Gates Industrial Corporation plc (GTES)vsHowmet Aerospace Inc (HWM)
GTES
Gates Industrial Corporation plc
$24.84
-1.15%
INDUSTRIALS · Cap: $6.32B
HWM
Howmet Aerospace Inc
$243.04
+2.76%
INDUSTRIALS · Cap: $94.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Howmet Aerospace Inc generates 140% more annual revenue ($8.25B vs $3.44B). HWM leads profitability with a 18.3% profit margin vs 7.3%. GTES trades at a lower P/E of 25.9x. HWM earns a higher WallStSmart Score of 69/100 (B-).
GTES
Buy58
out of 100
Grade: C
HWM
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-20.8%
Fair Value
$21.95
Current Price
$24.84
$2.89 premium
Intrinsic value data unavailable for HWM.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Earnings expanding 36.4% YoY
Every $100 of equity generates 30 in profit
Large-cap with strong market position
Growing faster than its price suggests
Strong operational efficiency at 26.3%
Earnings expanding 20.3% YoY
Areas to Watch
Moderate valuation
3.2% revenue growth
Grey zone — moderate risk
ROE of 7.9% — below average capital efficiency
Trading at 18.2x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : GTES
The strongest argument for GTES centers on Price/Book, EPS Growth.
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.
Bear Case : GTES
The primary concerns for GTES are P/E Ratio, Revenue Growth, Altman Z-Score.
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.
Key Dynamics to Monitor
GTES profiles as a value stock while HWM is a mature play — different risk/reward profiles.
GTES carries more volatility with a beta of 1.29 — expect wider price swings.
HWM is growing revenue faster at 14.6% — 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.
Gates Industrial Corporation plc
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Gates Industrial Corporation plc manufactures and sells engineered power transmission and fluid power solutions worldwide. The company is headquartered in Denver, Colorado.
Visit Website →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.
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