Alcoa is a leader in lightweight metals technology, engineering and manufacturing, with a major focus on automotive and commercial transport, air and space travel, as well as industrial and consumer electronics products. The company was founded in 1888 and is based in New York, New York.
AA Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for AA, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Alcoa Corp ranked in the 0th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. As for the metrics that stood out in our discounted cash flow analysis of Alcoa Corp, consider:
Its compound free cash flow growth rate, as measured over the past 3.84 years, is -0.53% -- higher than only 1.49% of stocks in our DCF forecasting set.
The company has produced more trailing twelve month cash flow than only 16.78% of its sector Basic Materials.
Alcoa Corp's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than only 0% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
AEM, ARCH, NGD, ASH, and AVD can be thought of as valuation peers to AA, in the sense that they are in the Basic Materials sector and have a similar price forecast based on DCF valuation.
The latest 13F reporting period has come and gone, and Insider Monkey is again at the forefront when it comes to making use of this gold mine of data. We at Insider Monkey have plowed through 821 13F filings that hedge funds and well-known value investors are required to file by the SEC. The 13F […]
PITTSBURGH--(BUSINESS WIRE)--Alcoa Corporation, a global leader in bauxite, alumina, and aluminum products, announced today that William F. Oplinger, Executive Vice President and Chief Financial Officer, will present at the virtual 11th Annual Deutsche Bank Global Industrials & Materials Summit on Monday, June 8, 2020. Mr. Oplinger’s presentation will be available through a live audio webcast beginning at approximately 11:15 a.m. EDT on Monday, June 8, on the “Investors” section of Alcoa’s
Metal-maker stocks exploded higher on Wednesday, with shares of aluminum producers Alcoa (NYSE: AA) and Century Aluminum (NASDAQ: CENX) climbing 11.4% and 10.7%, respectively, while titanium producer Tronox (NYSE: TROX) closed 10.3% higher. The aluminum producers' rise is easier to explain than Tronox's jump. Bloomberg reported today that China, historically a large aluminum exporter and the source of about 50% of all aluminum produced globally, is shifting into import mode.
(Bloomberg Opinion) -- Gray? Try “steel-colored.” Angular? You must mean “steel-inspired.” I’m referring, of course, to the new logo of the rechristened Arch Resources Inc.The old logo, with its stylized fragment of St Louis’ Gateway Arch, was fine — apart from the fact that it had the word “coal” in it. Arch Coal, the company’s old name, was a mite too connected with a certain fuel that is not only in terminal decline in the U.S. but also rather unpopular with the ESG crowd.When Arch Coal was formed in 1997, America’s power stations were burning 900 million tons a year, generating more than half the country’s electricity, and climbing. Today, thermal coal accounts for less than a fifth of the mix:Remarkably, in announcing its name change this week, Arch pulled a Voldemort with the word...
The optimism has spilled over from the biotech sector, too, to infect (in a good way) stocks as far away as the basic materials sectors of chemicals (Dow Chemical (NYSE: DOW) up 9.4% in 1:45 p.m. EDT trading), copper (Freeport-McMoRan (NYSE: FCX) up 8.4%), and aluminum, too, with Alcoa (NYSE: AA) shares up an astounding 16.3%! After all, it was only four days ago that Alcoa CEO Roy Harvey told Bloomberg that Alcoa lacks "the clarity [or] the orders on the books, to signal that there is a definitive recovery coming."