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Kaiser Aluminum (KALU) Gains As Market Dips: What You Should Know

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Kaiser Aluminum (KALU - Free Report) closed the most recent trading day at $93.76, moving +0.85% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.04%. Elsewhere, the Dow saw a downswing of 0.03%, while the tech-heavy Nasdaq appreciated by 0.03%.

Shares of the aluminum products company have appreciated by 23.2% over the course of the past month, outperforming the Industrial Products sector's gain of 6.82% and the S&P 500's gain of 2.57%.

Analysts and investors alike will be keeping a close eye on the performance of Kaiser Aluminum in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.62, reflecting a 37.37% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $698.69 million, indicating a 13.49% decrease compared to the same quarter of the previous year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.59 per share and a revenue of $3.06 billion, representing changes of +31.02% and -0.93%, respectively, from the prior year.

Any recent changes to analyst estimates for Kaiser Aluminum should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Kaiser Aluminum is currently sporting a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, Kaiser Aluminum is holding a Forward P/E ratio of 25.9. This denotes a premium relative to the industry's average Forward P/E of 14.76.

The Metal Products - Procurement and Fabrication industry is part of the Industrial Products sector. Currently, this industry holds a Zacks Industry Rank of 158, positioning it in the bottom 38% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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