Lockheed Martin vs. Howmet Aerospace: Which Stock is the Better Buy?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy HWM?
Source: Yahoo Finance
- Howmet Aerospace Growth: Howmet reported a record revenue of $8.3 billion in 2025, an 11% increase, with EPS rising 32% to $3.71, indicating strong demand for its critical components in the aerospace and defense sectors, particularly for the F-35 program.
- Optimistic Future Projections: The company forecasts 2026 revenue between $9 billion and $9.2 billion, reflecting a 9.6% increase at the midpoint, alongside an 18% rise in adjusted EPS, which will provide sufficient free cash flow to continue boosting dividends, showcasing resilience in uncertain market conditions.
- Lockheed Martin Stability: Lockheed achieved $75 billion in revenue for 2025, with EPS down 23% to $21.49 due to non-recurring charges; however, its $194 billion backlog ensures stable future cash flows, highlighting its critical role in the growing defense budget.
- Dividend Performance Comparison: Lockheed has increased its dividend for 23 consecutive years, with a recent 5% boost to $3.45 per share, yielding around 2.2%, while Howmet's shorter dividend history and lower yield suggest Lockheed offers more attractive returns for investors.
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Analyst Views on HWM
Wall Street analysts forecast HWM stock price to fall
13 Analyst Rating
12 Buy
1 Hold
0 Sell
Strong Buy
Current: 247.600
Low
209.00
Averages
236.77
High
258.00
Current: 247.600
Low
209.00
Averages
236.77
High
258.00
About HWM
Howmet Aerospace Inc. is a global provider of advanced engineered solutions for the aerospace and transportation industries. The Company’s primary business focus is on jet engine components, aerospace fastening systems, and airframe structural components. Its Engine Products segment produces investment castings, including airfoils, and seamless rolled rings primarily for aircraft engines and industrial gas turbine applications. Its Fastening Systems segment produces aerospace fastening systems, as well as commercial transportation, industrial and other fasteners. Its Engineered Structures segment produces titanium ingots and mill products for aerospace and defense applications and is vertically integrated to produce titanium forgings, titanium extrusions, and machining services for airframe, wing, aero-engine, and landing gear components. Its Forged Wheels segment provides forged aluminum wheels and related products for heavy-duty trucks and the commercial transportation market.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Lockheed Martin and Howmet Aerospace Surge Amid Increased Defense Spending
- Significant Revenue Growth: Howmet Aerospace achieved record revenue of $8.3 billion in 2025, marking an 11% increase, with earnings per share (EPS) rising 32% to $3.71, highlighting its critical role and strong demand in the defense market.
- Increased Defense Budget: The Trump administration's proposal to raise the 2027 U.S. defense budget to $1.5 trillion positions Lockheed Martin, as the lead contractor for the F-35, to benefit significantly, ensuring a steady cash flow and continued dividend growth.
- Dividend Yield Comparison: Lockheed Martin boasts a dividend yield of approximately 2.2%, having increased dividends for 23 consecutive years, while Howmet Aerospace's yield is only 0.18%, showcasing Lockheed's superior shareholder return strategy.
- Market Outlook Analysis: Although Howmet Aerospace shows greater growth potential, its forward P/E ratio exceeds 54, significantly higher than Lockheed's 20.6, indicating that much of Howmet's growth is already priced in, prompting investors to choose wisely.
See More
Investment Comparison: Lockheed Martin vs. Howmet Aerospace
- Howmet Aerospace Growth: Howmet Aerospace reported an 11% revenue increase to $8.3 billion in 2025, with EPS rising 32% to $3.71, driven by critical components operating under extreme conditions, and forecasts 2026 revenue of $9 billion to $9.2 billion, indicating strong market demand and growth potential.
- Lockheed Martin Stability: Lockheed Martin achieved $75 billion in revenue for 2025, with EPS declining 23% to $21.49 due to non-recurring charges; however, its $194 billion backlog ensures revenue stability for the next two and a half years, highlighting its strong position in the defense market.
- Defense Spending Boost: With the U.S. defense budget projected to reach $1.5 trillion by 2027, Lockheed's missile and fire control segment benefits from a $4.7 billion Army contract, further solidifying its cash flow and market share.
- Dividend Policy Differences: Lockheed has increased its dividend for 23 consecutive years, raising it by 5% to $3.45 per quarter, yielding approximately 2.2%, while Howmet's yield is only 0.18%, showcasing Lockheed's advantage in shareholder returns.
See More
Lockheed Martin vs. Howmet Aerospace: Which Stock is the Better Buy?
