UPDATE: Wells Fargo Starts Howmet Aerospace Inc. (HWM) at Overweight
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."
Shares of Howmet Aerospace Inc. closed at $32.40 yesterday.
You May Also Be Interested In
- UPDATE: Oppenheimer Starts Golub Capital BDC (GBDC) at Outperform
- FirstRand Ltd. (FSR:SJ) (FANDF) PT Raised to ZAR73 at HSBC
- SCG Packaging PCL (SCGP:TB) PT Raised to THB69 at Macquarie
Create E-mail Alert Related CategoriesAnalyst Comments, New Coverage
Related EntitiesWells Fargo
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!