A Discounted Cash Flow (DCF) model estimates Howmet Aerospace (NYSE:HWM) to have a fair value of US$171, suggesting it is currently 35% overvalued compared to its share price of US$231. Analysts, however, have a price target of US$247, which is 44% above this fair value estimate. The article details the assumptions and calculations used in the two-stage DCF model, emphasizing that valuation is an estimate.
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Is Howmet Aerospace Inc. (NYSE:HWM) Worth US$231 Based On Its Intrinsic Value?
A Discounted Cash Flow (DCF) model estimates Howmet Aerospace (NYSE:HWM) to have a fair value of US$171, suggesting it is currently 35% overvalued compared to its share price of US$231. Analysts, however, have a price target of US$247, which is 44% above this fair value estimate. The article details the assumptions and calculations used in the two-stage DCF model, emphasizing that valuation is an estimate.