Alcoa (NYSE:AA) Shares Gap Down After Analyst Downgrade

Shares of Alcoa Co. (NYSE:AA - Get Free Report) gapped down before the market opened on Thursday after B. Riley lowered their price target on the stock from $44.00 to $43.00. The stock had previously closed at $25.07, but opened at $23.80. B. Riley currently has a buy rating on the stock. Alcoa shares last traded at $23.54, with a volume of 1,948,369 shares.

Several other equities analysts have also recently issued reports on the company. JPMorgan Chase & Co. reduced their price objective on Alcoa from $28.00 to $25.00 and set a "neutral" rating for the company in a report on Thursday, April 17th. Morgan Stanley cut their target price on shares of Alcoa from $55.00 to $51.00 and set an "overweight" rating for the company in a research report on Tuesday, January 28th. Bank of America restated an "underperform" rating and set a $26.00 price objective (down from $58.00) on shares of Alcoa in a research report on Tuesday, April 8th. HC Wainwright boosted their price target on Alcoa to $90.00 and gave the stock a "buy" rating in a report on Tuesday, March 11th. Finally, Jefferies Financial Group decreased their price objective on Alcoa from $50.00 to $45.00 and set a "buy" rating on the stock in a research note on Monday, January 6th. One research analyst has rated the stock with a sell rating, three have assigned a hold rating and nine have given a buy rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $44.17.

Hedge Funds Weigh In On Alcoa

Several hedge funds and other institutional investors have recently modified their holdings of the company. MML Investors Services LLC purchased a new stake in Alcoa during the third quarter worth approximately $308,000. Wilmington Savings Fund Society FSB purchased a new position in Alcoa in the third quarter valued at about $239,000. Synovus Financial Corp acquired a new position in shares of Alcoa during the third quarter worth about $456,000. Retirement Systems of Alabama grew its stake in shares of Alcoa by 41.6% in the third quarter. Retirement Systems of Alabama now owns 313,822 shares of the industrial products company's stock valued at $12,107,000 after buying an additional 92,201 shares in the last quarter. Finally, Confluence Investment Management LLC raised its holdings in shares of Alcoa by 7.2% during the 4th quarter. Confluence Investment Management LLC now owns 13,999 shares of the industrial products company's stock valued at $529,000 after buying an additional 936 shares during the period. 82.39% of the stock is owned by institutional investors and hedge funds.

Alcoa Stock Up 4.2 %

The company has a current ratio of 1.45, a quick ratio of 0.86 and a debt-to-equity ratio of 0.48. The firm has a 50-day moving average of $30.80 and a 200 day moving average of $36.82. The stock has a market capitalization of $6.28 billion, a price-to-earnings ratio of -151.69, a price-to-earnings-growth ratio of 0.19 and a beta of 2.28.

Alcoa (NYSE:AA - Get Free Report) last released its quarterly earnings results on Wednesday, April 16th. The industrial products company reported $2.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.73 by $0.42. The firm had revenue of $3.37 billion for the quarter, compared to the consensus estimate of $3.58 billion. Alcoa had a net margin of 0.50% and a return on equity of 5.54%. On average, sell-side analysts anticipate that Alcoa Co. will post 4.43 earnings per share for the current year.

Alcoa Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 20th. Shareholders of record on Tuesday, March 4th were given a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a dividend yield of 1.65%. The ex-dividend date was Tuesday, March 4th. Alcoa's payout ratio is 12.05%.

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.