EBITDA Analysis: Evaluating Emerson Electric Co. Against Howmet Aerospace Inc.

A Tale of Two Giants: Emerson Electric Co. vs. Howmet Aerospace Inc.

In the ever-evolving landscape of industrial innovation, Emerson Electric Co. and Howmet Aerospace Inc. stand as titans. Over the past decade, Emerson Electric has consistently outperformed Howmet Aerospace in terms of EBITDA, a key indicator of financial health. From 2014 to 2023, Emerson's EBITDA averaged around 3.8 billion, peaking in 2015 with a 20% higher value than its lowest in 2016. In contrast, Howmet's EBITDA averaged approximately 1.4 billion, with a notable dip in 2019, reflecting a challenging period for the company.

Despite the fluctuations, both companies have shown resilience, with Emerson Electric rebounding strongly in 2023, nearing its 2015 peak. Howmet, while facing data gaps in 2024, has shown a steady recovery since its 2019 low. This analysis underscores the dynamic nature of the industrial sector and the strategic maneuvers these companies employ to maintain their competitive edge.