Alcoa (NYSE:AA) Releases Earnings Results, Misses Estimates By $0.19 EPS

Alcoa (NYSE:AA) announced its earnings results on Wednesday. The industrial products company reported ($0.81) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.62) by ($0.19), Briefing.com reports. The business had revenue of $2.60 billion for the quarter, compared to analysts’ expectations of $2.55 billion. Alcoa had a negative return on equity of 6.56% and a negative net margin of 6.17%. The business’s revenue was down 2.7% on a year-over-year basis. During the same quarter last year, the business posted ($0.23) earnings per share.

Alcoa Price Performance

Alcoa stock opened at $35.48 on Friday. Alcoa has a one year low of $23.07 and a one year high of $42.23. The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.74 and a current ratio of 1.45. The business has a fifty day moving average of $30.97 and a two-hundred day moving average of $29.02. The company has a market cap of $6.37 billion, a P/E ratio of -9.72, a price-to-earnings-growth ratio of 2.32 and a beta of 2.47.

Alcoa Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 21st. Shareholders of record on Tuesday, March 5th were issued a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a yield of 1.13%. The ex-dividend date was Monday, March 4th. Alcoa’s dividend payout ratio (DPR) is currently -10.96%.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on the stock. BMO Capital Markets raised their target price on shares of Alcoa from $35.00 to $37.00 and gave the stock a “market perform” rating in a research report on Thursday. JPMorgan Chase & Co. increased their price target on Alcoa from $30.00 to $32.00 and gave the stock a “neutral” rating in a report on Thursday, January 18th. Bank of America increased their price target on Alcoa from $31.00 to $32.00 and gave the stock a “neutral” rating in a report on Monday, March 18th. Jefferies Financial Group increased their price target on Alcoa from $45.00 to $48.00 and gave the stock a “buy” rating in a report on Thursday. Finally, UBS Group initiated coverage on Alcoa in a report on Tuesday, January 16th. They set a “sell” rating and a $29.00 price target for the company. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating and three have issued a buy rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $32.71.

Insider Transactions at Alcoa

In other news, EVP Tammi A. Jones sold 26,468 shares of Alcoa stock in a transaction on Wednesday, March 13th. The stock was sold at an average price of $30.78, for a total transaction of $814,685.04. Following the completion of the transaction, the executive vice president now owns 41,166 shares of the company’s stock, valued at approximately $1,267,089.48. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 1.08% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. Neo Ivy Capital Management purchased a new stake in Alcoa during the 2nd quarter worth about $27,000. Fairfield Bush & CO. purchased a new stake in Alcoa during the 1st quarter worth about $29,000. Resurgent Financial Advisors LLC purchased a new stake in Alcoa during the 4th quarter worth about $32,000. ICA Group Wealth Management LLC purchased a new stake in Alcoa during the 4th quarter worth about $36,000. Finally, UniSuper Management Pty Ltd purchased a new stake in Alcoa during the 2nd quarter worth about $44,000. Institutional investors and hedge funds own 82.39% of the company’s stock.

About Alcoa

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.