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AXON vs. HWM: A Head-to-Head Stock Comparison

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Here’s a clear look at AXON and HWM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AXON’s market capitalization stands at 61.93 billion USD, while HWM’s is 73.09 billion USD, indicating their market valuations are broadly comparable.

With betas of 1.28 for AXON and 1.43 for HWM, both stocks show similar sensitivity to overall market movements.

SymbolAXONHWM
Company NameAxon Enterprise, Inc.Howmet Aerospace Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryAerospace & DefenseIndustrial - Machinery
CEOPatrick W. SmithJohn C. Plant FCA
Price795.48 USD181.06 USD
Market Cap61.93 billion USD73.09 billion USD
Beta1.281.43
ExchangeNASDAQNYSE
IPO DateJune 19, 2001November 1, 2016
ADRNoNo

Historical Performance

This chart compares the performance of AXON and HWM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AXON vs. HWM: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AXON

14.86%

Aerospace & Defense Industry

Max
42.57%
Q3
16.67%
Median
8.39%
Q1
-0.77%
Min
-23.36%

AXON’s Return on Equity of 14.86% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

HWM

27.72%

Industrial - Machinery Industry

Max
36.51%
Q3
18.65%
Median
12.08%
Q1
4.75%
Min
-15.57%

In the upper quartile for the Industrial - Machinery industry, HWM’s Return on Equity of 27.72% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

AXON vs. HWM: A comparison of their ROE against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Return on Invested Capital

AXON

0.68%

Aerospace & Defense Industry

Max
23.42%
Q3
8.86%
Median
5.47%
Q1
-5.60%
Min
-22.46%

AXON’s Return on Invested Capital of 0.68% is in line with the norm for the Aerospace & Defense industry, reflecting a standard level of efficiency in generating profits from its capital base.

HWM

15.87%

Industrial - Machinery Industry

Max
22.35%
Q3
12.64%
Median
9.33%
Q1
5.32%
Min
-5.42%

In the upper quartile for the Industrial - Machinery industry, HWM’s Return on Invested Capital of 15.87% signifies a highly effective use of its capital to generate profits when compared to its peers.

AXON vs. HWM: A comparison of their ROIC against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Net Profit Margin

AXON

14.86%

Aerospace & Defense Industry

Max
22.67%
Q3
8.04%
Median
4.95%
Q1
-5.07%
Min
-16.58%

A Net Profit Margin of 14.86% places AXON in the upper quartile for the Aerospace & Defense industry, signifying strong profitability and more effective cost management than most of its peers.

HWM

16.64%

Industrial - Machinery Industry

Max
28.85%
Q3
15.25%
Median
10.02%
Q1
5.33%
Min
-8.75%

A Net Profit Margin of 16.64% places HWM in the upper quartile for the Industrial - Machinery industry, signifying strong profitability and more effective cost management than most of its peers.

AXON vs. HWM: A comparison of their Net Profit Margin against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Operating Profit Margin

AXON

1.50%

Aerospace & Defense Industry

Max
22.01%
Q3
11.49%
Median
8.96%
Q1
3.77%
Min
-4.96%

AXON’s Operating Profit Margin of 1.50% is in the lower quartile for the Aerospace & Defense industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

HWM

23.58%

Industrial - Machinery Industry

Max
28.19%
Q3
19.04%
Median
14.62%
Q1
8.13%
Min
-5.76%

An Operating Profit Margin of 23.58% places HWM in the upper quartile for the Industrial - Machinery industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AXON vs. HWM: A comparison of their Operating Margin against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Profitability at a Glance

SymbolAXONHWM
Return on Equity (TTM)14.86%27.72%
Return on Assets (TTM)5.44%11.66%
Return on Invested Capital (TTM)0.68%15.87%
Net Profit Margin (TTM)14.86%16.64%
Operating Profit Margin (TTM)1.50%23.58%
Gross Profit Margin (TTM)60.44%30.46%

Financial Strength

Current Ratio

AXON

2.83

Aerospace & Defense Industry

Max
5.13
Q3
3.36
Median
2.16
Q1
1.20
Min
0.41

AXON’s Current Ratio of 2.83 aligns with the median group of the Aerospace & Defense industry, indicating that its short-term liquidity is in line with its sector peers.

HWM

2.30

Industrial - Machinery Industry

Max
4.18
Q3
2.75
Median
2.07
Q1
1.46
Min
0.46

HWM’s Current Ratio of 2.30 aligns with the median group of the Industrial - Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

AXON vs. HWM: A comparison of their Current Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Debt-to-Equity Ratio

AXON

0.80

Aerospace & Defense Industry

Max
1.20
Q3
0.73
Median
0.51
Q1
0.09
Min
0.00

AXON’s leverage is in the upper quartile of the Aerospace & Defense industry, with a Debt-to-Equity Ratio of 0.80. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

HWM

0.73

Industrial - Machinery Industry

Max
1.46
Q3
0.73
Median
0.48
Q1
0.17
Min
0.00

HWM’s Debt-to-Equity Ratio of 0.73 is typical for the Industrial - Machinery industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AXON vs. HWM: A comparison of their D/E Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Interest Coverage Ratio

AXON

2.53

Aerospace & Defense Industry

Max
12.62
Q3
7.38
Median
2.95
Q1
1.68
Min
-6.68

AXON’s Interest Coverage Ratio of 2.53 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

HWM

10.35

Industrial - Machinery Industry

Max
28.91
Q3
14.99
Median
9.11
Q1
3.95
Min
-11.30

HWM’s Interest Coverage Ratio of 10.35 is positioned comfortably within the norm for the Industrial - Machinery industry, indicating a standard and healthy capacity to cover its interest payments.

