Howmet Aerospace falls behind competitors

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Howmet Aerospace ($NYSE:HWM), a leading manufacturer of aerospace components, fell behind its competitors on Thursday. The company’s shares lagged behind those of its peers, indicating that investors are becoming increasingly worried about its prospects. Howmet Aerospace has been under pressure in recent months as its competitors have gained market share. The company has also been hurt by higher costs, which have eroded its profit margins.

As a result, Howmet Aerospace’s shares have lost about a third of their value over the past year. Investors are clearly worried that Howmet Aerospace is falling behind its competitors. The company needs to take decisive action to regain investor confidence.

Price History

Howmet Aerospace falls behind competitors On Friday, HOWMET AEROSPACE stock opened at $37.0 and closed at $37.1, up by 1.7% from last closing price of 36.5. Howmet Aerospace is a leading manufacturer of aerospace components and systems.

However, the company has been facing challenges lately, and its stock has been underperforming its competitors. The main reason for Howmet’s underperformance is the weak demand for commercial aircraft, which has hurt the company’s sales.

In addition, the company is also facing headwinds from the tariffs imposed by the U.S. government on imported steel and aluminum. Despite these challenges, Howmet Aerospace remains a strong company with a solid financial position. The company has a strong balance sheet, and its cash flow remains healthy. In addition, Howmet is continuing to invest in new products and technologies. Looking ahead, Howmet Aerospace is expected to benefit from the recovery in the commercial aircraft market. The company is also likely to benefit from the recent tax reform law, which should boost its earnings.

VI Analysis

According to the VI app, HOWMET AEROSPACE is a high risk investment in terms of financial and business aspects. The app has detected 3 risk warnings in income sheet, balance sheet, cashflow statement.

VI Peers

Its main competitors are Rolls-Royce Holdings PLC, General Dynamics Corp, and Raytheon Technologies Corp.

– Rolls-Royce Holdings PLC ($LSE:RR.)

Rolls-Royce Holdings PLC is a British multinational engineering company incorporated in February 2011 that owns Rolls-Royce, a business founded in 1904 which today designs, manufactures and distributes power systems for aviation and other industries.

The company has a market cap of 7.25B as of 2022 and a Return on Equity of 21.06%. Rolls-Royce is a global leader in the design, manufacture and distribution of power systems for aviation and other industries. The company’s products and services power more than 35,000 aircraft and over 10,000 ships worldwide.

– General Dynamics Corp ($NYSE:GD)

General Dynamics Corporation is an American aerospace and defense conglomerate company formed by mergers and divestitures, and as of 2012, it is the fifth largest defense contractor in the world. It is headquartered in West Falls Church, The company has a market cap of 68.15B as of 2022 and a Return on Equity of 15.38%. The company is involved in the design, development, and manufacture of products and services for the aerospace and defense industries.

– Raytheon Technologies Corp ($NYSE:RTX)

Raytheon Technologies Corporation is an aerospace and defense company that provides products and services for the commercial, military, and government markets. The company has a market cap of 140.18B as of 2022 and a Return on Equity of 5.82%. Raytheon Technologies is a technology leader in defense, security, and commercial aerospace. The company’s products and services include aircraft engines, radar, and other electronic systems.

Summary

Howmet Aerospace is a global leader in advanced engineered solutions for the aerospace and transportation industries. With a history of innovation and excellence spanning more than a century, the company has earned a reputation for providing cutting-edge solutions to the most demanding challenges.

However, in recent years Howmet Aerospace has fallen behind its competitors in terms of investment. This is due in part to the company’s focus on short-term profitability over long-term growth. As a result, Howmet Aerospace has been losing market share to its competitors. To turn things around, the company needs to invest in long-term growth initiatives. This includes research and development, as well as expanding its sales and marketing efforts. By doing so, Howmet Aerospace can regain its position as a leader in the aerospace and transportation industries.