HWM (Howmet Aerospace) 1-Year Sharpe Ratio: 1.15 (As of Jul. 17, 2026)

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HWM Howmet Aerospace Inc HWM
82 GF Score
Price $271.19
GF Value $140.73
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Howmet Aerospace 1-Year Sharpe Ratio?

Howmet Aerospace HWM -2.88% 82 1-Year Sharpe Ratio is 1.15 as of Jul. 17, 2026. GuruFocus rates HWM with a GF Score™ of 82/100 and a GF Value™ of $140.73 (Significantly Overvalued). The stock has 5 warning signs investors should review.

The 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past year. As of today (2026-07-17), Howmet Aerospace's 1-Year Sharpe Ratio is 1.15.

Howmet Aerospace  (NYSE:HWM) 1-Year Sharpe Ratio Explanation

The 1-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past year. It is calculated as the annualized result of the average monthly excess return divided by its standard deviation over the past year. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.

The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.

Howmet Aerospace 1-Year Sharpe Ratio Related Terms

HWM vs LMT, GD, TDG: 1-Year Sharpe Ratio Comparison

For the Aerospace & Defense subindustry, Howmet Aerospace's 1-Year Sharpe Ratio, along with its competitors' market caps and 1-Year Sharpe 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 1-Year Sharpe Ratio vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Howmet Aerospace's 1-Year Sharpe Ratio distribution charts can be found below:

* The bar in red indicates where Howmet Aerospace's 1-Year Sharpe Ratio falls into.


HWM
82GF Score
Howmet Aerospace Inc HWM
1-Year Sharpe Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Howmet Aerospace 1-Year Sharpe Ratio Calculation

The 1-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset. A stock / portfolio's 1-Year Sharpe Ratio can be calculated by dividing the difference between the one-year returns of the investment and the risk-free rate, by the standard deviation of the investment returns over one year.

Frequently Asked Questions Learn more about 1-Year Sharpe Ratio →
What does a 1-Year Sharpe Ratio of 1.15 mean?
Howmet Aerospace (HWM) has a 1-Year Sharpe Ratio of 1.15 as of Jul. 17, 2026. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Howmet Aerospace and its competitors.
Is Howmet Aerospace's 1-Year Sharpe Ratio too high?
Howmet Aerospace's current 1-Year Sharpe Ratio is 1.15. 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 1-Year Sharpe Ratio compare to LMT and GD?
Howmet Aerospace's 1-Year Sharpe Ratio of 1.15 can be compared against companies in the Aerospace & Defense industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 1-Year Sharpe Ratio for an Aerospace & Defense company?
A good 1-Year Sharpe Ratio depends on the Aerospace & Defense industry context. However, 1-Year Sharpe Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 1-Year Sharpe Ratio mean?
A high 1-Year Sharpe Ratio can signal that a stock is expensive relative to its fundamentals. 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk. View historical data for Howmet Aerospace and its competitors. Howmet Aerospace's current 1-Year Sharpe Ratio is 1.15. 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 1-Year Sharpe Ratio is 1.15. Howmet Aerospace's overall GF Score™ is 82/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 1-Year Sharpe Ratio calculated?
1-Year Sharpe Ratio is calculated from a company's financial statements. For Howmet Aerospace (HWM), the current 1-Year Sharpe Ratio is 1.15 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:

  • 1-Year Sharpe Ratio: 1.15
  • GF Value™: $140.73 vs. price of $271.19 (92.7% above fair value)
  • GF Score™: 82/100 with 5 warning signs

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 Business Description

Address 201 Isabella Street, Suite 200, Pittsburgh, PA, USA, 15212-5872
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

Get the complete analysis for HWM

1-Year Sharpe Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$271.19
Price
$140.73
GF Value