Alcoa (NYSE:AA) Receives Consensus Recommendation of “Moderate Buy” from Analysts

Alcoa (NYSE:AA) has earned an average rating of “Moderate Buy” from the fourteen brokerages that are currently covering the stock, MarketBeat reports. One analyst has rated the stock with a sell rating, five have given a hold rating, seven have issued a buy rating and one has given a strong buy rating to the company. The average twelve-month target price among brokerages that have covered the stock in the last year is $47.1538.

Several research analysts recently weighed in on the company. UBS Group lifted their price target on Alcoa from $42.00 to $48.00 and gave the company a “neutral” rating in a research report on Friday, December 12th. Weiss Ratings restated a “hold (c)” rating on shares of Alcoa in a research report on Monday. Wells Fargo & Company raised their price objective on Alcoa from $40.00 to $58.00 and gave the company an “overweight” rating in a report on Tuesday. Citigroup upped their price objective on shares of Alcoa from $42.00 to $54.00 and gave the stock a “buy” rating in a research report on Friday, December 19th. Finally, Argus set a $45.00 price objective on Alcoa in a report on Thursday, October 30th.

Alcoa Price Performance

Shares of NYSE AA opened at $53.56 on Thursday. Alcoa has a 52 week low of $21.53 and a 52 week high of $54.36. The business’s 50 day moving average price is $41.09 and its 200 day moving average price is $34.67. The company has a quick ratio of 0.91, a current ratio of 1.56 and a debt-to-equity ratio of 0.40. The firm has a market cap of $13.87 billion, a P/E ratio of 12.37, a P/E/G ratio of 0.27 and a beta of 1.99.

Alcoa (NYSE:AA) last announced its quarterly earnings data on Wednesday, October 22nd. The industrial products company reported ($0.02) EPS for the quarter, beating the consensus estimate of ($0.15) by $0.13. The business had revenue of $2.09 billion during the quarter, compared to analysts’ expectations of $3.03 billion. Alcoa had a net margin of 8.91% and a return on equity of 15.85%. The business’s quarterly revenue was up 3.1% compared to the same quarter last year. During the same period in the previous year, the business posted $0.57 EPS. On average, sell-side analysts expect that Alcoa will post 4.43 earnings per share for the current year.

Alcoa Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, November 21st. Stockholders of record on Tuesday, November 4th were paid a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend was Tuesday, November 4th. Alcoa’s dividend payout ratio (DPR) is currently 9.24%.

Institutional Investors Weigh In On Alcoa

Several hedge funds and other institutional investors have recently made changes to their positions in AA. Mackenzie Financial Corp increased its position in Alcoa by 121.7% during the second quarter. Mackenzie Financial Corp now owns 1,569,358 shares of the industrial products company’s stock worth $46,312,000 after purchasing an additional 861,383 shares during the last quarter. Public Employees Retirement System of Ohio raised its position in Alcoa by 5.6% in the second quarter. Public Employees Retirement System of Ohio now owns 80,223 shares of the industrial products company’s stock valued at $2,367,000 after purchasing an additional 4,255 shares during the period. Strs Ohio acquired a new position in shares of Alcoa in the 1st quarter valued at $841,000. Drummond Knight Asset Management Pty Ltd acquired a new stake in shares of Alcoa during the 2nd quarter worth about $44,893,000. Finally, Mirabella Financial Services LLP increased its position in shares of Alcoa by 62.5% during the 2nd quarter. Mirabella Financial Services LLP now owns 325,000 shares of the industrial products company’s stock worth $9,591,000 after purchasing an additional 125,000 shares during the last quarter.

Alcoa Company Profile

Alcoa Corporation is a global industry leader in the production and management of aluminum, offering an integrated value chain that spans bauxite mining, alumina refining, primary aluminum smelting and the fabrication of value-added products. The company’s operations are organized into segments that include raw material extraction, chemical processing and the manufacture of metal mill products and engineered solutions.

Alcoa’s product portfolio serves diverse end markets such as aerospace, automotive, packaging, construction, electrical and industrial applications.