B. Riley Forecasts Strong Price Appreciation for Alcoa (NYSE:AA) Stock

Key Points

• B. Riley raised Alcoa's price target from $37.00 to $38.00, reflecting a potential upside of 20.27% from its previous close, and maintains a "buy" rating on the stock.
• Despite the positive outlook from B. Riley, other analysts such as JPMorgan and Wall Street Zen have issued lower ratings, with consensus ratings showing six buy ratings, five holds, and one sell.
• Alcoa reported a quarterly earnings per share of $0.39, exceeding analysts' expectations, with revenue increasing by 3.9% year-over-year.

Alcoa (NYSE:AA - Free Report) had its target price hoisted by B. Riley from $37.00 to $38.00 in a report released on Tuesday, MarketBeat.com reports. The firm currently has a buy rating on the industrial products company's stock. B. Riley also issued estimates for Alcoa's Q3 2025 earnings at $0.60 EPS, Q4 2025 earnings at $0.74 EPS, FY2025 earnings at $3.96 EPS, FY2026 earnings at $2.86 EPS and FY2027 earnings at $2.97 EPS.

Other research analysts have also recently issued reports about the company. Bank of America upped their price objective on Alcoa from $26.00 to $27.00 and gave the company an "underperform" rating in a report on Thursday, July 17th. Citigroup upgraded Alcoa to a "buy" rating and set a $42.00 price target on the stock in a research note on Tuesday, July 8th. Morgan Stanley decreased their price target on Alcoa from $40.00 to $38.00 and set an "overweight" rating on the stock in a research note on Friday, July 18th. JPMorgan Chase & Co. decreased their price target on Alcoa from $28.00 to $27.00 and set a "neutral" rating on the stock in a research note on Thursday, July 17th. Finally, UBS Group restated a "neutral" rating and set a $31.00 price target on shares of Alcoa in a research note on Thursday, May 15th. Six equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $41.75.

Alcoa Trading Up 3.0%

AA traded up $0.97 during trading hours on Tuesday, reaching $33.26. The company's stock had a trading volume of 8,311,403 shares, compared to its average volume of 5,144,855. Alcoa has a fifty-two week low of $21.53 and a fifty-two week high of $47.77. The stock has a market cap of $8.61 billion, a PE ratio of 8.68, a P/E/G ratio of 0.18 and a beta of 2.26. The business's 50-day moving average is $30.76 and its 200-day moving average is $29.34. The company has a debt-to-equity ratio of 0.41, a current ratio of 1.65 and a quick ratio of 0.97.

Alcoa (NYSE:AA - Get Free Report) last released its quarterly earnings data on Wednesday, July 16th. The industrial products company reported $0.39 EPS for the quarter, beating analysts' consensus estimates of $0.29 by $0.10. Alcoa had a return on equity of 19.18% and a net margin of 7.86%.The firm had revenue of $3.02 billion for the quarter, compared to analysts' expectations of $2.96 billion. During the same period in the prior year, the firm posted $0.16 earnings per share. The firm's quarterly revenue was up 3.9% on a year-over-year basis. As a group, equities research analysts predict that Alcoa will post 4.43 earnings per share for the current fiscal year.

Alcoa Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 28th. Stockholders of record on Tuesday, August 12th were paid a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 1.2%. The ex-dividend date was Tuesday, August 12th. Alcoa's dividend payout ratio (DPR) is presently 10.44%.

Institutional Trading of Alcoa

Several hedge funds have recently modified their holdings of AA. Norges Bank acquired a new stake in shares of Alcoa in the second quarter valued at $97,933,000. L1 Capital Pty Ltd increased its holdings in Alcoa by 178.8% in the second quarter. L1 Capital Pty Ltd now owns 4,814,342 shares of the industrial products company's stock valued at $142,071,000 after buying an additional 3,087,298 shares during the last quarter. Dimensional Fund Advisors LP raised its stake in Alcoa by 33.9% in the first quarter. Dimensional Fund Advisors LP now owns 6,803,086 shares of the industrial products company's stock valued at $207,490,000 after buying an additional 1,721,222 shares in the last quarter. Drummond Knight Asset Management Pty Ltd acquired a new stake in Alcoa in the second quarter valued at $44,893,000. Finally, Sourcerock Group LLC raised its stake in Alcoa by 319.1% in the fourth quarter. Sourcerock Group LLC now owns 1,978,009 shares of the industrial products company's stock valued at $74,729,000 after buying an additional 1,506,009 shares in the last quarter.

About Alcoa

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.