Alcoa (NYSE:AA) Sets New 52-Week High – Here’s What Happened

Alcoa (NYSE:AA) shares hit a new 52-week high during mid-day trading on Wednesday . The company traded as high as $70.35 and last traded at $70.2670, with a volume of 3907387 shares traded. The stock had previously closed at $66.33.

Alcoa News Roundup

Here are the key news stories impacting Alcoa this week:

• Positive Sentiment: Aluminum futures have surged to four‑year highs and many top aluminum stocks are hitting 52‑week highs, driven by tight global supply and a strong monthly price gain — a direct tailwind for Alcoa’s commodity‑exposed earnings. Top Aluminum Stocks Hit 52-Week Highs Amid Tight Supply
• Positive Sentiment: Reports that operations were halted at a major Persian Gulf aluminum smelter after an Iran strike tighten physical supply and stoke short‑term price volatility — generally positive for North American producers’ margins and pricing power. Operations halted at top Persian Gulf aluminum smelter after Iran strike – Bloomberg
• Positive Sentiment: Peers in the space are rallying on supply concerns (e.g., Constellium jumped double digits), signaling investor rotation into aluminum names that can benefit from higher metal prices. This sector momentum tends to lift Alcoa sentiment and multiple expansion. Constellium (CSTM) Soars 11% on Aluminum Supply Concerns
• Positive Sentiment: Unusually high call‑option activity and bullish analyst commentary (street price targets above current levels) point to elevated investor optimism on further upside for Alcoa shares. Traders Purchase High Volume of Alcoa Call Options (NYSE:AA)
• Neutral Sentiment: Analysts and market write‑ups are revisiting Alcoa’s valuation after strong recent share gains; reassessments could justify higher targets but also raise expectations that must be met. Assessing Alcoa (AA) Valuation After Strong Recent Share Price Momentum
• Neutral Sentiment: Coverage that the U.S. will roll out a tiered tariff system on steel and aluminum imports creates policy uncertainty; impacts on Alcoa depend on final scope and product coverage. US Set to Roll Out Tiered Tariffs on Steel, Aluminum Imports
• Negative Sentiment: Proposals to apply a 25% tariff to finished goods containing imported aluminum (applied to full product value) could raise downstream costs and weigh on demand for finished aluminum products, potentially capping price gains for producers if consumption slows. Trump Plans 25% Tariff on Steel, Aluminum Finished Imports

Analyst Ratings Changes

Several analysts recently commented on AA shares. Citigroup boosted their price target on Alcoa from $54.00 to $76.00 and gave the company a “buy” rating in a research note on Monday, March 16th. B. Riley Financial restated a “buy” rating on shares of Alcoa in a research note on Friday, January 23rd. JPMorgan Chase & Co. upgraded shares of Alcoa from an “underweight” rating to a “neutral” rating and increased their target price for the stock from $50.00 to $68.00 in a research report on Friday, March 13th. Wells Fargo & Company set a $68.00 price target on shares of Alcoa in a report on Thursday, March 12th. Finally, Zacks Research lowered shares of Alcoa from a “strong-buy” rating to a “hold” rating in a research report on Friday, February 13th. Four investment analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Alcoa has an average rating of “Hold” and a consensus target price of $50.45.

Alcoa Trading Down 0.8%

The business has a 50 day simple moving average of $61.34 and a 200 day simple moving average of $49.75. The company has a debt-to-equity ratio of 0.40, a current ratio of 1.44 and a quick ratio of 0.87. The company has a market cap of $18.86 billion, a price-to-earnings ratio of 16.17 and a beta of 1.70.

Alcoa (NYSE:AA) last announced its earnings results on Thursday, January 22nd. The industrial products company reported $1.26 earnings per share for the quarter, beating analysts’ consensus estimates of $0.95 by $0.31. The company had revenue of $6.75 billion during the quarter, compared to analyst estimates of $3.28 billion. Alcoa had a return on equity of 16.19% and a net margin of 9.12%.The firm’s quarterly revenue was down 1.1% compared to the same quarter last year. During the same period last year, the company posted $1.04 earnings per share. As a group, equities analysts forecast that Alcoa will post 4.43 EPS for the current year.

Alcoa Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, March 26th. Shareholders of record on Tuesday, March 10th were given a $0.10 dividend. This represents a $0.40 annualized dividend and a yield of 0.6%. The ex-dividend date was Tuesday, March 10th. Alcoa’s dividend payout ratio (DPR) is presently 9.05%.

Hedge Funds Weigh In On Alcoa

A number of large investors have recently modified their holdings of AA. Mirabella Financial Services LLP raised 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 worth $1,318,312,000 after purchasing an additional 39,757,462 shares during the last quarter. Dimensional Fund Advisors LP boosted its position in Alcoa by 4.2% in the 4th quarter. Dimensional Fund Advisors LP now owns 11,580,803 shares of the industrial products company’s stock valued at $615,428,000 after buying an additional 462,243 shares during the last quarter. State Street Corp boosted its position in Alcoa by 6.7% in the 3rd quarter. State Street Corp now owns 11,458,529 shares of the industrial products company’s stock valued at $376,871,000 after buying an additional 721,063 shares during the last quarter. Geode Capital Management LLC increased its stake in shares of Alcoa by 5.5% in the 4th quarter. Geode Capital Management LLC now owns 6,655,655 shares of the industrial products company’s stock valued at $389,621,000 after buying an additional 349,426 shares during the period. Finally, Bank of New York Mellon Corp increased its stake in shares of Alcoa by 211.7% in the 4th 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 buying an additional 4,247,559 shares during the period.

About Alcoa

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.