Explain this page
Arphra AIPlain-English read on Howmet Aerospace Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | — | — | — | — | — | — |
| Enterprise value | — | — | — | — | — | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | — | — | — | — | — | — |
| Free cash flow yield | — | — | — | — | — | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +22.81% | +23.91% | +24.31% | +27.62% | +30.74% | +26.99% | +27.11% | +27.86% | +27.36% |
| Operating margin | +17.42% | +18.26% | +18.75% | +22.50% | +25.81% | +23.01% | +21.92% | +22.80% | +21.87% |
| EBITDA margin | +17.16% | +19.42% | +22.06% | +24.79% | +29.24% | +25.64% | +25.50% | +24.61% | +25.04% |
| EBIT margin | +11.73% | +14.74% | +17.97% | +21.06% | +25.81% | +21.61% | +22.09% | +21.31% | +21.20% |
| Pre-tax margin | +6.52% | +10.70% | +14.68% | +18.61% | +22.30% | +18.76% | +18.94% | +19.06% | +18.49% |
| Net margin | +5.19% | +8.28% | +11.52% | +15.55% | +18.27% | +15.23% | +14.95% | +15.30% | +14.68% |
| Cost structure | |||||||||
| Cost of revenue / sales | +77.19% | +76.09% | +75.69% | +72.38% | +69.26% | +73.63% | +74.30% | +74.36% | +74.01% |
| R&D intensity | +0.34% | +0.57% | +0.54% | +0.44% | +0.45% | +0.47% | +0.47% | +0.47% | +0.48% |
| SG&A intensity | +5.05% | +5.09% | +5.02% | +4.87% | +4.48% | +4.88% | +4.84% | +4.88% | +4.81% |
| Effective tax rate | +20.37% | +22.61% | +21.54% | +16.49% | +18.04% | +18.46% | +18.40% | +18.09% | +18.51% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +7.35% | +13.02% | +18.95% | +25.36% | +28.17% | +24.21% | +23.93% | +25.13% | +23.68% |
| Return on assets (ROA) | +2.52% | +4.57% | +7.34% | +10.98% | +13.49% | +10.39% | +10.46% | +10.85% | +9.95% |
| Return on capital (ROC) | +11.03% | +13.13% | +15.82% | +20.83% | +25.35% | +20.96% | +19.82% | +20.90% | +19.80% |
| Return on invested capital (ROIC) | +3.28% | +5.95% | +9.72% | +14.39% | +17.95% | +13.87% | +13.53% | +14.02% | +13.29% |
| Asset turnover | +48.65% | +55.22% | +63.67% | +70.63% | +73.82% | +68.25% | +69.97% | +70.88% | +67.81% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +5.19% | +8.28% | +11.52% | +15.55% | +18.27% | +15.23% | +14.95% | +15.30% | +14.68% |
| Asset turnover (× revenue / assets) | +48.65% | +55.22% | +63.67% | +70.63% | +73.82% | +68.25% | +69.97% | +70.88% | +67.81% |
| Equity multiplier (× assets / equity) | +291.31% | +284.78% | +258.31% | +230.98% | +208.84% | +233.01% | +228.70% | +231.74% | +237.94% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.49 | 0.55 | 0.64 | 0.71 | 0.74 | 0.68 | 0.70 | 0.71 | 0.68 |
| Fixed-asset turnover | 2.02 | 2.43 | 2.70 | 2.92 | 3.18 | — | — | — | — |
| Inventory turnover | 2.74 | 2.68 | 2.85 | 2.92 | 3.09 | — | — | — | — |
| Receivables turnover | 11.84 | 10.55 | 9.60 | 10.48 | 10.37 | — | — | — | — |
| Payables turnover | 5.24 | 4.48 | 5.12 | 5.67 | 6.76 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 30.83 | 34.61 | 38.04 | 34.83 | 35.21 | — | — | — | — |
| Days inventory outstanding (DIO) | 133.33 | 136.29 | 128.18 | 124.88 | 118.09 | — | — | — | — |
| Days payables outstanding (DPO) | 69.61 | 81.49 | 71.32 | 64.34 | 53.97 | — | — | — | — |
| Cash conversion cycle | 94.55 | 89.42 | 94.90 | 95.37 | 99.33 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 1.74 | 1.56 | 1.18 | 1.12 | 1.25 | 1.19 | 1.19 | 1.15 | 1.25 |
| FCF / Net income | 0.97 | 1.15 | 0.89 | 0.85 | 0.95 | 0.88 | 0.92 | 0.88 | 0.92 |
| FCF margin | +5.03% | +9.54% | +10.27% | +13.15% | +17.34% | +13.43% | +13.77% | +13.39% | +13.57% |
| OCF margin | +9.03% | +12.94% | +13.57% | +17.47% | +22.83% | +18.05% | +17.86% | +17.57% | +18.32% |
