Alcoa Co. (NYSE:AA) Receives Consensus Recommendation of “Hold” from Brokerages

Alcoa Co. (NYSE:AAGet Rating) has been assigned an average recommendation of “Hold” from the thirteen research firms that are presently covering the stock, MarketBeat Ratings reports. Six equities research analysts have rated the stock with a hold recommendation and five have given a buy recommendation to the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $78.64.

AA has been the topic of a number of analyst reports. Morgan Stanley lowered their target price on Alcoa from $55.00 to $51.00 and set an “equal weight” rating on the stock in a report on Monday, July 25th. B. Riley lowered their target price on Alcoa from $84.00 to $54.00 and set a “neutral” rating on the stock in a report on Tuesday, June 28th. Credit Suisse Group lowered their target price on Alcoa from $82.00 to $63.00 and set a “neutral” rating on the stock in a report on Tuesday, July 19th. The Goldman Sachs Group lowered their target price on Alcoa from $90.00 to $80.00 and set a “buy” rating on the stock in a report on Friday, July 22nd. Finally, BMO Capital Markets decreased their price objective on Alcoa from $57.00 to $55.00 in a report on Thursday, July 21st.

Alcoa Stock Performance

AA opened at $52.62 on Monday. The stock has a market cap of $9.47 billion, a P/E ratio of 10.34, a P/E/G ratio of 0.74 and a beta of 2.31. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.81 and a quick ratio of 1.02. The stock’s 50 day simple moving average is $48.60 and its 200 day simple moving average is $62.69. Alcoa has a 1-year low of $39.56 and a 1-year high of $98.09.

Alcoa (NYSE:AAGet Rating) last released its quarterly earnings results on Wednesday, July 20th. The industrial products company reported $2.67 earnings per share for the quarter, missing analysts’ consensus estimates of $3.71 by ($1.04). The firm had revenue of $3.64 billion during the quarter, compared to analyst estimates of $3.48 billion. Alcoa had a return on equity of 30.66% and a net margin of 7.19%. The business’s revenue was up 28.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.49 EPS. As a group, equities analysts anticipate that Alcoa will post 7.26 EPS for the current fiscal year.

Alcoa Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, August 25th. Investors of record on Tuesday, August 9th were given a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 0.76%. The ex-dividend date of this dividend was Monday, August 8th. Alcoa’s dividend payout ratio (DPR) is currently 7.86%.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the company. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main raised its position in Alcoa by 1,748.8% in the fourth quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 4,437,142 shares of the industrial products company’s stock valued at $262,723,000 after purchasing an additional 4,197,142 shares during the period. Soroban Capital Partners LP purchased a new position in Alcoa in the fourth quarter valued at about $226,347,000. Renaissance Technologies LLC purchased a new position in Alcoa in the first quarter valued at about $318,670,000. Egerton Capital UK LLP acquired a new stake in shares of Alcoa during the first quarter valued at about $317,854,000. Finally, Third Point LLC acquired a new stake in shares of Alcoa during the first quarter valued at about $213,821,000.

About Alcoa

(Get Rating)

Alcoa Corporation, together with its subsidiaries, produces and sells bauxite, alumina, and aluminum products in the United States, Spain, Australia, Iceland, Norway, Brazil, Canada, and internationally. The company operates through three segments: Bauxite, Alumina, and Aluminum. It engages in bauxite mining operations; and processes bauxite into alumina and sells it to customers who process it into industrial chemical products, as well as aluminum smelting and casting businesses.

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Analyst Recommendations for Alcoa (NYSE:AA)

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