Howmet AerospaceMEX:HWM -3.63%69 PEG Ratio is 2.34 as of Jun. 29, 2026, which is 29% below its 10-year median of 3.30. GuruFocus rates MEX:HWM with a GF Score™ of 69/100 and a GF Value™ of MXN2,434.36 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 124 Aerospace & Defense companies, Howmet Aerospace ranks worse than 53.23% on this metric.
* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for Howmet Aerospace's PEG Ratio or its related term are showing as below:
MEX:HWM'
s PEG Ratio Range Over the Past 10 Years
Min: 1.87 Med: 3.3 Max: 35.55
Current: 2.45
During the past 12 years, Howmet Aerospace's highest PEG Ratio was 35.55. The lowest was 1.87. And the median was 3.30.
MEX:HWM's PEG Ratio is ranked worse than 53.23% of 124
companies
in the Aerospace & Defense industry
Industry Median: 2.24
vs MEX:HWM: 2.45
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
Howmet Aerospace (MEX:HWM) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
Howmet Aerospace PEG Ratio Related Terms
Howmet Aerospace PEG Ratio Historical Data
* Premium members only.
The historical data trend for Howmet Aerospace's PEG 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.
For the Aerospace & Defense subindustry, Howmet Aerospace's PEG Ratio, along with its competitors' market caps and PEG 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 PEG Ratio vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Howmet Aerospace's PEG Ratio distribution charts can be found below:
* The bar in red indicates where Howmet Aerospace's PEG Ratio falls into.
* 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.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
Howmet Aerospace (MEX:HWM) has a PEG Ratio of 2.34 as of Jun. 29, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Howmet Aerospace and its competitors. This is 29% below median its historical median of 3.30. Over the past decade, Howmet Aerospace's PEG Ratio has ranged from 1.87 to 35.55. According to the industry distribution chart, Howmet Aerospace ranks #66 out of 124 companies in the Aerospace & Defense industry, placing it in the top 53.2%.
Is Howmet Aerospace's PEG Ratio too high?
Howmet Aerospace's current PEG Ratio of 2.34 is 29% below median its 10-year median of 3.30. Over the past 10 years, this metric has ranged from a low of 1.87 to a high of 35.55. The Aerospace & Defense industry median PEG Ratio is 2.24. Howmet Aerospace's value of 2.34 is 4.5% above this industry median. Based on the distribution chart, Howmet Aerospace ranks #66 out of 124 companies in the Aerospace & Defense industry, which is below the industry midpoint. Overall, Howmet Aerospace has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Howmet Aerospace's PEG Ratio compare to LMT and GD?
According to the Aerospace & Defense industry distribution chart, Howmet Aerospace ranks #66 out of 124 companies for PEG Ratio. This places Howmet Aerospace in the lower half of its industry. The industry median PEG Ratio is 2.24. Howmet Aerospace's value of 2.34 is 4.5% above this benchmark. Historically, Howmet Aerospace's own PEG Ratio has ranged from 1.87 to 35.55 over the past decade. While the company's 10-year median is 3.30 vs. the industry median of 2.24, 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 PEG Ratio for an Aerospace & Defense company?
The median PEG Ratio among Aerospace & Defense companies is 2.24, based on 124 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Howmet Aerospace's current PEG Ratio of 2.34 is 4.5% 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 PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on Howmet Aerospace and its competitors. For the Aerospace & Defense industry, the median PEG Ratio is 2.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Howmet Aerospace's current PEG Ratio is 2.34, which is 29% below median its own 10-year median of 3.30. 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 (MEX:HWM) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN2,434.36, compared to a current price of MXN4,698.00 — trading 93% above its estimated fair value. The current PEG Ratio is 2.34, which is 29% below median its 10-year median of 3.30 and 4.5% above the Aerospace & Defense industry median of 2.24. Howmet Aerospace's overall GF Score™ is 69/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For Howmet Aerospace (MEX:HWM), the current PEG Ratio is 2.34 as of Jun. 29, 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 (MEX:HWM) Overvalued in 2026?
Based on GuruFocus' analysis, Howmet Aerospace stock appears to be overvalued.
The current stock price of MXN4,698.00 is trading 93% above its estimated GF Value™ of MXN2,434.36.
GuruFocus considers Howmet Aerospace to be Significantly Overvalued.
Key valuation signals for MEX:HWM:
PEG Ratio: 2.34 (29% below median its 10-year median of 3.30)
GF Value™: MXN2,434.36 vs. price of MXN4,698.00 (93% above fair value)
Industry Position: 4.5% above the Aerospace & Defense median (#66 of 124)
No single metric tells the full story. See the MEX: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.
69GF Score
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