AXON vs. HWM: A comparison of their Interest Coverage against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Financial Strength at a Glance

SymbolAXONHWM
Current Ratio (TTM)2.832.30
Quick Ratio (TTM)2.621.07
Debt-to-Equity Ratio (TTM)0.800.73
Debt-to-Asset Ratio (TTM)0.340.32
Net Debt-to-EBITDA Ratio (TTM)4.161.49
Interest Coverage Ratio (TTM)2.5310.35

Growth

The following charts compare key year-over-year (YoY) growth metrics for AXON and HWM. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AXON vs. HWM: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AXON vs. HWM: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AXON vs. HWM: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AXON

0.00%

Aerospace & Defense Industry

Max
6.00%
Q3
0.66%
Median
0.00%
Q1
0.00%
Min
0.00%

AXON currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

HWM

0.20%

Industrial - Machinery Industry

Max
4.40%
Q3
1.47%
Median
0.74%
Q1
0.00%
Min
0.00%

HWM’s Dividend Yield of 0.20% is consistent with its peers in the Industrial - Machinery industry, providing a dividend return that is standard for its sector.

AXON vs. HWM: A comparison of their Dividend Yield against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Dividend Payout Ratio

AXON

0.00%

Aerospace & Defense Industry

Max
172.02%
Q3
32.47%
Median
0.00%
Q1
0.00%
Min
0.00%

AXON has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

HWM

10.35%

Industrial - Machinery Industry

Max
78.48%
Q3
36.22%
Median
20.24%
Q1
0.00%
Min
0.00%

HWM’s Dividend Payout Ratio of 10.35% is within the typical range for the Industrial - Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AXON vs. HWM: A comparison of their Payout Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Dividend at a Glance

SymbolAXONHWM
Dividend Yield (TTM)0.00%0.20%
Dividend Payout Ratio (TTM)0.00%10.35%

Valuation

Price-to-Earnings Ratio

AXON

184.79

Aerospace & Defense Industry

Max
75.34
Q3
54.40
Median
38.63
Q1
26.10
Min
16.44

At 184.79, AXON’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Aerospace & Defense industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

HWM

58.38

Industrial - Machinery Industry

Max
47.62
Q3
34.41
Median
27.36
Q1
21.62
Min
10.96

At 58.38, HWM’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Industrial - Machinery industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

AXON vs. HWM: A comparison of their P/E Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Forward P/E to Growth Ratio

AXON

8.54

Aerospace & Defense Industry

Max
10.68
Q3
5.36
Median
2.31
Q1
1.47
Min
0.01

A Forward PEG Ratio of 8.54 places AXON in the upper quartile for the Aerospace & Defense industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

HWM

3.32

Industrial - Machinery Industry

Max
6.15
Q3
3.53
Median
2.82
Q1
1.71
Min
0.09

The Forward PEG Ratio is often not a primary valuation metric in the Industrial - Machinery industry.

AXON vs. HWM: A comparison of their Forward PEG Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Price-to-Sales Ratio

AXON

27.81

Aerospace & Defense Industry

Max
19.34
Q3
9.54
Median
2.71
Q1
1.59
Min
0.35

With a P/S Ratio of 27.81, AXON trades at a valuation that eclipses even the highest in the Aerospace & Defense industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

HWM

9.68

Industrial - Machinery Industry

Max
8.37
Q3
4.59
Median
3.34
Q1
1.83
Min
0.32

With a P/S Ratio of 9.68, HWM trades at a valuation that eclipses even the highest in the Industrial - Machinery industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AXON vs. HWM: A comparison of their P/S Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Price-to-Book Ratio

AXON

23.93

Aerospace & Defense Industry

Max
16.08
Q3
8.12
Median
4.12
Q1
2.69
Min
0.69

At 23.93, AXON’s P/B Ratio is at an extreme premium to the Aerospace & Defense industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

HWM

15.30

Industrial - Machinery Industry

Max
7.49
Q3
5.01
Median
3.41
Q1
2.45
Min
0.01

At 15.30, HWM’s P/B Ratio is at an extreme premium to the Industrial - Machinery industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AXON vs. HWM: A comparison of their P/B Ratio against their respective Aerospace & Defense and Industrial - Machinery industry benchmarks.

Valuation at a Glance

SymbolAXONHWM
Price-to-Earnings Ratio (P/E, TTM)184.7958.38
Forward PEG Ratio (TTM)8.543.32
Price-to-Sales Ratio (P/S, TTM)27.819.68
Price-to-Book Ratio (P/B, TTM)23.9315.30
Price-to-Free Cash Flow Ratio (P/FCF, TTM)170.8071.94
EV-to-EBITDA (TTM)274.0638.46
EV-to-Sales (TTM)28.2310.07