Alcoa (NYSE:AA) Sets New 12-Month High – Should You Buy?
by Jessica Moore · The Cerbat GemAlcoa (NYSE:AA – Get Free Report)’s stock price reached a new 52-week high during trading on Wednesday . The stock traded as high as $54.36 and last traded at $53.6750, with a volume of 5555194 shares trading hands. The stock had previously closed at $53.72.
Wall Street Analyst Weigh In
Several research firms have recently issued reports on AA. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Alcoa in a report on Monday. Citigroup upped their price objective on Alcoa from $42.00 to $54.00 and gave the company a “buy” rating in a research note on Friday. Wells Fargo & Company lifted their target price on Alcoa from $40.00 to $58.00 and gave the stock an “overweight” rating in a research note on Tuesday. Zacks Research raised shares of Alcoa from a “hold” rating to a “strong-buy” rating in a report on Tuesday, November 25th. Finally, JPMorgan Chase & Co. raised their price objective on shares of Alcoa from $35.00 to $45.00 and gave the stock a “neutral” rating in a report on Friday, December 5th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $47.15.
Alcoa Price Performance
The firm has a 50 day moving average price of $40.75 and a two-hundred day moving average price of $34.54. The company has a market cap of $13.90 billion, a P/E ratio of 12.40, a P/E/G ratio of 0.27 and a beta of 1.99. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.91 and a current ratio of 1.56.
Alcoa (NYSE:AA – Get Free Report) last released its quarterly earnings data on Wednesday, October 22nd. The industrial products company reported ($0.02) EPS for the quarter, beating the consensus estimate of ($0.15) by $0.13. The business had revenue of $2.09 billion for the quarter, compared to the consensus estimate of $3.03 billion. Alcoa had a net margin of 8.91% and a return on equity of 15.85%. The company’s revenue was up 3.1% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.57 earnings per share. On average, analysts predict that Alcoa will post 4.43 EPS for the current fiscal year.
Alcoa Dividend Announcement
The firm also recently disclosed a quarterly dividend, which was paid on Friday, November 21st. Investors of record on Tuesday, November 4th were issued a $0.10 dividend. The ex-dividend date of this dividend was Tuesday, November 4th. This represents a $0.40 annualized dividend and a yield of 0.7%. Alcoa’s dividend payout ratio (DPR) is 9.24%.
Institutional Investors Weigh In On Alcoa
Institutional investors have recently made changes to their positions in the stock. Mirabella Financial Services LLP grew its position in shares of Alcoa by 25.1% in the third quarter. Mirabella Financial Services LLP now owns 406,715 shares of the industrial products company’s stock valued at $13,377,000 after purchasing an additional 81,715 shares in the last quarter. FNY Investment Advisers LLC boosted its stake in Alcoa by 147.5% in the 3rd quarter. FNY Investment Advisers LLC now owns 12,473 shares of the industrial products company’s stock worth $410,000 after purchasing an additional 7,433 shares during the period. Swiss Life Asset Management Ltd purchased a new position in Alcoa during the 3rd quarter valued at about $370,000. Cantor Fitzgerald L. P. bought a new stake in shares of Alcoa during the third quarter valued at about $421,000. Finally, CIBC Private Wealth Group LLC increased its position in shares of Alcoa by 18.7% during the third quarter. CIBC Private Wealth Group LLC now owns 5,543 shares of the industrial products company’s stock valued at $182,000 after buying an additional 874 shares during the period.
About Alcoa
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.