Alcoa (NYSE:AA) Announces Earnings Results, Misses Expectations By $0.19 EPS

Alcoa (NYSE:AA) released its earnings results on Wednesday. The industrial products company reported ($0.81) EPS for the quarter, missing analysts’ consensus estimates of ($0.62) by ($0.19), Briefing.com reports. The company had revenue of $2.60 billion during the quarter, compared to analyst estimates of $2.55 billion. Alcoa had a negative return on equity of 8.30% and a negative net margin of 6.41%. The firm’s revenue for the quarter was down 2.7% on a year-over-year basis. During the same quarter last year, the business earned ($0.23) earnings per share.

Alcoa Price Performance

NYSE:AA opened at $35.48 on Friday. The company has a quick ratio of 0.74, a current ratio of 1.45 and a debt-to-equity ratio of 0.30. The company has a 50 day moving average price of $30.97 and a 200-day moving average price of $29.02. Alcoa has a 1-year low of $23.07 and a 1-year high of $42.23.

Alcoa Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, March 21st. Stockholders of record on Tuesday, March 5th were issued a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a dividend yield of 1.13%. The ex-dividend date was Monday, March 4th. Alcoa’s dividend payout ratio (DPR) is -10.64%.

Insider Buying and Selling

In other Alcoa news, EVP Tammi A. Jones sold 26,468 shares of the company’s stock in a transaction on Wednesday, March 13th. The shares were 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 directly owns 41,166 shares in the company, valued at $1,267,089.48. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink.

Hedge Funds Weigh In On Alcoa

A number of large investors have recently added to or reduced their stakes in AA. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main raised its position in Alcoa by 4,737.1% during the fourth quarter. DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main now owns 4,578,275 shares of the industrial products company’s stock worth $208,174,000 after acquiring an additional 4,483,625 shares during the period. Renaissance Technologies LLC acquired a new position in Alcoa during the first quarter worth $318,670,000. Norges Bank acquired a new position in Alcoa during the fourth quarter worth $128,592,000. Voloridge Investment Management LLC raised its position in Alcoa by 178.0% during the fourth quarter. Voloridge Investment Management LLC now owns 2,410,104 shares of the industrial products company’s stock worth $81,944,000 after acquiring an additional 1,543,244 shares during the period. Finally, Morgan Stanley raised its position in Alcoa by 24.9% during the third quarter. Morgan Stanley now owns 5,941,667 shares of the industrial products company’s stock worth $172,665,000 after acquiring an additional 1,185,323 shares during the period.

Analyst Ratings Changes

A number of analysts recently commented on the stock. UBS Group lifted their target price on shares of Alcoa from $27.00 to $32.00 and gave the stock a “sell” rating in a research note on Friday. B. Riley raised their price target on shares of Alcoa from $25.00 to $31.00 and gave the stock a “neutral” rating in a research report on Thursday. Bank of America raised their price target on shares of Alcoa from $31.00 to $32.00 and gave the stock a “neutral” rating in a research report on Monday, March 18th. Morgan Stanley raised their price target on shares of Alcoa from $27.00 to $29.50 and gave the stock an “underweight” rating in a research report on Thursday, January 18th. Finally, BMO Capital Markets raised their price target on shares of Alcoa from $35.00 to $37.00 and gave the stock a “market perform” rating in a research report on Thursday. Three research analysts have rated the stock with a sell rating, eight have given a hold rating and three have given a buy rating to the company. According to MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $32.96.

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.