Quick Highlights:
- Alcoa Corporation (AA, Financial) reports a 10% revenue dip in Q2, with earnings per share falling to $0.62.
- Analyst price target implies a significant upside potential of 22.86%.
- Current stock rating is "Outperform" with a GF Value downside of 0.21%.
Quarterly Performance Review
Alcoa Corporation (NYSE: AA), a global leader in the production of aluminum, saw its second-quarter revenue decline by 10% to $3 billion. The dip was accompanied by a fall in net income to $164 million, and earnings per share contracted to $0.62. The company has adjusted its annual aluminum shipment forecast due to operational disruptions at the San Ciprián smelter, sparking investor concerns.
Analysts' Price Targets and Recommendations
Based on insights from nine analysts, Alcoa Corp (AA, Financial) has been assigned an average one-year price target of $35.09. The projections range from a high of $42.30 to a low of $26.00, implying an upside potential of 22.86% from the current trading price of $28.56. For a deeper dive into these estimates, visit the Alcoa Corp (AA) Forecast page.
On the spectrum of analyst ratings, Alcoa receives a consensus recommendation of 2.3 from 12 brokerage firms, suggesting an "Outperform" rating. This consensus conveys a strong sentiment, with a rating scale where 1 symbolizes a Strong Buy and 5 a Sell.
GF Value Estimation
According to GuruFocus' valuation model, the estimated GF Value for Alcoa Corp (AA, Financial) in one year stands at $28.50. This estimation indicates a marginal downside of 0.21% compared to the current market price of $28.56. The GF Value is a proprietary metric from GuruFocus that calculates the fair value of a stock based on historical trading multiples and anticipated performance. For a comprehensive analysis, review the full data on the Alcoa Corp (AA) Summary page.
