WallStSmart

Howmet Aerospace Inc (HWM)vsWatts Water Technologies Inc (WTS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Howmet Aerospace Inc generates 238% more annual revenue ($8.25B vs $2.44B). HWM leads profitability with a 18.3% profit margin vs 14.0%. HWM appears more attractively valued with a PEG of 0.80. HWM earns a higher WallStSmart Score of 69/100 (B-).

HWM

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 9.0Value: 5.0Quality: 5.0

WTS

Buy

58

out of 100

Grade: C

Growth: 7.3Profit: 7.5Value: 3.3Quality: 7.8
Piotroski: 6/9Altman Z: 4.16
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for HWM.

WTSSignificantly Overvalued (-44.7%)

Margin of Safety

-44.7%

Fair Value

$217.51

Current Price

$300.16

$82.65 premium

UndervaluedFair: $217.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HWM5 strengths · Avg: 8.6/10
Return on EquityProfitability
30.4%10/10

Every $100 of equity generates 30 in profit

Market CapQuality
$94.83B9/10

Large-cap with strong market position

PEG RatioValuation
0.808/10

Growing faster than its price suggests

Operating MarginProfitability
26.3%8/10

Strong operational efficiency at 26.3%

EPS GrowthGrowth
20.3%8/10

Earnings expanding 20.3% YoY

WTS3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
4.1610/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

EPS GrowthGrowth
23.8%8/10

Earnings expanding 23.8% YoY

Areas to Watch

HWM2 concerns · Avg: 3.0/10
Price/BookValuation
18.2x4/10

Trading at 18.2x book value

P/E RatioValuation
63.8x2/10

Premium valuation, high expectations priced in

WTS2 concerns · Avg: 3.0/10
P/E RatioValuation
29.2x4/10

Moderate valuation

PEG RatioValuation
3.192/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : HWM

The strongest argument for HWM centers on Return on Equity, Market Cap, PEG Ratio. Profitability is solid with margins at 18.3% and operating margin at 26.3%. Revenue growth of 14.6% demonstrates continued momentum.

Bull Case : WTS

The strongest argument for WTS centers on Altman Z-Score, Revenue Growth, EPS Growth. Revenue growth of 15.7% demonstrates continued momentum.

Bear Case : HWM

The primary concerns for HWM are Price/Book, P/E Ratio. A P/E of 63.8x leaves little room for execution misses.

Bear Case : WTS

The primary concerns for WTS are P/E Ratio, PEG Ratio.

Key Dynamics to Monitor

HWM profiles as a mature stock while WTS is a growth play — different risk/reward profiles.

WTS carries more volatility with a beta of 1.27 — expect wider price swings.

WTS is growing revenue faster at 15.7% — sustainability is the question.

HWM generates stronger free cash flow (530M), providing more financial flexibility.

Bottom Line

HWM scores higher overall (69/100 vs 58/100), backed by strong 18.3% margins and 14.6% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Howmet Aerospace Inc

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Howmet Aerospace Inc. is an American aerospace company based in Pittsburgh, Pennsylvania. The company manufactures components for jet engines, fasteners and titanium structures for aerospace applications, and forged aluminum wheels for heavy trucks.

Watts Water Technologies Inc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Watts Water Technologies, Inc. designs, manufactures and sells products and systems that manage and conserve the flow of fluids and energy to, through and from buildings in the commercial and residential markets of the Americas, Europe, Asia-Pacific, the Middle East and Africa. . The company is headquartered in North Andover, Massachusetts.

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