Kaiser Aluminum (NASDAQ:KALU) Stock Price Down 4.5% After Earnings Miss

Kaiser Aluminum Co. (NASDAQ:KALU)’s share price dropped 4.5% during trading on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $64.51 and last traded at $64.51. Approximately 52,595 shares traded hands during trading, a decline of 63% from the average daily volume of 140,688 shares. The stock had previously closed at $67.55.

The industrial products company reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.67 by ($0.16). The firm had revenue of $748.00 million during the quarter, compared to the consensus estimate of $793.30 million. Kaiser Aluminum had a net margin of 1.37% and a return on equity of 6.84%. Kaiser Aluminum’s quarterly revenue was up .5% compared to the same quarter last year. During the same period in the prior year, the business posted $0.46 earnings per share.

Kaiser Aluminum Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, November 15th. Stockholders of record on Friday, October 25th will be paid a dividend of $0.77 per share. The ex-dividend date is Friday, October 25th. This represents a $3.08 annualized dividend and a dividend yield of 4.51%. Kaiser Aluminum’s dividend payout ratio is presently 123.69%.

Wall Street Analyst Weigh In

Separately, Benchmark raised their target price on shares of Kaiser Aluminum from $84.00 to $100.00 and gave the company a “buy” rating in a research note on Friday, July 12th.

Insider Activity

In other news, CEO Keith Harvey bought 2,588 shares of the firm’s stock in a transaction on Monday, July 29th. The shares were purchased at an average cost of $77.23 per share, with a total value of $199,871.24. Following the acquisition, the chief executive officer now directly owns 103,550 shares in the company, valued at $7,997,166.50. This represents a 0.00 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 1.50% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. boosted its holdings in shares of Kaiser Aluminum by 0.3% in the 1st quarter. Vanguard Group Inc. now owns 1,894,114 shares of the industrial products company’s stock valued at $169,258,000 after purchasing an additional 6,363 shares in the last quarter. Barrow Hanley Mewhinney & Strauss LLC lifted its position in shares of Kaiser Aluminum by 1.1% during the 2nd quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 826,985 shares of the industrial products company’s stock worth $72,692,000 after buying an additional 8,830 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in Kaiser Aluminum by 2.2% in the second quarter. Dimensional Fund Advisors LP now owns 760,500 shares of the industrial products company’s stock valued at $66,846,000 after buying an additional 16,148 shares in the last quarter. Tributary Capital Management LLC grew its position in Kaiser Aluminum by 0.3% in the second quarter. Tributary Capital Management LLC now owns 271,976 shares of the industrial products company’s stock valued at $23,907,000 after acquiring an additional 856 shares during the last quarter. Finally, American Century Companies Inc. raised its stake in Kaiser Aluminum by 358.0% during the second quarter. American Century Companies Inc. now owns 250,809 shares of the industrial products company’s stock worth $22,046,000 after acquiring an additional 196,045 shares in the last quarter. 99.29% of the stock is owned by institutional investors.

Kaiser Aluminum Price Performance

The business’s fifty day moving average price is $71.15 and its 200 day moving average price is $82.92. The company has a debt-to-equity ratio of 1.57, a current ratio of 2.55 and a quick ratio of 1.42. The stock has a market cap of $1.10 billion, a P/E ratio of 27.45 and a beta of 1.33.

About Kaiser Aluminum

Kaiser Aluminum Corporation, together with its subsidiaries, engages in manufacture and sale of semi-fabricated specialty aluminum mill products in the United States and internationally. It offers rolled, extruded, and drawn aluminum products used for aerospace and defense, aluminum beverage and food packaging, automotive and general engineering products.