Core Viewpoint - Howmet Aerospace Inc. is expected to report strong third-quarter 2024 earnings, with a consensus estimate indicating significant revenue and earnings growth compared to the previous year [1][7]. Revenue Performance - The Engine products segment is projected to generate revenues of $945 million, reflecting a 17.9% increase from the third quarter of 2023, driven by strong demand in commercial aerospace and defense markets [3]. - The Fastening Systems segment is estimated to achieve revenues of $386 million, marking a 10.9% rise year-over-year, supported by growth in the commercial aerospace market [4]. - The Engineered Structures segment is expected to report revenues of $270 million, indicating an 18.9% increase from the previous year, bolstered by recovery in the commercial and defense aerospace markets [5]. - Conversely, the Forged Wheels segment is anticipated to see revenues of $258 million, representing a decline of 9.5% year-over-year, attributed to softness in the commercial transportation market [6]. Overall Financial Outlook - The overall revenue estimate for Howmet Aerospace is pegged at $1.85 billion, which indicates an 11.8% increase from the same quarter last year [7]. - The consensus estimate for adjusted earnings is set at 65 cents per share, reflecting a growth of 41.3% compared to the previous year [7]. Earnings Prediction - The company has a positive Earnings ESP of +1.86%, with the Most Accurate Estimate at $1.24 per share, higher than the Zacks Consensus Estimate of $1.22, suggesting a strong likelihood of an earnings beat [9].

Core Insights - Howmet (HWM) is expected to report quarterly earnings of $0.65 per share, a 41.3% increase year-over-year, with revenues projected at $1.85 billion, reflecting an 11.8% year-over-year growth [1] - The consensus EPS estimate has been revised upward by 0.2% in the last 30 days, indicating analysts' reassessment of their initial estimates [2] - Analysts emphasize the importance of earnings estimate revisions as indicators for predicting investor actions and stock price performance [3] Revenue Estimates - Total Sales for Engine Products are forecasted to reach $944.77 million, representing a 17.7% year-over-year increase [4] - Total Sales for Fastening Systems are expected to be $385.76 million, indicating a 10.9% year-over-year growth [5] - Total Sales for Engineered Structures are projected at $270.33 million, reflecting a 19.1% year-over-year increase [5] - Total Sales for Forged Wheels are estimated at $257.60 million, suggesting a 9.6% year-over-year decline [5] End Market Revenue Estimates - End Market Revenue for Aerospace-Commercial is expected to be $997.87 million, indicating a 21.7% year-over-year increase [6] - End Market Revenue for Aerospace-Defense is projected at $291.67 million, reflecting a 16.2% year-over-year growth [6] - End Market Revenue for Commercial Transportation is estimated at $319.48 million, suggesting a 9.2% year-over-year decline [7] - End Market Revenue for Industrial and Other is expected to reach $255.43 million, indicating an 8.7% year-over-year increase [7] Adjusted EBITDA Estimates - Adjusted EBITDA for Engine Products is projected at $291.12 million, up from $219 million in the same quarter last year [8] - Adjusted EBITDA for Forged Wheels is expected to be $66.07 million, down from $77 million year-over-year [8] - Adjusted EBITDA for Engineered Structures is forecasted at $39.00 million, compared to $30 million in the prior year [9] - Adjusted EBITDA for Fastening Systems is estimated at $98.18 million, up from $76 million year-over-year [9] Stock Performance - Shares of Howmet have experienced a -1% change in the past month, mirroring the -1% movement of the S&P 500 composite [9][10] - Howmet holds a Zacks Rank 3 (Hold), indicating expected performance in line with the overall market [10]

In the latest market close, Howmet (HWM) reached $101.14, with a +1.05% movement compared to the previous day. The stock outpaced the S&P 500's daily loss of 0.33%. Elsewhere, the Dow lost 0.22%, while the tech-heavy Nasdaq lost 0.56%. Shares of the maker of engineered products for the aerospace and other industries witnessed a loss of 0.82% over the previous month, beating the performance of the Aerospace sector with its loss of 6.93% and underperforming the S&P 500's gain of 1.83%. Investors will be eager ...

Growth investors focus on stocks that are seeing above-average financial growth, as this feature helps these securities garner the market's attention and deliver solid returns. But finding a growth stock that can live up to its true potential can be a tough task. By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss. However, the task of finding cutting-edge growth stocks is m ...

