Deep Dive Into Alcoa Stock: Analyst Perspectives (8 Ratings)

Throughout the last three months, 8 analysts have evaluated Alcoa (NYSE:AA), offering a diverse set of opinions from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $32.0, a high estimate of $47.00, and a low estimate of $25.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 25.82%.

Interpreting Analyst Ratings: A Closer Look

A clear picture of Alcoa's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Alcoa. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Alcoa compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Alcoa's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Alcoa's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Alcoa analyst ratings.

Get to Know Alcoa Better

Alcoa is a vertically integrated aluminum company whose operations include bauxite mining, alumina refining, and manufacturing primary aluminum. It is the world's largest bauxite miner and alumina refiner by production volume, and the eighth-largest aluminum producer. Profits are closely tied to prevailing commodity prices along the aluminum supply chain.Alcoa was the first mass producer of aluminum, launching the world-changing Hall-Heroult smelting process in the 1880s, making aluminum affordable. It listed as a public company in 1925. In 2016, Alcoa spun off its automotive and aerospace metal parts segment to focus on mining, smelting, and refining. It bought the 40% unowned balance of AWAC in mid-2024, meaning refining assets are now predominantly wholly owned, as with smelting.

Unraveling the Financial Story of Alcoa

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Alcoa's revenue growth over a period of 3M has been noteworthy. As of 31 March, 2025, the company achieved a revenue growth rate of approximately 29.63%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Materials sector.

Net Margin: Alcoa's net margin is impressive, surpassing industry averages. With a net margin of 16.27%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Alcoa's ROE stands out, surpassing industry averages. With an impressive ROE of 9.99%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Alcoa's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 3.83%, the company showcases efficient use of assets and strong financial health.

Debt Management: Alcoa's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.46.

What Are Analyst Ratings?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.