HWMNEUTRAL

EV/EBITDA

43.4x

Updated 224h ago

Sector Performance

92th percentile

HWM

43.4x

Sector Median

13.7x

Sector Avg

18.7x

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Deep Analysis

The current EV/EBITDA of 43.4x means that for every dollar of earnings before interest, taxes, depreciation, and amortization, investors are paying $43.40 in enterprise value — a gauge of total company worth (market cap plus debt minus cash).

This multiple is far above the sector median of 13.8x, placing the stock in the 92nd percentile of its peer group, indicating it is priced at a large premium relative to most peers. Trend data is limited: the year-over-year change is not available, but the quarter-over-quarter change shows a slight increase of +1.0%, moving from 43.0x to 43.4x. The combination of an extremely elevated valuation plus a mild upward trend suggests limited margin of safety — any earnings miss could lead to a sharp correction, creating downside risk rather than opportunity. This high multiple and rising trend contradict the overall NEUTRAL verdict, as a neutral stance would typically align with a more average valuation; here the premium signals caution.

Frequently Asked Questions

What does the EV/EBITDA tell investors about HWM?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

Who are HWM's closest peers by EV/EBITDA?

The closest peers by EV/EBITDA include: LSPD (-24.2x), BRZE (-24.5x), EVGO (-25.7x), NIO (-36.8x), SNAP (-38.8x).

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.