Group 1: Investment Activity - Michael McCaul, a congressional representative, invested between $100,001 and $250,000 in Howmet Aerospace (NYSE: HWM) on September 16, when shares were priced at $94.59 [1] - Since McCaul's purchase, HWM shares have increased by 10.12%, and the Congressman could potentially gain between $10,120 and $25,300 from this trade [1][2] Group 2: Company Overview - Howmet Aerospace is a significant supplier for major contractors, including Lockheed Martin (NYSE: LMT), providing titanium and involved in a legal dispute over supply prices settled on May 3 [2] - The company is not a direct defense contractor but benefits from increased defense spending amid geopolitical instability and upcoming elections [2] Group 3: Market Sentiment and Analyst Ratings - Wall Street analysts are cautiously optimistic about HWM, with a consensus rating of 'Strong Buy' from 17 equity researchers [4] - Deutsche Bank analyst Scott Deuschle raised the price target for HWM from $106 to $125, anticipating an earnings beat and increased guidance in the upcoming earnings call on November 6 [4] - The average price target for HWM is $109.36, indicating a potential increase of 5.24% from the current share price [4]

FX Empire Logo English check-icon Italiano Español Português Deutsch العربية Français Important DisclaimersThe content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial ...

Core Insights - Howmet Aerospace Inc. (HWM) is experiencing strong momentum in the commercial aerospace market, driven by increased air travel and demand for wide-body aircraft, which supports Original Equipment Manufacturer (OEM) spending [1] - The defense sector is also showing positive trends, with robust orders for engine spares related to the F-35 program and legacy fighters, contributing to a 14% year-over-year revenue increase to $1.88 billion in Q2 2024 [2] Financial Performance - HWM's liquidity position is strong, with cash equivalents and receivables totaling $1.52 billion against short-term maturities of $782 million, and a free cash flow of $437 million generated in the first half of the year [3] - In the first six months of 2024, the company paid out $42 million in dividends and repurchased shares worth $210 million, with a 60% dividend increase to 8 cents per share announced in July 2024 [4] Market Trends - Despite the positive performance in commercial aerospace, HWM is facing challenges in the commercial transportation market, with a 4% year-over-year revenue decline in Q2 2024 and expectations of continued demand decline in the second half of 2024 [6] - The company is also dealing with rising costs, with the cost of goods sold increasing by 9.2% to $2.6 billion in the first half of 2024, and selling, general, and administrative expenses rising by 13.5% to $185 million [7]

Stock Performance - Howmet's stock ended at $102 99, marking a +0 16% increase from the previous day's close [1] - The stock underperformed compared to the S&P 500 (+0 97%), Dow (+0 3%), and Nasdaq (+1 45%) [1] - Over the past month, Howmet's shares gained 9 76%, outperforming the Construction sector (+8 21%) and the S&P 500 (+5 41%) [2] Earnings and Revenue Projections - The company's upcoming earnings report is expected to show an EPS of $0 66, a 43 48% increase from the same quarter last year [3] - Revenue is projected to be $1 85 billion, up 11 83% year-over-year [3] - For the annual period, EPS is estimated at $2 59 (+40 76% YoY) and revenue at $7 47 billion (+12 54% YoY) [4] Analyst Revisions and Zacks Rank - Recent upward revisions in analyst estimates reflect positivity towards the company's business operations and profitability [5] - The Zacks Rank system, which integrates estimate changes, has a strong track record, with 1-ranked stocks averaging +25% annual returns since 1988 [7] - Howmet currently holds a Zacks Rank of 2 (Buy), with the consensus EPS estimate increasing by 0 18% over the last 30 days [7] Valuation Metrics - Howmet is trading at a Forward P/E ratio of 39 63, higher than the industry average of 21 16 [8] - The company's PEG ratio is 1 49, slightly below the industry average of 1 54 [8] Industry Overview - The Engineering - R and D Services industry, part of the Construction sector, has a Zacks Industry Rank of 64, placing it in the top 26% of all industries [9] - Industries in the top 50% of the Zacks Industry Rank outperform the bottom half by a factor of 2 to 1 [9]

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Howmet (HWM) , which belongs to the Zacks Engineering - R and D Services industry. When looking at the last two reports, this maker of engineered products for the aerospace and other industries has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 10.64%, on average, in the last two quarters. For the most recent qu ...

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both. The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens. Zacks Premium also includes the Zacks Style Scores. What are the Zacks Style Scores? The Zacks St ...