|July 9, 2014|
|07:02 EDT||AA||Alcoa price target raised to $17 from $15 at Stifel|
Stifel increased its price target on Alcoa after the company reported higher than expected EPS. The firm expects the company's 2015 results to be boosted by higher prices. It keeps a Buy rating on the shares.
News For AA From The Last 14 Days
|July 7, 2015|
|06:02 EDT||AA||Stocks with implied volatility above IV index mean; AA ZNGA|
Stocks with implied volatility above IV index mean; Alcoa (AA) 37, Zynga (ZNGA) 52 according to iVolatility.
|July 2, 2015|
|13:36 EDT||AA||On The Fly: Technical notes on earnings season calendar effects|
The doldrums have persisted without a great deal of index volatility heading into Q2 earnings season. Until we are into the bulk of the season, we aren't likely to have sufficient catalysts to move far, barring an exogenous event. What traders need to be aware of is how compressed this earnings season really is. The increased flow of earnings news within a shorter span could lead to some bigger moves. How short? The old school way of determining the bounds of earnings season starts with Alcoa (AA) and ends with Cisco (CSCO). This time around, Alcoa is on July 8 and Cisco is on August 12, putting the season at just over a month in calendar time. Contrast this with Q4 earnings season, which can take nearly seven weeks in some cases. Another factor to be aware of: in the first week of earnings this season, there are just a relative handful of S&P 500 names reporting. By the time Cisco reports, the bulk will be done. We really are looking at more like a three week window. If the direction of earnings surprises are consistent, the market might see its first real push up or down that breaks the tight range with solid momentum. If not, market watchers are likely to see a spate of volatility in a market that has become used to flatter conditions, where volatility has been better for a sale. Choppy earnings could make that strategy more problematic. Planning out ahead is critically important too, as the day of the week can matter. Wednesdays and Thursdays tend to be the peak days for reports, making them more subject to market gyrations. Friday afternoons tend to be a day in which companies with genuinely bad news try to sneak it out. Use the forthcoming holiday wisely; we may be in for a bumpier ride ahead.
|July 1, 2015|
|07:25 EDT||AA|| Alcoa July volatility increases into Q2 and outlook |
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|June 30, 2015|
|08:34 EDT||AA||Alcoa to close Pocos smelter in Brazil|
Alcoa announced that it will permanently close its Poços de Caldas primary aluminum smelter in Brazil on June 30, 2015. The smelter has been curtailed since May 2014 and the underlying market conditions that led to the curtailment have not improved. “The closure of the Poços smelter permanently removes a high-cost smelting facility from the Alcoa system and is another step in creating a more profitable Primary Metals business,” said Alcoa Global Primary Products President Bob Wilt. Once the Poços smelter is closed, Alcoa’s total global smelting capacity will be reduced by 96,000 metric tons, to 3.4 million metric tons. The Poços mine, refinery, aluminum powder plant and casthouse will continue normal operations. As a result of the closure, Alcoa expects to record restructuring-related charges in second quarter 2015 between $100M-$110M after-tax, or 8c-9c per share, of which approximately 60 percent is non-cash.
|June 29, 2015|
|09:04 EDT||AA||Alcoa estimates cut due to low regional premiums at Morgan Stanley|
Morgan Stanley lowered Alcoa 2015-17 EBITDA estimates to reflect declines in regional premiums. The firm lowered Q2 EPS to 21c from 22, below consensus of 23c, but sees drivers in place for a 2H recovery in shares. Morgan Stanley said all-in aluminum prices, including regional premiums, are near six year lows, and expects upstream performance to near a trough at current prices, and for earnings to bottom in Q3. The firm rates shares an Overweight with a lowered price target of $16.
|07:40 EDT||AA||Alcoa estimates lowered below consensus at Stifel|
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|June 24, 2015|
|08:18 EDT||AA||Alcoa volatility flat into Q2 and outlook |
Alcoa July call option implied volatility is at 28, August is at 26, October is 27; compared to its 52-week range of 23 to 48, suggesting non-directional price movement into the expected release of Q2 results after the market close on July 8.