Alcoa (NYSE:AA) Trading Up 7.5% – Here’s What Happened

Alcoa (NYSE:AA) traded up 7.5% on Wednesday . The stock traded as high as $40.16 and last traded at $40.2930. 4,249,365 shares changed hands during mid-day trading, a decline of 31% from the average session volume of 6,162,554 shares. The stock had previously closed at $37.48.

Analyst Ratings Changes

Several equities analysts recently issued reports on AA shares. JPMorgan Chase & Co. boosted their price target on Alcoa from $34.00 to $35.00 and gave the company a “neutral” rating in a research note on Thursday, October 23rd. Morgan Stanley set a $43.50 target price on Alcoa in a research report on Friday, October 24th. Bank of America boosted their price target on shares of Alcoa from $26.00 to $27.00 and gave the company an “underperform” rating in a report on Thursday, July 17th. Weiss Ratings raised shares of Alcoa from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Wednesday, October 8th. Finally, UBS Group raised their price target on shares of Alcoa from $31.00 to $34.00 and gave the stock a “neutral” rating in a research note on Friday, September 19th. Seven investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus price target of $42.35.

Alcoa Stock Up 6.6%

The firm has a market capitalization of $10.35 billion, a price-to-earnings ratio of 9.23, a P/E/G ratio of 0.22 and a beta of 2.26. The firm has a fifty day moving average price of $35.00 and a 200 day moving average price of $31.21. The company has a current ratio of 1.56, a quick ratio of 0.91 and a debt-to-equity ratio of 0.40.

Alcoa (NYSE:AA) last issued its quarterly earnings data on Wednesday, October 22nd. The industrial products company reported ($0.02) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.15) by $0.13. Alcoa had a return on equity of 15.85% and a net margin of 8.91%.The firm had revenue of $3 billion during the quarter, compared to the consensus estimate of $3.03 billion. During the same quarter in the previous year, the company posted $0.57 EPS. The business’s revenue for the quarter was up 3.1% compared to the same quarter last year. Sell-side analysts anticipate that Alcoa will post 4.43 EPS for the current fiscal year.

Alcoa Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, November 21st. Stockholders of record on Tuesday, November 4th will be given a dividend of $0.10 per share. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Tuesday, November 4th. Alcoa’s dividend payout ratio is presently 9.24%.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of AA. Dimensional Fund Advisors LP increased its stake in shares of Alcoa by 13.5% in the 3rd quarter. Dimensional Fund Advisors LP now owns 11,118,560 shares of the industrial products company’s stock valued at $365,710,000 after buying an additional 1,322,540 shares during the period. State Street Corp increased its position in Alcoa by 9.8% in the second quarter. State Street Corp now owns 10,737,466 shares of the industrial products company’s stock worth $316,863,000 after purchasing an additional 959,240 shares during the period. L1 Capital Pty Ltd increased its position in Alcoa by 178.8% in 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. Geode Capital Management LLC raised its holdings in Alcoa by 4.8% during the 2nd quarter. Geode Capital Management LLC now owns 4,637,897 shares of the industrial products company’s stock worth $136,898,000 after purchasing an additional 211,141 shares during the last quarter. Finally, Norges Bank acquired a new position in Alcoa during the 2nd quarter valued at about $97,933,000.

Alcoa Company Profile

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 two segments, 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.