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Alcoa (AA) Stock Sinks As Market Gains: What You Should Know
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Alcoa (AA - Free Report) closed the most recent trading day at $40.08, moving -0.37% from the previous trading session. This change lagged the S&P 500's daily gain of 0.56%. Meanwhile, the Dow gained 0.41%, and the Nasdaq, a tech-heavy index, added 1.35%.
Heading into today, shares of the bauxite, alumina and aluminum products company had lost 16.12% over the past month, lagging the Industrial Products sector's loss of 5.56% and the S&P 500's loss of 1.48% in that time.
Alcoa will be looking to display strength as it nears its next earnings release. In that report, analysts expect Alcoa to post earnings of -$0.07 per share. This would mark a year-over-year decline of 102.29%. Our most recent consensus estimate is calling for quarterly revenue of $2.65 billion, down 19.55% from the year-ago period.
AA's full-year Zacks Consensus Estimates are calling for earnings of $2.35 per share and revenue of $10.52 billion. These results would represent year-over-year changes of -51.35% and -15.55%, respectively.
Investors should also note any recent changes to analyst estimates for Alcoa. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.59% lower within the past month. Alcoa is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Alcoa is holding a Forward P/E ratio of 17.1. This represents a premium compared to its industry's average Forward P/E of 11.68.
Also, we should mention that AA has a PEG ratio of 5.74. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Metal Products - Distribution stocks are, on average, holding a PEG ratio of 5.24 based on yesterday's closing prices.
The Metal Products - Distribution industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Alcoa (AA) Stock Sinks As Market Gains: What You Should Know
Alcoa (AA - Free Report) closed the most recent trading day at $40.08, moving -0.37% from the previous trading session. This change lagged the S&P 500's daily gain of 0.56%. Meanwhile, the Dow gained 0.41%, and the Nasdaq, a tech-heavy index, added 1.35%.
Heading into today, shares of the bauxite, alumina and aluminum products company had lost 16.12% over the past month, lagging the Industrial Products sector's loss of 5.56% and the S&P 500's loss of 1.48% in that time.
Alcoa will be looking to display strength as it nears its next earnings release. In that report, analysts expect Alcoa to post earnings of -$0.07 per share. This would mark a year-over-year decline of 102.29%. Our most recent consensus estimate is calling for quarterly revenue of $2.65 billion, down 19.55% from the year-ago period.
AA's full-year Zacks Consensus Estimates are calling for earnings of $2.35 per share and revenue of $10.52 billion. These results would represent year-over-year changes of -51.35% and -15.55%, respectively.
Investors should also note any recent changes to analyst estimates for Alcoa. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.59% lower within the past month. Alcoa is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Alcoa is holding a Forward P/E ratio of 17.1. This represents a premium compared to its industry's average Forward P/E of 11.68.
Also, we should mention that AA has a PEG ratio of 5.74. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Metal Products - Distribution stocks are, on average, holding a PEG ratio of 5.24 based on yesterday's closing prices.
The Metal Products - Distribution industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.