#2 - Alcoa (NYSE:AA)
Alcoa Corporation (NYSE: AA) is one of the world's leading miners of bauxite and a provider of aluminum products. Like many companies that are tied closely to a metal like aluminum, the stock is affected by underlying commodity prices.
For much of 2023, AA stock was falling along with demand for aluminum. However, in October 2023, demand trends shifted, and so did the direction of Alcoa's stock. Aluminum demand is expected to continue to be strong through 2024. And Alcoa, which has been posting negative earnings per share (EPS), is expecting to not only deliver positive earnings, but to have earnings growth of 300%.
That growth is likely not factored into AA stock. As of April 5, 2024, analysts have a consensus rating of Hold on AA stock. Some of that sentiment is based on concerns over demand in China. However, that sentiment could change quickly if the company hits its bullish earnings targets over the next few quarters.
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.
Read More - Current Price
- $41.25
- Consensus Rating
- Hold
- Ratings Breakdown
- 3 Buy Ratings, 8 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $33.54 (18.7% Downside)