| CapEx / Revenue | +4.00% | +3.41% | +3.30% | +4.32% | +5.49% | +4.44% | +4.34% | +4.24% | +4.41% |
| CapEx / D&A | 0.74 | 0.73 | 0.81 | 1.16 | 1.60 | — | — | — | — |
| Stock-based comp / Revenue | +0.82% | +0.95% | +0.75% | +0.85% | 0.00% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 0.59 | 1.11 | 1.83 | 2.81 | 3.71 | 5.01 | 6.01 | 7.09 | 7.91 |
| EPS · basic | 0.60 | 1.12 | 1.85 | 2.83 | 3.73 | 5.10 | 6.06 | 7.07 | 7.97 |
| Book value / share | 8.06 | 8.55 | 9.70 | 11.11 | 13.18 | 15.07 | 16.94 | 18.24 | 20.12 |
| Tangible BV / share | -2.55 | -2.22 | -1.21 | 0.17 | 2.15 | 15.07 | 16.94 | 18.24 | 20.12 |
| Sales / share | 11.43 | 13.45 | 15.96 | 18.12 | 20.33 | 23.96 | 27.11 | 29.96 | 32.45 |
| Operating CF / share | 1.03 | 1.74 | 2.17 | 3.17 | 4.64 | 4.33 | 4.84 | 5.26 | 5.95 |
| Free cash flow / share | 0.57 | 1.28 | 1.64 | 2.38 | 3.52 | 3.22 | 3.73 | 4.01 | 4.41 |
| Dividends / share | 0.04 | 0.10 | 0.17 | 0.26 | 0.45 | 0.38 | 0.42 | 0.46 | 0.50 |
| Payout ratio | +6.59% | +8.96% | +9.28% | +9.26% | +12.00% | +10.35% | +10.24% | +10.07% | +10.49% |
| Retention ratio | +93.41% | +91.04% | +90.72% | +90.74% | +88.00% | +89.65% | +89.76% | +89.93% | +89.51% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | +13.90% | +17.25% | +11.90% | +11.06% | +17.38% | +13.02% | +11.07% | +8.39% | +12.96% |
| Gross profit · YoY | — | +19.40% | +19.20% | +27.14% | +23.64% | +3.05% | +13.53% | +14.12% | +6.45% | +15.56% |
| Profit | ||||||||||
| Operating income · YoY | — | +19.40% | +20.41% | +34.30% | +27.39% | +4.64% | +7.64% | +15.56% | +3.94% | +16.22% |
| EBITDA · YoY | — | +28.96% | +33.18% | +25.73% | +31.00% | +2.91% | +12.40% | +7.20% | +10.28% | +18.42% |
| Net income · YoY | — | +81.78% | +63.11% | +50.98% | +30.56% | -2.21% | +11.01% | +13.63% | +4.00% | +28.64% |
| Operating | ||||||||||
| EBIT · YoY | — | +43.22% | +42.87% | +31.18% | +36.10% | -1.73% | +15.55% | +7.13% | +7.82% | +21.64% |
| R&D · YoY | — | +88.24% | +12.50% | -8.33% | +12.12% | +22.18% | +13.61% | +10.98% | +10.95% | +17.85% |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +88.14% | +64.86% | +53.55% | +32.03% | +35.15% | +19.83% | +17.95% | +11.60% | +38.33% |
| EPS · basic · YoY | — | +86.67% | +65.18% | +52.97% | +31.80% | +36.84% | +18.71% | +16.69% | +12.70% | +38.17% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $4.35B | $4.28B | $3.84B | $3.47B | $3.05B | $4.54B | $5.26B | $5.87B | $6.39B |
| Net debt | $3.63B | $3.49B | $3.23B | $2.91B | $2.31B | $3.7B | $4.33B | $4.83B | $5.25B |
| Net debt / EBITDA | 4.25 | 3.17 | 2.20 | 1.58 | 0.96 | 1.49 | 1.55 | 1.62 | 1.59 |
| Debt / equity | 1.24 | 1.19 | 0.95 | 0.76 | 0.57 | 0.75 | 0.77 | 0.79 | 0.78 |
| Debt / assets | +42.53% | +41.71% | +36.78% | +33.00% | +27.28% | +32.02% | +33.64% | +34.20% | +32.87% |
| Equity / assets | +34.33% | +35.11% | +38.71% | +43.29% | +47.88% | +42.92% | +43.73% | +43.15% | +42.03% |
| Coverage | |||||||||
| EBITDA / interest expense | 3.29 | 4.80 | 6.72 | 10.12 | 15.98 | 10.15 | 10.11 | 9.78 | 9.77 |
| Operating income / interest | 3.34 | 4.52 | 5.71 | 9.19 | 14.11 | 9.11 | 8.69 | 9.06 | 8.53 |
| Interest expense | $259M | $229M | $218M | $182M | $151M | $244.62M | $276.12M | $305.93M | $337.7M |
| Liquidity | |||||||||
| Current ratio | 2.18 | 2.12 | 1.86 | 2.17 | 2.13 | — | — | — | — |
| Quick ratio | 0.91 | 0.90 | 0.73 | 0.82 | 0.87 | — | — | — | — |
| Cash ratio | 0.57 | 0.53 | 0.34 | 0.36 | 0.42 | — | — | — | — |
| Working capital | $1.48B | $1.66B | $1.53B | $1.81B | $2.01B | — | — | — | — |
| Working capital / revenue | +29.85% | +29.33% | +23.07% | +24.40% | +24.33% | — | — | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).