According to Zacks, “Estimates for Alcoa have been stable lately ahead of its third-quarter 2016 earnings release. The company has a positive record of earnings surprises in recent quarters. Alcoa remains on track to complete its business separation. The company should gain from its aggressive cost-cutting and productivity actions. Favorable demand trends across aerospace and automotive markets and recent major contract wins (including Embraer and Boeing deals) are also expected to support its results.”
Other equities research analysts also recently issued research reports about the stock. Bank of America Corp. restated a buy rating and issued a $11.00 price target on shares of Alcoa in a research report on Tuesday, July 12th. Credit Suisse Group AG restated a buy rating on shares of Alcoa in a research report on Thursday, June 30th. Rosenblatt Securities restated a buy rating and issued a $15.00 price target on shares of Alcoa in a research report on Wednesday, June 15th. Macquarie restated a buy rating on shares of Alcoa in a research report on Tuesday, July 12th. Finally, Morgan Stanley reiterated a buy rating and issued a $12.00 target price on shares of Alcoa in a research report on Tuesday, August 16th. Eight analysts have rated the stock with a hold rating, ten have issued a buy rating and one has assigned a strong buy rating to the company. The stock presently has a consensus rating of Buy and a consensus target price of $12.26.
Alcoa (NYSE:AA) opened at 31.37 on Tuesday. The firm’s market cap is $13.75 billion. Alcoa has a one year low of $18.42 and a one year high of $34.50. The firm has a 50-day moving average of $29.91 and a 200-day moving average of $29.82.
Alcoa (NYSE:AA) last issued its quarterly earnings results on Monday, July 11th. The company reported $0.15 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.09 by $0.06. The business earned $5.30 billion during the quarter. Alcoa had a negative net margin of 1.45% and a positive return on equity of 3.44%. The firm’s revenue was down 10.2% compared to the same quarter last year. During the same quarter last year, the company posted $0.19 EPS. Analysts anticipate that Alcoa will post $0.44 EPS for the current year.
The business also recently declared a quarterly dividend, which will be paid on Friday, November 25th. Shareholders of record on Friday, November 4th will be given a $0.03 dividend. The ex-dividend date is Wednesday, November 2nd. This represents a $0.12 annualized dividend and a yield of 0.38%. Alcoa’s dividend payout ratio is -42.85%.
In related news, Director Ulrich Schmidt purchased 5,000 shares of the firm’s stock in a transaction on Wednesday, July 20th. The shares were bought at an average cost of $10.40 per share, for a total transaction of $52,000.00. Following the transaction, the director now directly owns 10,000 shares of the company’s stock, valued at approximately $104,000. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink.
A number of hedge funds have recently bought and sold shares of AA. CIBC World Markets Inc. bought a new stake in Alcoa during the first quarter valued at about $278,000. Ngam Advisors L.P. raised its stake in Alcoa by 16.6% in the first quarter. Ngam Advisors L.P. now owns 157,575 shares of the company’s stock valued at $1,510,000 after buying an additional 22,423 shares in the last quarter. TIAA CREF Investment Management LLC raised its stake in Alcoa by 39.7% in the first quarter. TIAA CREF Investment Management LLC now owns 5,002,753 shares of the company’s stock valued at $47,926,000 after buying an additional 1,421,744 shares in the last quarter. Teachers Advisors Inc. raised its stake in Alcoa by 158.4% in the first quarter. Teachers Advisors Inc. now owns 4,125,218 shares of the company’s stock valued at $39,520,000 after buying an additional 2,528,804 shares in the last quarter. Finally, Prudential Financial Inc. raised its stake in Alcoa by 47.6% in the first quarter. Prudential Financial Inc. now owns 2,732,470 shares of the company’s stock valued at $26,177,000 after buying an additional 881,400 shares in the last quarter.
Alcoa Inc is engaged in lightweight metals engineering and manufacturing. The Company operates in five segments: Alumina, Primary Metals, Global Rolled Products, Engineered Products and Solutions, and Transportation and Construction Solutions. The Company’s multi-material products, which include aluminum, titanium and nickel, are used across the world in aerospace, automobiles, commercial transportation, packaging, building and construction, defense, consumer electronics, oil and gas, and industrial applications.
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