UPDATE: Wells Fargo Starts Howmet Aerospace Inc. (HWM) at Overweight

May 12, 2021 4:45 PM EDT
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Price: $30.60 -1.1%

Rating Summary:
    10 Buy, 1 Hold, 0 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 11 | Down: 8 | New: 46
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(Updated - May 13, 2021 6:30 AM EDT)

Wells Fargo analyst Matthew Akers initiates coverage on Howmet Aerospace Inc. (NYSE: HWM) with a Overweight rating and a price target of $39.00.

THe analyst comments "We are initiating coverage of Howmet Aerospace Inc. with an Overweight rating. We see HWM benefiting from strong incremental margins as aerospace demand ramps up post COVID, while our analysis implies not much additional cost needed as revenue returns. HWM's stock price has correlated positively with the COVID reopening, rising interest rates, and rotation to value trades, and should continue to outperform if these trends continue. Significant defense and transportation exposure provides diversification outside commercial aerospace with continued growth. Our 2021 EPS estimate, at $0.98, is roughly in line with consensus, while our 2022 estimate, at $1.58, is ahead. Our $39 price target for HWM is based on a 19x multiple on our 2023 EPS estimate of $2.05."

For an analyst ratings summary and ratings history on Howmet Aerospace Inc. click here. For more ratings news on Howmet Aerospace Inc. click here.

Shares of Howmet Aerospace Inc. closed at $32.40 yesterday.

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