Is Howmet Aerospace Stock Outperforming the S&P 500?
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With a market cap of $68.9 billion, Howmet Aerospace Inc. (HWM) provides advanced engineered solutions for the aerospace, defense, and commercial transportation industries worldwide, including in the U.S., Japan, China, and Europe. It operates through four segments: Engine Products, Fastening Systems, Engineered Structures, and Forged Wheels.
Companies worth more than $10 billion are generally labeled as “large-cap” stocks, and Howmet Aerospace fits this criterion perfectly. The company serves customers in the aircraft engine, industrial gas turbine, and heavy-duty vehicle markets.
Shares of the Pittsburgh, Pennsylvania-based company pulled back 3.7% from its 52-week high of $177.25. Howmet Aerospace’s shares have climbed 36.1% over the past three months, outperforming the broader S&P 500 Index’s ($SPX) 8.1% gain over the same time frame.
In the longer term, HWM stock is up 56.1% on a YTD basis, exceeding SPX’s 2.4% rise. Moreover, shares of the aerospace company have jumped 105.3% over the past 52 weeks, compared to the 12% return of the SPX over the same time frame.
The stock has been trading above its 50-day and 200-day moving averages since last year.
Shares of Howmet Aerospace climbed 6.8% on May 1 after the company raised its 2025 adjusted EPS forecast to $3.36 - $3.44, up from the previous guidance, despite tariff headwinds. Investor confidence was further boosted by stronger-than-expected Q1 2025 performance, with adjusted EPS of $0.86 and revenue of $1.9 billion. Additionally, Howmet expects to pass on higher costs amid robust demand from increased jet production and has secured $20 million - $30 million in new orders.
Moreover, HWM stock has significantly outpaced its rival, GE Aerospace (GE). GE stock has soared 53.1% over the past 52 weeks and 47.2% on a YTD basis.
Due to the stock’s strong performance over the past year, analysts remain bullish on HWM. The stock has a consensus rating of “Strong Buy” from the 21 analysts covering it, and as of writing, HWM is trading above the mean price target of $161.86.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.