Advisors Preferred LLC Makes New Investment in Alcoa $AA

Advisors Preferred LLC bought a new position in Alcoa (NYSE:AA) in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor bought 24,323 shares of the industrial products company’s stock, valued at approximately $1,613,000.

Other large investors also recently bought and sold shares of the company. Mirabella Financial Services LLP boosted its position in Alcoa by 12,233.1% in the 3rd quarter. Mirabella Financial Services LLP now owns 40,082,462 shares of the industrial products company’s stock valued at $1,318,312,000 after buying an additional 39,757,462 shares during the last quarter. Dimensional Fund Advisors LP increased its position in shares of Alcoa by 4.2% during the fourth quarter. Dimensional Fund Advisors LP now owns 11,580,803 shares of the industrial products company’s stock worth $615,428,000 after acquiring an additional 462,243 shares during the last quarter. State Street Corp lifted its stake in shares of Alcoa by 6.7% in the third quarter. State Street Corp now owns 11,458,529 shares of the industrial products company’s stock worth $376,871,000 after acquiring an additional 721,063 shares in the last quarter. Geode Capital Management LLC lifted its stake in shares of Alcoa by 5.5% in the fourth quarter. Geode Capital Management LLC now owns 6,655,655 shares of the industrial products company’s stock worth $389,621,000 after acquiring an additional 349,426 shares in the last quarter. Finally, Bank of New York Mellon Corp boosted its holdings in Alcoa by 211.7% in the fourth quarter. Bank of New York Mellon Corp now owns 6,254,017 shares of the industrial products company’s stock valued at $332,338,000 after purchasing an additional 4,247,559 shares during the last quarter.

Analyst Ratings Changes

A number of brokerages have issued reports on AA. JPMorgan Chase & Co. cut their target price on Alcoa from $70.00 to $55.00 and set a “neutral” rating on the stock in a research report on Thursday, July 9th. Wall Street Zen lowered shares of Alcoa from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. Morgan Stanley reaffirmed an “equal weight” rating and issued a $53.00 price target (down from $79.00) on shares of Alcoa in a report on Wednesday, July 8th. Argus set a $73.00 price objective on shares of Alcoa in a report on Monday, April 27th. Finally, BMO Capital Markets boosted their target price on shares of Alcoa from $65.00 to $75.00 and gave the stock a “market perform” rating in a research report on Thursday, April 9th. Five investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus price target of $64.91.

Alcoa Price Performance

Shares of NYSE AA opened at $49.05 on Wednesday. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.48 and a quick ratio of 0.88. The firm has a market capitalization of $12.94 billion, a PE ratio of 12.42, a P/E/G ratio of 0.52 and a beta of 1.63. Alcoa has a 1-year low of $28.11 and a 1-year high of $84.38. The business’s fifty day moving average price is $62.69 and its two-hundred day moving average price is $62.68.

Alcoa (NYSE:AA) last released its quarterly earnings results on Thursday, April 16th. The industrial products company reported $1.40 EPS for the quarter, missing the consensus estimate of $1.60 by ($0.20). Alcoa had a return on equity of 12.57% and a net margin of 8.27%.The firm had revenue of $3.19 billion for the quarter, compared to the consensus estimate of $3.35 billion. The firm’s revenue was down 5.2% on a year-over-year basis. During the same quarter in the prior year, the company posted $2.15 EPS. On average, research analysts expect that Alcoa will post 6.93 EPS for the current year.

Alcoa Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Tuesday, May 19th were given a $0.10 dividend. This represents a $0.40 annualized dividend and a yield of 0.8%. The ex-dividend date was Tuesday, May 19th. Alcoa’s dividend payout ratio (DPR) is currently 10.13%.

Alcoa News Summary

Here are the key news stories impacting Alcoa this week:

• Positive Sentiment: Alcoa and the governments of Australia, Japan, and the U.S. reached a final investment decision on a gallium production plant at Wagerup, strengthening Alcoa’s critical-minerals growth optionality. Article: Australia, Japan, the United States and Alcoa Announce Final Investment Decision for Gallium Project in Western Australia
• Positive Sentiment: News of the gallium project was echoed by Reuters and other outlets, increasing visibility around the deal and suggesting meaningful strategic importance for AA. Article: Alcoa greenlights Australia gallium plant with US, Japan and domestic backing
• Positive Sentiment: Investors are also focused on Alcoa’s upcoming Q2 earnings, with expectations for year-over-year revenue and EPS growth driven by aluminum demand and smelter restarts. Article: Alcoa Gears Up to Post Q2 Earnings: What Lies Ahead for the Stock?
• Neutral Sentiment: Analyst coverage remains cautious overall, with J.P. Morgan reportedly keeping a Hold rating on AA ahead of earnings. Article: J.P. Morgan Keeps Their Hold Rating on Alcoa (AA)
• Neutral Sentiment: Broader earnings-preview articles indicate the market is waiting for Alcoa’s July 16 report to confirm whether recent operating strength can translate into better results. Article: Alcoa Gears Up to Post Q2 Earnings: What Lies Ahead for the Stock?
• Negative Sentiment: Some recent commentary notes that AA has been under pressure over the past month, reflecting investor caution despite the long-term asset and commodity story. Article: Alcoa (AA) Following Its Asset Deal, Is The Undervalued Case Back In Focus?

Alcoa Company Profile

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.