Alcoa (NYSE:AA) Price Target Raised to $70.00

Alcoa (NYSE:AA) had its price target raised by JPMorgan Chase & Co. from $68.00 to $70.00 in a research note issued to investors on Thursday,Benzinga reports. The brokerage currently has a neutral rating on the industrial products company’s stock.

A number of other brokerages have also recently issued reports on AA. Citigroup upped their target price on shares of Alcoa from $54.00 to $76.00 and gave the company a “buy” rating in a report on Monday, March 16th. UBS Group increased their price target on shares of Alcoa from $48.00 to $70.00 and gave the company a “neutral” rating in a report on Thursday, March 12th. Morgan Stanley raised shares of Alcoa from an “equal weight” rating to an “overweight” rating and increased their price target for the company from $64.00 to $80.00 in a report on Thursday. Zacks Research cut shares of Alcoa from a “strong-buy” rating to a “hold” rating in a report on Friday, February 13th. Finally, Wells Fargo & Company set a $68.00 price target on shares of Alcoa in a report on Thursday, March 12th. Four analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $61.73.

Alcoa Stock Down 0.3%

Shares of AA stock opened at $73.02 on Thursday. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.87 and a current ratio of 1.44. The firm’s 50-day moving average is $62.85 and its 200-day moving average is $51.52. The stock has a market cap of $19.27 billion, a price-to-earnings ratio of 16.52 and a beta of 1.70. Alcoa has a 52-week low of $22.68 and a 52-week high of $75.70.

Alcoa (NYSE:AA) last issued its earnings results on Thursday, January 22nd. The industrial products company reported $1.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.95 by $0.31. The company had revenue of $6.75 billion for the quarter, compared to analysts’ expectations of $3.28 billion. Alcoa had a net margin of 9.12% and a return on equity of 16.19%. Alcoa’s quarterly revenue was down 1.1% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.04 EPS. Sell-side analysts predict that Alcoa will post 4.43 EPS for the current year.

Alcoa Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, March 26th. Shareholders of record on Tuesday, March 10th were issued a $0.10 dividend. This represents a $0.40 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend was Tuesday, March 10th. Alcoa’s dividend payout ratio is currently 9.05%.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the stock. Mirabella Financial Services LLP increased its holdings in shares of Alcoa by 12,233.1% during the third quarter. Mirabella Financial Services LLP now owns 40,082,462 shares of the industrial products company’s stock worth $1,318,312,000 after purchasing an additional 39,757,462 shares during the period. Bank of New York Mellon Corp increased its holdings in shares of Alcoa by 211.7% during the fourth quarter. Bank of New York Mellon Corp now owns 6,254,017 shares of the industrial products company’s stock worth $332,338,000 after purchasing an additional 4,247,559 shares during the period. Castle Hook Partners LP bought a new position in shares of Alcoa during the fourth quarter worth approximately $210,874,000. Maple Rock Capital Partners Inc. bought a new position in shares of Alcoa during the fourth quarter worth approximately $173,412,000. Finally, L1 Capital Pty Ltd increased its holdings in shares of Alcoa by 178.8% during the second quarter. L1 Capital Pty Ltd now owns 4,814,342 shares of the industrial products company’s stock worth $142,071,000 after purchasing an additional 3,087,298 shares during the period.

Key Stories Impacting Alcoa

Here are the key news stories impacting Alcoa this week:

• Positive Sentiment: Morgan Stanley upgraded AA from “equal weight” to “overweight” and raised its price target to $80 (from $64), signaling stronger buy-side conviction and giving the stock meaningful upside potential. Read More.
• Positive Sentiment: B. Riley initiated/issued a “buy” view and highlighted upside potential, adding another bullish institutional voice that can attract inflows. Read More.
• Positive Sentiment: BMO Capital Markets raised its price target to $75 (market perform), a modestly bullish signal that implies upside from recent levels. Read More.
• Positive Sentiment: Short interest fell sharply in March (down ~19.5% to ~6.94M shares, short interest ratio ~1.1 days, ~2.6% of float). Fewer outstanding shorts reduces immediate downside pressure and can amplify rallies if positive catalysts emerge.
• Neutral Sentiment: Alcoa sits inside a broader aluminum-sector rally (geopolitical supply concerns such as the Iran situation cited) and is approaching earnings — a mixed catalyst that can swing either way depending on results and guidance. Read More.
• Neutral Sentiment: Billionaire Stan Druckenmiller’s Duquesne Capital has shown intermittent exposure to AA, a signal that may attract attention but is not a direct catalyst. Read More.
• Negative Sentiment: JPMorgan raised its target to $70 but kept a “neutral” rating; that target implies downside vs. current levels, introducing a conservative view from a large house and a potential cap on near-term upside. Read More.

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.