Howmet Aerospace Inc.

OVERVALUEDHWM-P · AMEX · Industrials
HWM-P·AMEX·Industrials
OVERVALUED
Howmet Aerospace Inc.
24.6%downside
MARKET PRICE
$100.35
FAIR PRICE
$75.70
MARGIN
$24.65
UNDERVALUEDFAIROVERVALUED
P/E RATIO
28.2x
DIV. YIELD
2.80%
ROE
29.7%
MARKET CAP
$40B
FPI
fairpriceindex.com

FAIR PRICE VALUATION

24.6%downside

Updated daily

Model: DCF 50% · Relative 30% · Consensus 20%

MARKET PRICE

$100.35

FAIR PRICE

$75.70

MARGIN

$24.65

UNDERVALUEDFAIROVERVALUED

P/E Ratio

28.2x

What is P/E? →

Div. Yield

2.80%

ROE

29.7%

Exceptional

Market Cap

$40B

Large-cap

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FPI RATING

5.4/ 10

Strong profitability and high-quality fundamentals, but volatile earnings pattern and expensive valuation relative to fundamentals.

Analytical data, not an investment recommendation. Updated daily.

How we calculate this ↗

MARGIN OF SAFETY

A 20% margin of safety below fair value — the conservative entry level for risk-aware investors.

$60.56CONSERVATIVE ENTRY
$75.70FAIR PRICE
$100.35MARKET PRICE

SAFETY MARGIN

20%

Below fair value

ENTRY LEVEL

$60.56

Fair price × 0.80

DISTANCE

39.7%

Price to entry level

At the current price of $100.35, HWM-P trades 39.7% above the conservative entry level of $60.56. This entry level represents a 20% margin of safety below the calculated fair price of $75.70 — a buffer that accounts for estimation uncertainty in the valuation model.

Margin of safety is a risk management concept, not an investment recommendation. The 20% threshold follows Benjamin Graham's value investing framework. Fair price and entry levels are model-based estimates updated daily. Learn more about Margin of Safety ↗

VALUATION HISTORY

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P/E RATIO HISTORY

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METHODOLOGY

How we calculate HWM-P's fair price

Howmet Aerospace Inc.'s fair price of $75.70 is derived from a blended model that combines DCF analysis (50%), relative valuation against Industrials peers using metrics like P/E and EV/EBITDA (30%), and analyst consensus (20%). At the current market price of $100.35, HWM-P trades 24.6% above its calculated fair value.

DCF MODEL · 50%

Discounted free cash flow analysis based on projected cash flows, discounted at a rate reflecting HWM-P's risk profile.

RELATIVE · 30%

Comparing HWM-P's valuation multiples against Industrials peers to determine if the stock is over or undervalued relative to its industry.

ANALYST · 20%

Aggregated analyst price targets for HWM-P, weighted by recency and analyst accuracy.

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Want to test your own assumptions? Use our free calculators to estimate HWM-P's fair value with your own inputs.

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FAQ

What is the fair price of HWM-P?+

Based on our blended model combining DCF analysis (50%), relative valuation against Industrials peers (30%), and analyst consensus (20%), the fair price for Howmet Aerospace Inc. is $75.70. At the current market price of $100.35, HWM-P trades 24.6% above its calculated fair value.

Is HWM-P overvalued or undervalued?+

Howmet Aerospace Inc. is currently overvalued based on our valuation model. The stock trades at $100.35, which is 24.6% above the fair price of $75.70. The P/E ratio of 28.2x is a key metric in the valuation.

What is the margin of safety for HWM-P?+

With a 20% margin of safety applied to the fair price of $75.70, the conservative entry level for HWM-P is $60.56. At the current market price of $100.35, the stock trades 39.7% above this entry level. Margin of safety is a risk management concept from Benjamin Graham's value investing framework, not an investment recommendation.

How often is HWM-P's fair price updated?+

We update fair price calculations for HWM-P daily after market close. The current fair price of $75.70 incorporates the latest market data and sector multiples.

What factors affect HWM-P's fair price calculation?+

HWM-P's fair price of $75.70 is derived from DCF analysis (50% weight), relative valuation against Industrials peers (30% weight), and analyst consensus (20% weight). Key metrics include P/E of 28.2x, ROE of 29.7%, and dividend yield of 2.80%.

Is HWM-P a good buy right now?+

At $100.35, HWM-P trades 24.6% above our fair value estimate of $75.70. The stock is currently overvalued. ROE stands at 29.7% (exceptional). Fair Price Index provides valuation data — always do your own research before investing.

Does HWM-P pay dividends?+

HWM-P has a dividend yield of 2.80%.

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Fair Price Index is for informational purposes only and does not constitute investment advice. Fair value calculations are model-based estimates and may not reflect actual market conditions. Always conduct your own research before making investment decisions.