Howmet Aerospace Inc. (NYSE: HWM) stands to benefit from strength across its businesses, focus on operational excellence and solid liquidity position. The company remains focused on investing in growth opportunities and strengthening its long-term market position.
HWM, which has a market capitalization of $39.4 billion, currently sports a Zacks Rank #1 (Strong Buy). Let's delve into the factors that have been aiding the firm for a while now.
End-Market Strength: Howmet is benefiting from solid momentum in the commercial aerospace market. Solid demand for engine products, supported by higher build rates, spares growth and robust backlogs are driving the segment's performance. Revenues from the commercial aerospace market increased 27% year over year in the second quarter of 2024, constituting more than 50% of its business.
While the commercial aerospace market has remained a major driver, the defense side of the industry has also been witnessing positive momentum, cushioned ...
