts. While headwinds like segment weaknesses exist, the company’s trajectory points upward. Investors should monitor Q4 earnings on October 30, 2025, for further insights. With shares rallying 87.7% in the past year, HWM merits consideration for growth-oriented portfolios.