Alcoa (NYSE:AA) Short Interest Up 19.6% in March

Alcoa (NYSE:AA) was the recipient of a significant increase in short interest in March. As of March 13th, there was short interest totaling 8,612,080 shares, an increase of 19.6% from the February 26th total of 7,203,338 shares. Currently, 3.3% of the shares of the company are short sold. Based on an average daily volume of 7,645,967 shares, the days-to-cover ratio is currently 1.1 days.

Analysts Set New Price Targets

A number of equities analysts have weighed in on the company. Wall Street Zen raised Alcoa from a “hold” rating to a “buy” rating in a research report on Saturday, February 21st. Morgan Stanley reaffirmed an “overweight” rating and set a $52.00 price target on shares of Alcoa in a report on Monday, December 15th. JPMorgan Chase & Co. upgraded shares of Alcoa from an “underweight” rating to a “neutral” rating and lifted their price target for the stock from $50.00 to $68.00 in a research note on Friday, March 13th. Zacks Research downgraded shares of Alcoa from a “strong-buy” rating to a “hold” rating in a research report on Friday, February 13th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Alcoa in a report on Monday, December 29th. Four equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $50.45.

Alcoa Stock Performance

NYSE:AA traded up $3.09 on Tuesday, hitting $66.31. The stock had a trading volume of 8,399,806 shares, compared to its average volume of 7,766,024. The business’s 50-day simple moving average is $60.93 and its two-hundred day simple moving average is $49.20. The stock has a market cap of $17.50 billion, a price-to-earnings ratio of 15.00 and a beta of 1.85. Alcoa has a 52-week low of $21.53 and a 52-week high of $68.40. The company has a quick ratio of 0.87, a current ratio of 1.44 and a debt-to-equity ratio of 0.40.

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

Alcoa Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, March 26th. Shareholders of record on Tuesday, March 10th were given a $0.10 dividend. The ex-dividend date was Tuesday, March 10th. This represents a $0.40 annualized dividend and a yield of 0.6%. Alcoa’s dividend payout ratio (DPR) is presently 9.05%.

Institutional Investors Weigh In On Alcoa

Hedge funds and other institutional investors have recently modified their holdings of the stock. Basepoint Wealth LLC purchased a new position in Alcoa during the fourth quarter valued at $25,000. Raleigh Capital Management Inc. increased its position in Alcoa by 52,500.0% in the fourth quarter. Raleigh Capital Management Inc. now owns 526 shares of the industrial products company’s stock worth $28,000 after buying an additional 525 shares in the last quarter. CoreCap Advisors LLC increased its position in Alcoa by 74.1% in the fourth quarter. CoreCap Advisors LLC now owns 557 shares of the industrial products company’s stock worth $30,000 after buying an additional 237 shares in the last quarter. Caitong International Asset Management Co. Ltd raised its stake in shares of Alcoa by 5,281.8% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 592 shares of the industrial products company’s stock worth $31,000 after buying an additional 581 shares during the period. Finally, Quarry LP raised its stake in shares of Alcoa by 96.0% in the fourth quarter. Quarry LP now owns 694 shares of the industrial products company’s stock worth $37,000 after buying an additional 340 shares during the period.

More Alcoa News

Here are the key news stories impacting Alcoa this week:

• Positive Sentiment: Geopolitical supply shock — Iranian strikes on Gulf smelters have tightened global aluminum supply, lifting LME futures and creating immediate pricing tailwinds for producers. Iran’s Attacks on Gulf Aluminum Plants Threaten Supply Crisis
• Positive Sentiment: Direct market reaction — Multiple reports show Alcoa shares rallying after the attacks as investors rotate into U.S. suppliers seen as safer sources of metal and potential margin beneficiaries. Alcoa Corp. (AA) Soars 8% on Aluminum Supply Concerns
• Positive Sentiment: Derivative activity and volume — Unusual options flow (large call purchases) and above-average share volume signal speculative and hedged positioning that can amplify short-term upside. (internal options/volume reports)
• Neutral Sentiment: Analyst views mixed but tilted positive — Some firms have raised targets citing higher aluminum pricing and supply risks, while others remain cautious; median targets sit near current levels, so further upgrades would be a catalyst. Alcoa rallies as aluminum prices stay elevated
• Neutral Sentiment: Industry headwinds exist — Related coverage (Constellium) notes that weaker automotive shipments could cap demand in some segments, an industry-level risk that could limit sustained upside if end-market demand softens. CSTM Gains From Strength in Automotive Structures Unit
• Negative Sentiment: Volatility and mean reversion risk — The rally is materially driven by a geopolitical event; if supply disruptions prove temporary or markets calm, LME prices and Alcoa’s stock could retrace. Alcoa Stock Was Getting Hit by Iran War. Why It’s Now Surging.
• Negative Sentiment: Macroe/operational uncertainty — Continued escalation in the Middle East increases volatility; Alcoa’s earnings sensitivity to realized metal and alumina prices means swings can be sharp and quick. Alcoa Surges 11% After Iran Claims Aluminum Plant Attacks

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.