Howmet Aerospace Inc. (HWM) vs L3Harris Technologies Inc (LHX)

Howmet Aerospace Inc. and L3Harris Technologies Inc are both Aerospace & Defense companies. Howmet Aerospace Inc. is the larger, with a market value of $91.7B against $44.5B — 2.1× the size. L3Harris Technologies Inc trades at the lower P/E: 23.9× against 49.9×. Howmet Aerospace Inc. grew revenue faster over the last twelve months: 18.1% against 7.29%. Howmet Aerospace Inc. has the higher net margin (20.5% vs 8.11%) and the higher return on invested capital (16.9% vs 5.12%). Both pay a dividend; L3Harris Technologies Inc yields more (2.32% vs 0.29%). Across the 23 metrics below, Howmet Aerospace Inc. leads on 13 and L3Harris Technologies Inc on 10.

Valuation

Metric HWM LHX Aerospace & Defense median
P/E 49.89 23.86 33.00
P/S 10.20 1.93 3.63
P/B 16.22 2.23 3.24
Price to free cash flow 46.10 15.77 34.01
EV/EBITDA 34.48 14.60 18.69
EV/Sales 10.58 2.34 3.94
Earnings yield 2.00% 4.19% 1.31%
Free cash flow yield 2.17% 6.34% 0.00%

Profitability

Metric HWM LHX Aerospace & Defense median
Gross margin 36.03% 25.48% 25.48%
Operating margin 27.37% 10.49% 4.54%
Net margin 20.51% 8.11% 2.22%
Free cash flow margin 22.12% 12.24% 0.00%
Return on equity 34.89% 9.50% 6.43%
Return on assets 15.39% 4.42% 2.70%
Return on invested capital 16.91% 5.12% 1.56%

Growth

Metric HWM LHX Aerospace & Defense median
Revenue growth (TTM) 18.08% 7.29% 18.43%
EPS growth (last fiscal year) 32.03% 8.39% —
Revenue growth, 5-year CAGR 9.43% 3.74% 9.62%
Net income growth, 5-year CAGR 42.20% 7.49% 0.00%

Health

Metric HWM LHX Aerospace & Defense median
Debt to equity 0.71 0.55 0.24
Current ratio 1.82 1.18 2.72
Net debt to EBITDA 0.99 2.68 1.12

Dividend

Metric HWM LHX Aerospace & Defense median
Dividend yield 0.29% 2.32% 1.04%
Payout ratio 0.11 1.07 0.00

Size

Metric HWM LHX Aerospace & Defense median
Market cap 91.73b 44.49b 2.52b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack