Stock Traders Buy Large Volume of Alcoa Call Options (NYSE:AA)

Alcoa Co. (NYSE:AA) was the target of unusually large options trading activity on Friday. Stock traders acquired 27,556 call options on the stock. This represents an increase of 53% compared to the typical daily volume of 18,056 call options.

Analyst Upgrades and Downgrades

A number of equities analysts have recently weighed in on the company. Jefferies Financial Group cut their target price on Alcoa from $50.00 to $45.00 and set a “buy” rating on the stock in a research note on Monday, January 6th. BMO Capital Markets upped their price objective on Alcoa to $43.00 and gave the company a “hold” rating in a research note on Friday, January 17th. B. Riley upgraded Alcoa to a “strong-buy” rating in a research note on Tuesday, January 21st. HC Wainwright increased their price target on shares of Alcoa to $90.00 and gave the company a “buy” rating in a research report on Tuesday, March 11th. Finally, Bank of America boosted their target price on shares of Alcoa to $58.00 and gave the company a “buy” rating in a research note on Friday, January 24th. Four analysts have rated the stock with a hold rating, eight have assigned a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $49.92.

Alcoa Stock Performance

Shares of NYSE:AA traded down $1.40 during midday trading on Friday, reaching $30.58. 6,441,051 shares of the company traded hands, compared to its average volume of 5,367,569. The firm’s fifty day moving average price is $34.75 and its two-hundred day moving average price is $38.06. The firm has a market capitalization of $7.92 billion, a price-to-earnings ratio of -191.15, a price-to-earnings-growth ratio of 0.19 and a beta of 2.55. The company has a quick ratio of 0.86, a current ratio of 1.45 and a debt-to-equity ratio of 0.48. Alcoa has a 12 month low of $27.12 and a 12 month high of $47.77.

Alcoa (NYSE:AA) last announced its quarterly earnings results on Wednesday, January 22nd. The industrial products company reported $1.04 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.91 by $0.13. Alcoa had a net margin of 0.50% and a return on equity of 5.54%. On average, equities analysts expect that Alcoa will post 4.43 earnings per share for the current year.

Alcoa Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, March 20th. Stockholders of record on Tuesday, March 4th were issued a $0.10 dividend. The ex-dividend date was Tuesday, March 4th. This represents a $0.40 annualized dividend and a dividend yield of 1.31%. Alcoa’s payout ratio is currently -250.00%.

Institutional Investors Weigh In On Alcoa

Several large investors have recently added to or reduced their stakes in AA. Ballentine Partners LLC boosted its position in shares of Alcoa by 3.2% during the 4th quarter. Ballentine Partners LLC now owns 8,973 shares of the industrial products company’s stock valued at $339,000 after acquiring an additional 279 shares during the last quarter. Bessemer Group Inc. grew its stake in Alcoa by 77.1% in the 4th quarter. Bessemer Group Inc. now owns 680 shares of the industrial products company’s stock worth $26,000 after buying an additional 296 shares in the last quarter. Oregon Public Employees Retirement Fund increased its holdings in shares of Alcoa by 0.6% in the 4th quarter. Oregon Public Employees Retirement Fund now owns 52,624 shares of the industrial products company’s stock worth $1,988,000 after buying an additional 300 shares during the last quarter. Wilmington Savings Fund Society FSB raised its position in shares of Alcoa by 5.3% during the 4th quarter. Wilmington Savings Fund Society FSB now owns 6,521 shares of the industrial products company’s stock valued at $246,000 after buying an additional 328 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC lifted its holdings in shares of Alcoa by 3.7% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 9,469 shares of the industrial products company’s stock worth $365,000 after acquiring an additional 339 shares during the last quarter. Institutional investors own 82.39% of the company’s stock.

Alcoa Company Profile

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.