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Howmet AerospaceHWM -2.88%82 Cyclically Adjusted PB Ratio is 22.17 as of Jul. 17, 2026, which is 15% above its 10-year median of 19.20. GuruFocus rates HWM with a GF Score™ of 82/100 and a GF Value™ of $140.73 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 214 Aerospace & Defense companies, Howmet Aerospace ranks worse than 95.79% on this metric.
The historical rank and industry rank for Howmet Aerospace's Cyclically Adjusted PB Ratio or its related term are showing as below:
HWM'
s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 14.55 Med: 19.2 Max: 22.83
Current: 22.83
During the past years, Howmet Aerospace's highest Cyclically Adjusted PB Ratio was 22.83. The lowest was 14.55. And the median was 19.20.
HWM's Cyclically Adjusted PB Ratio is ranked worse than 95.79% of 214
companies
in the Aerospace & Defense industry
Industry Median: 3.755
vs HWM: 22.83
The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.
Howmet Aerospace's adjusted book value per share data for the three months ended in Mar. 2026 was $13.780. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $12.23 for the trailing ten years ended in Mar. 2026.
Shiller PE for Stocks: The True Measure of Stock Valuation
Howmet Aerospace (NYSE:HWM) Cyclically Adjusted PB Ratio Explanation
Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.
If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.
Howmet Aerospace Cyclically Adjusted PB Ratio Related Terms
Howmet Aerospace Cyclically Adjusted PB Ratio Historical Data
* Premium members only.
The historical data trend for Howmet Aerospace's Cyclically Adjusted PB Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Howmet Aerospace Cyclically Adjusted PB Ratio Chart
HWM vs LMT, GD, TDG: Cyclically Adjusted PB Ratio Comparison
For the Aerospace & Defense subindustry, Howmet Aerospace's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Howmet Aerospace Cyclically Adjusted PB Ratio vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Howmet Aerospace's Cyclically Adjusted PB Ratio distribution charts can be found below:
* The bar in red indicates where Howmet Aerospace's Cyclically Adjusted PB Ratio falls into.
Howmet Aerospace Cyclically Adjusted PB Ratio Calculation
Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.
The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.
Howmet Aerospace's Cyclically Adjusted PB Ratio for today is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.
What does a Cyclically Adjusted PB Ratio of 22.17 mean?
Howmet Aerospace (HWM) has a Cyclically Adjusted PB Ratio of 22.17 as of Jul. 17, 2026. Cyclically Adjusted PB Ratio is the ratio of share price to a company's inflation-adjusted book value per share over a 10-year period. View historical data on Howmet Aerospace and its competitors. This is 15% above median its historical median of 19.20. Over the past decade, Howmet Aerospace's Cyclically Adjusted PB Ratio has ranged from 14.55 to 22.83. According to the industry distribution chart, Howmet Aerospace ranks #205 out of 214 companies in the Aerospace & Defense industry, placing it in the top 95.8%.
Is Howmet Aerospace's Cyclically Adjusted PB Ratio too high?
Howmet Aerospace's current Cyclically Adjusted PB Ratio of 22.17 is 15% above median its 10-year median of 19.20. Over the past 10 years, this metric has ranged from a low of 14.55 to a high of 22.83. The Aerospace & Defense industry median Cyclically Adjusted PB Ratio is 3.76. Howmet Aerospace's value of 22.17 is 490.4% above this industry median. Based on the distribution chart, Howmet Aerospace ranks #205 out of 214 companies in the Aerospace & Defense industry, which is in the bottom quartile relative to peers. Overall, Howmet Aerospace has a GF Score™ of 82/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Howmet Aerospace's Cyclically Adjusted PB Ratio compare to LMT and GD?
According to the Aerospace & Defense industry distribution chart, Howmet Aerospace ranks #205 out of 214 companies for Cyclically Adjusted PB Ratio. This places Howmet Aerospace in the lower half of its industry. The industry median Cyclically Adjusted PB Ratio is 3.76. Howmet Aerospace's value of 22.17 is 490.4% above this benchmark. Historically, Howmet Aerospace's own Cyclically Adjusted PB Ratio has ranged from 14.55 to 22.83 over the past decade. While the company's 10-year median is 19.20 vs. the industry median of 3.76, Howmet Aerospace has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cyclically Adjusted PB Ratio for an Aerospace & Defense company?
The median Cyclically Adjusted PB Ratio among Aerospace & Defense companies is 3.76, based on 214 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Howmet Aerospace's current Cyclically Adjusted PB Ratio of 22.17 is 490.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cyclically Adjusted PB Ratio mean?
A high Cyclically Adjusted PB Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PB Ratio is the ratio of share price to a company's inflation-adjusted book value per share over a 10-year period. View historical data on Howmet Aerospace and its competitors. For the Aerospace & Defense industry, the median Cyclically Adjusted PB Ratio is 3.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Howmet Aerospace's current Cyclically Adjusted PB Ratio is 22.17, which is 15% above median its own 10-year median of 19.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Howmet Aerospace stock overvalued right now?
Based on GuruFocus' analysis, Howmet Aerospace (HWM) is currently considered Significantly Overvalued. The stock's GF Value™ is $140.73, compared to a current price of $271.19 — trading 92.7% above its estimated fair value. The current Cyclically Adjusted PB Ratio is 22.17, which is 15% above median its 10-year median of 19.20 and 490.4% above the Aerospace & Defense industry median of 3.76. Howmet Aerospace's overall GF Score™ is 82/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cyclically Adjusted PB Ratio calculated?
Cyclically Adjusted PB Ratio is calculated from a company's financial statements. For Howmet Aerospace (HWM), the current Cyclically Adjusted PB Ratio is 22.17 as of Jul. 17, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Howmet Aerospace (HWM) Overvalued in 2026?
Based on GuruFocus' analysis, Howmet Aerospace stock appears to be overvalued.
The current stock price of $271.19 is trading 92.7% above its estimated GF Value™ of $140.73.
GuruFocus considers Howmet Aerospace to be Significantly Overvalued.
Key valuation signals for HWM:
Cyclically Adjusted PB Ratio: 22.17 (15% above median its 10-year median of 19.20)
GF Value™: $140.73 vs. price of $271.19 (92.7% above fair value)
Industry Position: 490.4% above the Aerospace & Defense median (#205 of 214)
No single metric tells the full story. See the HWM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Howmet Aerospace Inc offers engineered solutions for the aerospace and transportation industries. The company's products and solutions include investment castings for jet engines and industrial gas turbines; seamless rolled rings for jet engines; fastening systems for aerospace, industrial and commercial transportation applications; forged jet engine components (e.g., jet engine disks); machined and forged aircraft parts; and forged aluminum commercial vehicle wheels, all of which are sold directly to customers or through distributors. It has four reportable segments: Engine Products, which derives key revenue, Fastening Systems, Engineered Structures, and Forged Wheels. Geographically, the company derives maximum revenue from the USA, followed by France, Japan, Germany, and other markets.
82GF Score
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Cyclically Adjusted PB Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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