The U.S. stock market traded slightly in the red in Thursday in pre-market trading despite strong corporate earnings.
Shares of Alcoa Corporation (AA, Financial) rose in premarket trading today after the company posted first-quarter earnings per share of 77 cents on revenue of $3.09 billion, which was 16.2% higher than the comparable period. The company managed to beat earnings expectations by 7 cents and revenue estimates by $10 million.
Further, cash from operations reached $55 million and free cash flow was a negative $19 million, driven by seasonal increases in working capital. Cash used for financing activities and investing activities was $147 million and $74 million, respectively.
Looking ahead, the company updated its full-year outlook for adjusted EBITDA to be between $3.5 billion and $3.7 billion, higher than the prior quarter’s range of $2.6 billion to $2.8 billion.
The company's president and CEO Roy Harvey said: “While the markets may continue to change, our portfolio of assets across the aluminum value chain is steadfastly positioned to perform through commodity cycles. Most importantly, we are uniquely suited for today’s market environment, and we are committed to driving improved pricing to the bottom line to strengthen Alcoa at an even faster rate.”
Gainers
• American Express Co. (AXP, Financial)
• Interpublic Group of Companies Inc. (IPG, Financial)
• Textron Inc. (TXT, Financial)
Losers
• Philip Morris International Inc. (PM, Financial)
• Allergan Plc”‹ (AGN, Financial)
• Altria Group Inc. (MO, Financial)
• Clorox Co. (CLX, Financial)
Global markets
The main European stock markets traded high, with almost all the main indexes in green territory. The U.K.'s FTSE advanced 0.12%, France's CAC gained 0.28% and Spain's Ibex inched up 0.09%, but Germany's Dax declined 0.14%
In Asia, markets closed in the green. India’s BSE Sensex closed up 0.28%, Japan's Nikkei jumped 0.15%, Hong Kong's Hang Seng advanced 1.40% and China´s Shanghai gained 0.84%.
Disclosure: The author holds no position in any stocks mentioned.
