Is Howmet Aerospace Inc. (HWM) Among Defense Stocks with the Highest EPS Growth in 5 Years?
From Yahoo Finance: 2025-04-08 18:12:00
In a recent article, we identified the 10 Defense Stocks with the Highest EPS Growth in 5 Years. Howmet Aerospace Inc. (HWM) is a key player in this list, showcasing impressive financial growth compared to other stocks during this period.
Global conflict has intensified with Russia’s war on Ukraine and the Middle East in turmoil. The number of conflict zones worldwide has increased by nearly two-thirds since 2021, impacting various regions and driving defense spending to record highs.
The defense industry has seen a surge in profits as investors flock to buy stocks. Global defense spending reached a peak of $2.46 trillion in 2024, driven by escalating threats and security concerns across Asia, Europe, the Middle East, and North Africa.
While European and Asian defense stocks have seen significant growth, American defense stocks have been subdued due to concerns about budget cuts and reduced military spending in the future. The industry’s landscape is evolving due to factors like the creation of DOGE.
Despite a tumultuous start to 2025, analysts remain optimistic about the defense sector, emphasizing the continued need for deterrence tools amid a changing global order. Recent developments, including the unveiling of a next-generation fighter jet by President Trump, have boosted investor sentiment.
Howmet Aerospace Inc. (HWM) stands out as one of the top defense stocks with an impressive EPS growth rate of 22.24% over the past five years. The company’s strong financial performance, including revenue and net income growth, makes it an appealing investment option in the defense sector.
Wall Street analysts are bullish on Howmet Aerospace Inc. (HWM), with a consensus Buy rating and an average share price upside potential of 10%. The company’s performance and potential have attracted the interest of 58 hedge funds, indicating growing confidence in its future growth prospects.
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