Wells Fargo & Company Has Lowered Expectations for Alcoa (NYSE:AA) Stock Price

Key Points

• Wells Fargo trimmed its price target on Alcoa from $72 to $71 while keeping an overweight rating, implying significant upside from the stock’s current level.
• Despite that outlook, broader analyst sentiment is mixed: several firms recently cut targets or ratings, and Alcoa now has a consensus Hold rating with a $64.82 average price target.
• Alcoa’s stock fell 3.9% after the company reported Q2 EPS of $2.12, missing estimates, and also lowered its 2026 alumina output guidance, adding pressure to shares.

Alcoa (NYSE:AA - Get Free Report) had its price objective decreased by stock analysts at Wells Fargo & Company from $72.00 to $71.00 in a report released on Friday,Benzinga reports. The firm currently has an "overweight" rating on the industrial products company's stock. Wells Fargo & Company's target price suggests a potential upside of 57.76% from the company's current price.

A number of other equities analysts have also recently weighed in on AA. Morgan Stanley reiterated an "equal weight" rating and set a $53.00 price target (down from $79.00) on shares of Alcoa in a report on Wednesday, July 8th. Wall Street Zen lowered shares of Alcoa from a "buy" rating to a "hold" rating in a research note on Saturday, May 9th. JPMorgan Chase & Co. reduced their price target on shares of Alcoa from $70.00 to $55.00 and set a "neutral" rating on the stock in a research note on Thursday, July 9th. Bank of America lowered their price objective on shares of Alcoa from $57.00 to $51.00 and set an "underperform" rating for the company in a research report on Thursday, July 9th. Finally, BMO Capital Markets reiterated a "market perform" rating on shares of Alcoa in a report on Friday. Five analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Alcoa has a consensus rating of "Hold" and a consensus price target of $64.82.

Alcoa Trading Down 3.9%

NYSE:AA traded down $1.85 on Friday, hitting $45.00. The stock had a trading volume of 2,588,675 shares, compared to its average volume of 6,390,903. The company has a fifty day moving average price of $62.09 and a two-hundred day moving average price of $62.59. Alcoa has a 1-year low of $28.11 and a 1-year high of $84.38. The company has a quick ratio of 0.88, a current ratio of 1.48 and a debt-to-equity ratio of 0.36. The stock has a market cap of $11.88 billion, a price-to-earnings ratio of 11.35, a PEG ratio of 0.52 and a beta of 1.63.

Alcoa (NYSE:AA - Get Free Report) last released its quarterly earnings results on Thursday, July 16th. The industrial products company reported $2.12 EPS for the quarter, missing the consensus estimate of $2.25 by ($0.13). The firm had revenue of $3.97 billion for the quarter, compared to analysts' expectations of $3.99 billion. Alcoa had a net margin of 8.27% and a return on equity of 12.57%. During the same period in the previous year, the firm posted $0.39 EPS. Equities research analysts expect that Alcoa will post 6.93 earnings per share for the current fiscal year.

Institutional Trading of Alcoa

Hedge funds have recently added to or reduced their stakes in the company. Basepoint Wealth LLC purchased a new stake in shares of Alcoa in the 4th quarter valued at approximately $25,000. Advisory Services Network LLC purchased a new position in Alcoa in the third quarter valued at $27,000. Raleigh Capital Management Inc. increased its holdings 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 valued at $28,000 after buying an additional 525 shares during the last quarter. CoreCap Advisors LLC raised its stake in Alcoa by 74.1% in the fourth quarter. CoreCap Advisors LLC now owns 557 shares of the industrial products company's stock valued at $30,000 after buying an additional 237 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd lifted its holdings in Alcoa by 5,281.8% during the 4th 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 last quarter.

Key Stories Impacting Alcoa

Here are the key news stories impacting Alcoa this week:

• Positive Sentiment: Alcoa reported record quarterly revenue and highlighted strong operational performance, including progress on smelter restarts and the announced South32 asset acquisition, which could support longer-term growth. Alcoa Corporation Reports Second Quarter 2026 Results
• Positive Sentiment: The company outlined about $900 million in net present value from AliGroup synergies, suggesting meaningful cost and integration benefits from its strategic moves. Alcoa outlines ~$900M NPV AliGroup synergies as it lowers 2026 alumina output to 9.5M-9.6M tons
• Neutral Sentiment: Management is also making a bigger strategic bet, including a new gallium plant at Wagerup, which could diversify the business but is not yet an immediate earnings driver. Alcoa to build gallium plant at Wagerup refinery
• Negative Sentiment: Alcoa missed second-quarter earnings expectations, reporting $2.12 EPS versus the $2.25 consensus, and revenue also came in slightly below estimates, pressuring the stock. Alcoa earnings report
• Negative Sentiment: Alcoa lowered 2026 alumina output guidance by 200,000 to 300,000 metric tons, pointing to ongoing issues at its Pinjarra operations and weaker alumina segment performance. Alcoa cuts full-year alumina guidance, posts higher second-quarter profit

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.

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