- Howmet Aerospace Growth: Howmet reported a record revenue of $8.3 billion in 2025, an 11% increase, with EPS rising 32% to $3.71, indicating strong demand for its critical components in the aerospace and defense sectors, particularly for the F-35 program.
- Optimistic Future Projections: The company forecasts 2026 revenue between $9 billion and $9.2 billion, reflecting a 9.6% increase at the midpoint, alongside an 18% rise in adjusted EPS, which will provide sufficient free cash flow to continue boosting dividends, showcasing resilience in uncertain market conditions.
- Lockheed Martin Stability: Lockheed achieved $75 billion in revenue for 2025, with EPS down 23% to $21.49 due to non-recurring charges; however, its $194 billion backlog ensures stable future cash flows, highlighting its critical role in the growing defense budget.
- Dividend Performance Comparison: Lockheed has increased its dividend for 23 consecutive years, with a recent 5% boost to $3.45 per share, yielding around 2.2%, while Howmet's shorter dividend history and lower yield suggest Lockheed offers more attractive returns for investors.
See More
JEPI ETF 52-Week Price Analysis
- Price Range Analysis: JEPI ETF's 52-week low is $52.1601 per share, with a high of $59.90, and a last trade at $57.67, indicating stability and volatility in the ETF's market performance.
- Technical Analysis Tool: Comparing the latest share price to the 200-day moving average provides investors with valuable insights for technical analysis, aiding in market trend assessment and investment timing.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding helps identify ETFs experiencing notable inflows (new units created) or outflows (old units destroyed), assessing their impact on underlying assets and market dynamics.
See More
Howmet Aerospace Appoints New Chief Legal and Compliance Officer
- Executive Appointment: Howmet Aerospace has announced the appointment of Jonathan Arenas as Executive Vice President, Chief Legal and Compliance Officer, and Secretary, which is expected to enhance the company's governance and compliance capabilities.
- Rich Background: Arenas previously served as Vice President and Chief Counsel at Huntington Ingalls Industries and held senior legal roles at The Boeing Company and NASA, bringing extensive legal and compliance experience to the role.
- Strategic Leadership Team: As a member of Howmet's Executive Leadership Team, Arenas will participate in setting the company's strategic direction, which is anticipated to drive long-term growth in the aerospace and transportation sectors.
- Headquarters Location: Arenas will be based at Howmet's Global Headquarters in Pittsburgh, Pennsylvania, further strengthening the company's legal and compliance functions in the region.
See More
Howmet Aerospace Appoints New Chief Legal and Compliance Officer
- Executive Appointment: Howmet Aerospace has announced the appointment of Jonathan Arena as Executive Vice President, Chief Legal and Compliance Officer, and Secretary, joining the executive leadership team responsible for setting the company's strategic direction, which is expected to enhance the company's legal compliance capabilities.
- Rich Background: Prior to joining Howmet, Arena served as Vice President and Chief Counsel at Huntington Ingalls Industries and held senior legal roles at The Boeing Company and NASA, bringing extensive industry experience that will benefit Howmet's legal operations.
- Educational Credentials: Arena holds degrees from The Ohio State University, Washington University in St. Louis, and William & Mary Law School, providing a solid academic foundation for overseeing Howmet's legal affairs.
- Global Headquarters: Arena will be based at Howmet's Global Headquarters in Pittsburgh, Pennsylvania, which is expected to strengthen the company's legal compliance management in the aerospace and transportation sectors.
See More
Lockheed Martin and Howmet Aerospace Surge Amid Increased Defense Spending
- Significant Revenue Growth: Howmet Aerospace achieved record revenue of $8.3 billion in 2025, marking an 11% increase, with earnings per share (EPS) rising 32% to $3.71, highlighting its critical role and strong demand in the defense market.
- Increased Defense Budget: The Trump administration's proposal to raise the 2027 U.S. defense budget to $1.5 trillion positions Lockheed Martin, as the lead contractor for the F-35, to benefit significantly, ensuring a steady cash flow and continued dividend growth.
- Dividend Yield Comparison: Lockheed Martin boasts a dividend yield of approximately 2.2%, having increased dividends for 23 consecutive years, while Howmet Aerospace's yield is only 0.18%, showcasing Lockheed's superior shareholder return strategy.
- Market Outlook Analysis: Although Howmet Aerospace shows greater growth potential, its forward P/E ratio exceeds 54, significantly higher than Lockheed's 20.6, indicating that much of Howmet's growth is already priced in, prompting investors to choose wisely.
