Howmet Aerospace (NYSE:HWM) Reaches New 1-Year High on Better-Than-Expected Earnings

Howmet Aerospace Inc. (NYSE:HWM)’s share price reached a new 52-week high on Thursday after the company announced better than expected quarterly earnings. The company traded as high as $129.95 and last traded at $128.11, with a volume of 3329770 shares traded. The stock had previously closed at $129.32.

The company reported $0.74 EPS for the quarter, beating analysts’ consensus estimates of $0.71 by $0.03. Howmet Aerospace had a return on equity of 24.50% and a net margin of 14.81%.

Howmet Aerospace Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, February 25th. Stockholders of record on Friday, February 7th will be issued a $0.10 dividend. The ex-dividend date is Friday, February 7th. This is a boost from Howmet Aerospace’s previous quarterly dividend of $0.08. This represents a $0.40 annualized dividend and a dividend yield of 0.30%. Howmet Aerospace’s dividend payout ratio (DPR) is 12.21%.

Analyst Ratings Changes

A number of equities research analysts have weighed in on the company. Sanford C. Bernstein upped their target price on Howmet Aerospace from $113.00 to $127.00 and gave the stock an “outperform” rating in a research report on Monday, October 21st. Royal Bank of Canada raised their target price on Howmet Aerospace from $105.00 to $135.00 and gave the company an “outperform” rating in a research note on Thursday, November 7th. Barclays boosted their price target on shares of Howmet Aerospace from $100.00 to $130.00 and gave the stock an “overweight” rating in a research report on Monday, November 11th. Truist Financial reaffirmed a “buy” rating and issued a $140.00 price objective (up previously from $130.00) on shares of Howmet Aerospace in a research note on Friday. Finally, Robert W. Baird increased their target price on shares of Howmet Aerospace from $113.00 to $144.00 and gave the company an “outperform” rating in a research note on Thursday, November 7th. One analyst has rated the stock with a sell rating, two have assigned a hold rating and fourteen have issued a buy rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $117.76.

Institutional Investors Weigh In On Howmet Aerospace

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in HWM. Vanguard Group Inc. increased its stake in shares of Howmet Aerospace by 0.8% in the fourth quarter. Vanguard Group Inc. now owns 47,117,309 shares of the company’s stock worth $5,153,220,000 after acquiring an additional 352,256 shares during the last quarter. JPMorgan Chase & Co. increased its position in Howmet Aerospace by 14.0% in the 4th quarter. JPMorgan Chase & Co. now owns 20,198,146 shares of the company’s stock worth $2,209,071,000 after purchasing an additional 2,486,649 shares during the last quarter. State Street Corp raised its stake in shares of Howmet Aerospace by 2.3% during the 3rd quarter. State Street Corp now owns 17,440,176 shares of the company’s stock worth $1,748,378,000 after purchasing an additional 384,171 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its holdings in shares of Howmet Aerospace by 0.6% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 13,213,937 shares of the company’s stock valued at $1,445,210,000 after buying an additional 80,972 shares during the last quarter. Finally, Geode Capital Management LLC grew its stake in shares of Howmet Aerospace by 3.2% in the 4th quarter. Geode Capital Management LLC now owns 9,810,797 shares of the company’s stock valued at $1,070,267,000 after buying an additional 308,574 shares in the last quarter. Hedge funds and other institutional investors own 90.46% of the company’s stock.

Howmet Aerospace Stock Performance

The company has a quick ratio of 0.98, a current ratio of 2.24 and a debt-to-equity ratio of 0.76. The stock has a market cap of $54.30 billion, a P/E ratio of 51.02, a price-to-earnings-growth ratio of 1.45 and a beta of 1.50. The firm’s 50-day moving average is $118.75 and its two-hundred day moving average is $107.74.

About Howmet Aerospace

Howmet Aerospace Inc provides advanced engineered solutions for the aerospace and transportation industries in the United States, Japan, France, Germany, the United Kingdom, Mexico, Italy, Canada, Poland, China, and internationally. It operates through four segments: Engine Products, Fastening Systems, Engineered Structures, and Forged Wheels.