It's been a pretty great week for Howmet Aerospace Inc. (NYSE:HWM) shareholders, with its shares surging 13% to US$154 in the week since its latest first-quarter results. Howmet Aerospace reported US$1.9b in revenue, roughly in line with analyst forecasts, although statutory earnings per share (EPS) of US$0.84 beat expectations, being 8.1% higher than what the analysts expected. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Taking into account the latest results, the most recent consensus for Howmet Aerospace from 22 analysts is for revenues of US$8.08b in 2025. If met, it would imply an okay 7.1% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to ascend 12% to US$3.49. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$8.07b and earnings per share (EPS) of US$3.29 in 2025. The analysts seems to have become more bullish on the business, judging by their new earnings per share estimates.

View our latest analysis for Howmet Aerospace

The consensus price target rose 11% to US$156, suggesting that higher earnings estimates flow through to the stock's valuation as well. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Howmet Aerospace, with the most bullish analyst valuing it at US$185 and the most bearish at US$113 per share. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. The analysts are definitely expecting Howmet Aerospace's growth to accelerate, with the forecast 9.5% annualised growth to the end of 2025 ranking favourably alongside historical growth of 6.3% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 7.1% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Howmet Aerospace to grow faster than the wider industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Howmet Aerospace following these results. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. We note an upgrade to the price target, suggesting that the analysts believes the intrinsic value of the business is likely to improve over time.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for Howmet Aerospace going out to 2027, and you can see them free on our platform here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.