The stock of Howmet Aerospace Inc. (NYSE:HWM) decreased by -$0.45 on Tuesday to finish at $48.77, down -0.91 percent. The last five days have seen an average of 2,344,860 shares of common stock traded. 26 times new highs were reached in the current year, with a gain of $9.36. The average number of shares traded over the last 20 days was 2,848,970, while the average volume over the last 50 days totaled 2,631,520.
HWM stock dropped -2.85% since last month. On 08/03/23, the company’s shares reached a one-month low of $47.54. The stock touched a high of $51.34 on 07/12/23, after rallying from a low of $30.59 in 52 weeks. The price of HWM stock has risen by 23.75% or $9.36 this year, reaching a new high 26 times. Still, the stock price is down -5.01% from the 52-week high.
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Insider Transactions
HWM stock investors should be aware that Howmet Aerospace Inc. (HWM) stock had its last reported insider trading activity 7 days ago on Aug 09. On Aug 09, EVP, HR Marchuk Neil Edward sold 80,000 shares at $50.06 each. This transaction resulted in the insider making $4,004,464. On Mar 06, Marchuk Neil Edward sold 57,000 shares at a price of US$43.61. After the transaction, the insider now owns 286,751 shares. Vice President and Controller Shultz Barbara Lou had earlier sold 4,627 shares on Feb 23 for $42.16 a share. The transaction was completed for $195,078.
Valuation Metrics
Howmet Aerospace Inc. (HWM) has a trailing price-to-earnings (P/E) ratio of 38.46. Beta for the stock is 1.44. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 3.27, the price-to-book (PB) ratio of 5.41, and the price-to-cash flow ratio of 34.94.
Company paid $0.04 per share in dividends, remained unchanged from $0.04 last year. A $0.02 dividend increase was reported on Thursday September 29 2022.
Financial Health
For the three months ended June 29, Howmet Aerospace Inc.’s quick ratio was 1.00, while its current ratio was 2.20, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 1.07, and the total debt to equity ratio is 1.07. As far as profitability goes, gross margin for the trailing twelve months is 27.00% percent. Howmet Aerospace Inc.’s EBITDA margin for the year ended June 29 was 22.94%, whereas its operating margin stood at 15.40% for the same period. Based on annual data, it had gross profit of $1.56 billion and revenue of $5.66 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. HWM’s return on assets (ROA) during the last 12 months has been 5.20%. There was a 9.30% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 14.90%.
Earnings Surprise
According to Howmet Aerospace Inc.’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $1.65 billion, while revenues rose by 15.47% to $1.6 billion. It was predicted that Howmet Aerospace Inc.’s quarterly earnings would be $0.44, but it ended up being $0.43, beating the consensus by 2.30%. EBITDA was $352.0 million for the quarter. At the end of Howmet Aerospace Inc.’s most recent quarter ended June 29, its liabilities totaled 6.46 billion, while its total debt was $4.1 billion. Equity owned by shareholders amounts to $412.21 million.
Technical Picture
Here’s a quick look at Howmet Aerospace Inc.’s (HWM) price momentum from a technical perspective. As of 15 August, the RSI 9-day stood at 40.97%, suggesting the stock is Neutral, with a 20.22% historical volatility rate.
The stochastic %K and %D were 43.93% and 52.18% respectively, while the average true range (ATR) was 0.86. Based on the 14-day stochastic reading of 33.70%, the RSI (14) reading is 46.04%. On the 9-day MACD Oscillator, the stock is at -0.33, and the 14-day reading is at -0.43.
Analyst Ratings
In its analyst report released on July 25, 2023, Robert W. Baird began covering Howmet Aerospace Inc. (NYSE: HWM). The stock was rated as an Outperform by the brokerage firm. Analysts have assigned Howmet Aerospace Inc. (HWM) an Buy rating. HWM is a stock that is recommended for selling by 0 brokerage firms, while 3 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 2 rates it overweight and 14 others recommend it as a buy.
What is HWM’s price target for the next 12 months?
The current consensus forecast for the stock is between $47.00 and $61.00, with a median target price of $56.00. In analyzing these forecasts, the average price target given by analysts for Howmet Aerospace Inc. (HWM) is $55.35.
