Howmet Aerospace Receives Two-Notch Rating Upgrade from Moody’s and Outlook Upgrade from Fitch
Howmet Aerospace (NYSE:HWM) has received significant credit rating upgrades from two major rating agencies. Moody's Ratings upgraded Howmet's senior unsecured ratings by two notches from Baa3 to Baa1 on August 6, 2024. The commercial paper ratings were raised from P-3 to P-2, and preferred stock ratings from Ba2 to Baa3. Moody's also revised the rating outlook from positive to stable.
On the same day, Fitch Ratings affirmed Howmet's senior unsecured debt ratings at BBB, short-term and commercial paper ratings at F2, and preferred stock ratings at BB+. However, Fitch revised the rating outlook from stable to positive, indicating potential for further upgrades in the future.
These rating actions reflect a significant improvement in Howmet Aerospace's creditworthiness and financial stability, which could potentially lead to lower borrowing costs and improved investor confidence.
Howmet Aerospace (NYSE:HWM) ha ricevuto significativi aggiornamenti del rating creditizio da due importanti agenzie di rating. Moody's Ratings ha migliorato i rating senior non garantiti di Howmet di due scaglioni, passando da Baa3 a Baa1 il 6 agosto 2024. I rating per i commercial paper sono stati elevati da P-3 a P-2 e i rating per le azioni preferenziali da Ba2 a Baa3. Moody's ha anche revisionato l'outlook del rating da positivo a stabile.
Nello stesso giorno, Fitch Ratings ha confermato i rating del debito senior non garantito di Howmet a BBB, i rating a breve termine e per i commercial paper a F2 e i rating per le azioni preferenziali a BB+. Tuttavia, Fitch ha revisionato l'outlook del rating da stabile a positivo, indicando la possibilità di ulteriori miglioramenti in futuro.
Queste azioni di rating riflettono un miglioramento significativo della solvibilità e della stabilità finanziaria di Howmet Aerospace, il che potrebbe portare a costi di indebitamento più bassi e a una maggiore fiducia degli investitori.
Howmet Aerospace (NYSE:HWM) ha recibido importantes mejoras en su calificación crediticia de dos agencias de calificación principales. Moody's Ratings mejoró las calificaciones de deuda no garantizada senior de Howmet en dos niveles, de Baa3 a Baa1 el 6 de agosto de 2024. Las calificaciones de papel comercial se elevaron de P-3 a P-2, y las calificaciones de acciones preferentes de Ba2 a Baa3. Moody's también revisó la perspectiva de la calificación de positiva a estable.
Ese mismo día, Fitch Ratings confirmó las calificaciones de deuda no garantizada senior de Howmet en BBB, las calificaciones a corto plazo y de papel comercial en F2, y las calificaciones de acciones preferentes en BB+. Sin embargo, Fitch revisó la perspectiva de la calificación de estable a positiva, lo que indica un potencial para más mejoras en el futuro.
Estas acciones de calificación reflejan una mejora significativa en la solvencia y estabilidad financiera de Howmet Aerospace, lo que podría llevar a costos de endeudamiento más bajos y a una mayor confianza de los inversores.
하우멧 항공우주 (NYSE:HWM)는 두 주요 신용 평가 기관으로부터 중요한 신용 등급 상향 조정을 받았습니다. 무디스는 하우멧의 선순위 무담보 등급을 2024년 8월 6일에 Baa3에서 Baa1로 두 단계 상향 조정했습니다. 상업 어음 등급은 P-3에서 P-2로, 우선주 등급은 Ba2에서 Baa3로 상향되었습니다. 무디스는 또한 등급 전망을 긍정에서 안정적으로 수정했습니다.
같은 날, 피치는 하우멧의 선순위 무담보 부채 등급을 BBB, 단기 및 상업 어음 등급을 F2, 우선주 등급을 BB+로 유지했습니다. 그러나 피치는 등급 전망을 안정에서 긍정으로 수정하여 향후 추가 등급 상향 가능성을 나타냈습니다.
이러한 등급 조치는 하우멧 항공우주의 신용도 및 재정 안정성이 상당히 개선되었음을 반영하며, 이는 차입 비용 저감 및 투자자 신뢰 향상으로 이어질 수 있습니다.
Howmet Aerospace (NYSE:HWM) a reçu des mises à niveau de note de crédit significatives de deux grandes agences de notation. Moody's Ratings a rehaussé les notations de dette senior non sécurisée de Howmet de deux niveaux, passant de Baa3 à Baa1 le 6 août 2024. Les notations des papiers commerciaux ont été augmentées de P-3 à P-2, et celles des actions privilégiées de Ba2 à Baa3. Moody's a également révisé les perspectives de notation de positive à stable.
