Is Howmet Aerospace, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Howmet Aerospace, Inc. has moved from expensive to fair. Based on the current metrics, the company appears to be fairly valued. Key ratios include a P/E ratio of 55, an EV to EBITDA of 35.63, and a PEG ratio of 1.12, which suggest that while the stock is priced at a premium, it is not excessively so compared to its peers.
In comparison to its industry, Howmet Aerospace's P/E ratio is higher than RTX Corp. at 37.08 and Honeywell International at 30.10, indicating a more aggressive valuation. However, it is worth noting that its EV to EBITDA ratio is better than that of The Boeing Co., which is at -40.63, suggesting that Howmet is in a more favorable position. Additionally, the company's stock has significantly outperformed the S&P 500, with a year-to-date return of 73.43% compared to the S&P 500's 13.30%, reinforcing the notion that the stock is fairly valued in light of its strong performance.