See More
Investment Comparison: Lockheed Martin vs. Howmet Aerospace
- Howmet Aerospace Growth: Howmet Aerospace reported an 11% revenue increase to $8.3 billion in 2025, with EPS rising 32% to $3.71, driven by critical components operating under extreme conditions, and forecasts 2026 revenue of $9 billion to $9.2 billion, indicating strong market demand and growth potential.
- Lockheed Martin Stability: Lockheed Martin achieved $75 billion in revenue for 2025, with EPS declining 23% to $21.49 due to non-recurring charges; however, its $194 billion backlog ensures revenue stability for the next two and a half years, highlighting its strong position in the defense market.
- Defense Spending Boost: With the U.S. defense budget projected to reach $1.5 trillion by 2027, Lockheed's missile and fire control segment benefits from a $4.7 billion Army contract, further solidifying its cash flow and market share.
- Dividend Policy Differences: Lockheed has increased its dividend for 23 consecutive years, raising it by 5% to $3.45 per quarter, yielding approximately 2.2%, while Howmet's yield is only 0.18%, showcasing Lockheed's advantage in shareholder returns.
See More
Lockheed Martin vs. Howmet Aerospace: Which Stock is the Better Buy?
- Howmet Aerospace Growth: Howmet reported a record revenue of $8.3 billion in 2025, an 11% increase, with EPS rising 32% to $3.71, indicating strong demand for its critical components in the aerospace and defense sectors, particularly for the F-35 program.
- Optimistic Future Projections: The company forecasts 2026 revenue between $9 billion and $9.2 billion, reflecting a 9.6% increase at the midpoint, alongside an 18% rise in adjusted EPS, which will provide sufficient free cash flow to continue boosting dividends, showcasing resilience in uncertain market conditions.
- Lockheed Martin Stability: Lockheed achieved $75 billion in revenue for 2025, with EPS down 23% to $21.49 due to non-recurring charges; however, its $194 billion backlog ensures stable future cash flows, highlighting its critical role in the growing defense budget.
- Dividend Performance Comparison: Lockheed has increased its dividend for 23 consecutive years, with a recent 5% boost to $3.45 per share, yielding around 2.2%, while Howmet's shorter dividend history and lower yield suggest Lockheed offers more attractive returns for investors.
See More
JEPI ETF 52-Week Price Analysis
- Price Range Analysis: JEPI ETF's 52-week low is $52.1601 per share, with a high of $59.90, and a last trade at $57.67, indicating stability and volatility in the ETF's market performance.
- Technical Analysis Tool: Comparing the latest share price to the 200-day moving average provides investors with valuable insights for technical analysis, aiding in market trend assessment and investment timing.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding helps identify ETFs experiencing notable inflows (new units created) or outflows (old units destroyed), assessing their impact on underlying assets and market dynamics.
See More
Howmet Aerospace Appoints New Chief Legal and Compliance Officer
- Executive Appointment: Howmet Aerospace has announced the appointment of Jonathan Arenas as Executive Vice President, Chief Legal and Compliance Officer, and Secretary, which is expected to enhance the company's governance and compliance capabilities.
- Rich Background: Arenas previously served as Vice President and Chief Counsel at Huntington Ingalls Industries and held senior legal roles at The Boeing Company and NASA, bringing extensive legal and compliance experience to the role.
- Strategic Leadership Team: As a member of Howmet's Executive Leadership Team, Arenas will participate in setting the company's strategic direction, which is anticipated to drive long-term growth in the aerospace and transportation sectors.
- Headquarters Location: Arenas will be based at Howmet's Global Headquarters in Pittsburgh, Pennsylvania, further strengthening the company's legal and compliance functions in the region.
See More
Howmet Aerospace Appoints New Chief Legal and Compliance Officer
- Executive Appointment: Howmet Aerospace has announced the appointment of Jonathan Arena as Executive Vice President, Chief Legal and Compliance Officer, and Secretary, joining the executive leadership team responsible for setting the company's strategic direction, which is expected to enhance the company's legal compliance capabilities.
- Rich Background: Prior to joining Howmet, Arena served as Vice President and Chief Counsel at Huntington Ingalls Industries and held senior legal roles at The Boeing Company and NASA, bringing extensive industry experience that will benefit Howmet's legal operations.
- Educational Credentials: Arena holds degrees from The Ohio State University, Washington University in St. Louis, and William & Mary Law School, providing a solid academic foundation for overseeing Howmet's legal affairs.
- Global Headquarters: Arena will be based at Howmet's Global Headquarters in Pittsburgh, Pennsylvania, which is expected to strengthen the company's legal compliance management in the aerospace and transportation sectors.
See More
