Analysts Set Alcoa (NYSE:AA) Target Price at $42.35

Alcoa (NYSE:AA) has earned a consensus recommendation of “Moderate Buy” from the fourteen analysts that are currently covering the firm, MarketBeat Ratings reports. One analyst has rated the stock with a sell recommendation, five have given a hold recommendation, seven have issued a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month price target among brokerages that have issued ratings on the stock in the last year is $42.3462.

Several research firms have issued reports on AA. HSBC increased their target price on Alcoa from $33.00 to $41.00 and gave the stock a “buy” rating in a research report on Friday, October 17th. JPMorgan Chase & Co. increased their price objective on Alcoa from $34.00 to $35.00 and gave the stock a “neutral” rating in a report on Thursday, October 23rd. Weiss Ratings restated a “hold (c)” rating on shares of Alcoa in a research note on Monday. Zacks Research raised Alcoa from a “hold” rating to a “strong-buy” rating in a report on Tuesday, November 25th. Finally, BMO Capital Markets upped their price target on Alcoa from $35.00 to $37.00 and gave the company a “market perform” rating in a research report on Thursday, October 23rd.

Alcoa Price Performance

Shares of NYSE:AA opened at $41.44 on Friday. The firm has a market capitalization of $10.73 billion, a PE ratio of 9.57, a P/E/G ratio of 0.22 and a beta of 1.99. The company has a quick ratio of 0.91, a current ratio of 1.56 and a debt-to-equity ratio of 0.40. The company has a 50-day moving average price of $37.00 and a two-hundred day moving average price of $32.53. Alcoa has a twelve month low of $21.53 and a twelve month high of $46.75.

Alcoa (NYSE:AA) last announced its quarterly earnings results on Wednesday, October 22nd. The industrial products company reported ($0.02) EPS for the quarter, beating analysts’ consensus estimates of ($0.15) by $0.13. The company had revenue of $2.09 billion for the quarter, compared to analysts’ expectations of $3.03 billion. Alcoa had a net margin of 8.91% and a return on equity of 15.85%. Alcoa’s revenue was up 3.1% compared to the same quarter last year. During the same period in the prior year, the company posted $0.57 EPS. Equities analysts forecast that Alcoa will post 4.43 EPS for the current year.

Alcoa Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, November 21st. Shareholders of record on Tuesday, November 4th were paid a $0.10 dividend. The ex-dividend date was Tuesday, November 4th. This represents a $0.40 annualized dividend and a yield of 1.0%. Alcoa’s dividend payout ratio is currently 9.24%.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in AA. Cetera Investment Advisers boosted its stake in Alcoa by 19.0% during the first quarter. Cetera Investment Advisers now owns 16,368 shares of the industrial products company’s stock valued at $499,000 after buying an additional 2,615 shares during the period. Natixis Advisors LLC raised its stake in Alcoa by 110.4% in the first quarter. Natixis Advisors LLC now owns 26,953 shares of the industrial products company’s stock valued at $822,000 after purchasing an additional 14,145 shares in the last quarter. Blueshift Asset Management LLC purchased a new position in Alcoa in the 1st quarter worth approximately $498,000. Raiffeisen Bank International AG purchased a new position in Alcoa in the 1st quarter worth approximately $93,000. Finally, Charles Schwab Investment Management Inc. increased its holdings in shares of Alcoa by 0.4% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,899,066 shares of the industrial products company’s stock worth $57,922,000 after buying an additional 6,832 shares during the last quarter.

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.