Le même jour, Fitch Ratings a confirmé les notations de dette senior non sécurisée de Howmet à BBB, les notations à court terme et des papiers commerciaux à F2, et les notations des actions privilégiées à BB+. Cependant, Fitch a révisé les perspectives de notation de stable à positive, indiquant un potentiel pour de futures améliorations.
Ces actions de notation reflètent une amélioration significative de la solvabilité et de la stabilité financière de Howmet Aerospace, ce qui pourrait potentiellement conduire à des coûts d'emprunt plus bas et à une confiance accrue des investisseurs.
Howmet Aerospace (NYSE:HWM) hat bedeutende Kreditratings-Verbesserungen von zwei großen Ratingagenturen erhalten. Moody's Ratings hat die unrangierten Senior-Ratings von Howmet am 6. August 2024 um zwei Stufen von Baa3 auf Baa1 angehoben. Die Ratings für Commercial Papers wurden von P-3 auf P-2 erhöht, und die Ratings für Vorzugsaktien von Ba2 auf Baa3. Moody's hat auch den Ausblick von positiv auf stabil geändert.
Am selben Tag bestätigte Fitch Ratings die unrangierten Senior-Kreditratings von Howmet auf BBB, die Ratings für kurzfristige und Commercial Papers auf F2 und die Ratings für Vorzugsaktien auf BB+. Fitch hat jedoch den Ausblick von stabil auf positiv geändert, was auf ein potentielles zukünftiges Upgrade hinweist.
Diese Rating-Aktionen spiegeln eine signifikante Verbesserung der Kreditwürdigkeit und finanziellen Stabilität von Howmet Aerospace wider, was potenziell zu niedrigeren Kreditkosten und einem verbesserten Vertrauen der Investoren führen könnte.
- Two-notch upgrade of senior unsecured ratings from Baa3 to Baa1 by Moody's
- Upgrade of commercial paper ratings from P-3 to P-2 by Moody's
- Upgrade of preferred stock ratings from Ba2 to Baa3 by Moody's
- Positive outlook revision from Fitch, indicating potential for future upgrades
- None.
Insights
The two-notch upgrade from Moody's and outlook upgrade from Fitch are significant positive signals for Howmet Aerospace. These actions reflect a substantial improvement in the company's credit profile and financial stability. The upgrade to Baa1 from Baa3 by Moody's indicates a lower risk of default and potentially lower borrowing costs for Howmet. This could lead to improved profitability and cash flow in the long term.
Fitch's positive outlook suggests potential for further upgrades, which could attract more conservative investors. These rating actions may enhance Howmet's appeal to institutional investors and could positively impact its stock price. However, investors should note that while credit ratings are important, they should be considered alongside other financial metrics and market conditions when making investment decisions.
The rating upgrades for Howmet Aerospace are likely to have a positive impact on investor sentiment. Improved credit ratings often translate to increased confidence in a company's financial health and future prospects. This could potentially lead to:
- Increased institutional investment interest
- Improved stock liquidity
- Potential for stock price appreciation
However, it's important to consider that the aerospace industry is cyclical and subject to various external factors. While the upgrades are positive, investors should also monitor industry trends, order backlogs and global economic conditions that could affect Howmet's performance. The company's ability to maintain its improved financial position in the face of industry challenges will be key to sustaining these positive ratings.
Key Announcements
- On August 6, 2024, Moody’s Ratings (“Moody’s”) upgraded Howmet Aerospace’s senior unsecured ratings from Baa3 to Baa1.
- On August 6, 2024, Fitch Ratings (“Fitch”) revised its Rating Outlook on Howmet Aerospace from Stable to Positive.
On August 6, 2024, Moody’s upgraded Howmet Aerospace’s senior unsecured ratings from Baa3 to Baa1, the commercial paper ratings from P-3 to P-2, and the preferred stock ratings from Ba2 to Baa3. The senior unsecured rating change is a two-notch upgrade from the prior rating. The rating outlook was revised from positive to stable.
On August 6, 2024, Fitch affirmed Howmet Aerospace’s senior unsecured debt ratings at BBB, the short-term and commercial paper ratings at F2, and the preferred stock ratings at BB+. The rating outlook was revised from stable to positive.
About Howmet Aerospace
Howmet Aerospace Inc., headquartered in
Dissemination of Company Information
Howmet Aerospace intends to make future announcements regarding Company developments and financial performance through its website at www.howmet.com.
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Investor Contact
Paul T. Luther
(412) 553-1950
Paul.Luther@howmet.com
Media Contact
Rob Morrison
(412) 553-2666
rob.morrison@howmet.com
Source: Howmet Aerospace Inc.
FAQ
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