Alcoa (AA) Offering Possible 11.11% Return Over the Next 28 Calendar Days

Alcoa’s most recent trend suggests a bullish bias. One trading opportunity on Alcoa is a Bull Put Spread using a strike $22.00 short put and a strike $17.00 long put offers a potential 11.11% return on risk over the next 28 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $22.00 by expiration. The full premium credit of $0.50 would be kept by the premium seller. The risk of $4.50 would be incurred if the stock dropped below the $17.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Alcoa is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Alcoa is bullish.

The RSI indicator is at 49.36 level which suggests that the stock is neither overbought nor oversold at this time.

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Alcoa Corporation (AA) Q2 2019 Earnings Call Transcript
Thu, 18 Jul 2019 04:23:35 +0000
AA earnings call for the period ending July 18, 2019.

Edited Transcript of AA.N earnings conference call or presentation 17-Jul-19 9:00pm GMT
Thu, 18 Jul 2019 02:42:28 +0000
Q2 2019 Alcoa Corp Earnings Call

Alcoa Pares Aluminum-Demand Forecast as Trade-War Fallout Widens
Thu, 18 Jul 2019 01:00:00 +0000
(Bloomberg) — Alcoa Corp. cut its forecast for global aluminum demand for the second time in three months, adding to concerns that trade frictions are eroding the outlook for the industrial metal.Aluminum supply will trail consumption by 1 million to 1.4 million metric tons, smaller than forecast in April, as trade tensions and macroeconomic headwinds slow demand in China and the rest of the world, Alcoa said Wednesday when it reported second-quarter earnings.Over the past year, Alcoa’s shares have fallen by about half amid demand concerns fueled by the U.S.-China trade war and declining prices for aluminum and alumina. Alumina is used to make aluminum and is a high-margin business for the company. The results also come after analysts’ pushed their 12-month share-price target to the lowest in more than two years.The company sees aluminum use this year growing 1.25% to 2.25%, compared with its previous estimate of 2% to 3%. But China’s stimulus may help strengthen demand for the metal, Alcoa Chief Executive Officer Roy Harvey said during the company’s earnings call Wednesday.”If you continue to see some of that slowdown inside of their economy, you’re going to see more stimulus that moves from financial to physical and to infrastructure,” he said. “That will then give you a number of impacts positive impacts, particularly in aluminum.”The company estimates the global inventory of the refined metal at 10.7 million tons, about half of which are considered “unreported stocks,” Harvey said. About 2.5 million tons of the supply that’s not tracked by exchanges are in China, he said.The earnings statement was released after the close of regular trading in New York, where Alcoa fell 2.7% to $22.53 at 6:49 p.m. Wednesday.The Pittsburgh-based company reported a smaller adjusted loss for the second quarter than analysts had expected. It also posted adjusted earnings before interest, taxes, depreciation and amortization of $455 million, topping the $430.7 million average of analysts’ estimate compiled by Bloomberg. Lower pricing for alumina and aluminum was partially offset by higher energy sales and lower costs for raw materials, Alcoa said.To contact the reporter on this story: Matt Townsend in New York at mtownsend9@bloomberg.netTo contact the editors responsible for this story: Luzi Ann Javier at, Steven FrankFor more articles like this, please visit us at©2019 Bloomberg L.P.

Alcoa (AA) Reports Q2 Loss, Lags Revenue Estimates
Wed, 17 Jul 2019 21:35:09 +0000
Alcoa (AA) delivered earnings and revenue surprises of 97.06% and -2.92%, respectively, for the quarter ended June 2019. Do the numbers hold clues to what lies ahead for the stock?

Alcoa Earnings: AA Stock Declines as Q2 Sales Slide 25% Y2Y
Wed, 17 Jul 2019 21:31:39 +0000
Alcoa (NYSE:AA) posted its quarterly earnings results after the bell today, amassing a loss that was narrower than expected, while revenue was in line, yet it fell year-over-year, prompting AA stock to take a step back late Wednesday.Source: Shutterstock The Pittsburgh, Penn.-based industrial company — produces aluminum — announced its second-quarter figures that cemented the midpoint of its fiscal 2019. The business posted a loss of $402 million, which tallied up to $2.17 per share, compared to the earnings of $10 million, or 5 cents per share, from the year-ago period.Alcoa added that for the period, it reported a loss of $2 million, or a penny per share, when adjusted for one-time items. During the year-ago period, it posted a profit of $1.17 per share. Wall Street expected the business to post an adjusted loss of 19 cents per share, according to the FactSet guidance.InvestorPlace – Stock Market News, Stock Advice & Trading TipsThe company also revealed its revenue for the period, tallying up to $2.7 billion, which is 25% less than the $3.6 billion from the second quarter of 2018. Analysts who were polled by FactSet were predicting revenue of $2.7 billion for the period.Alcoa also mentioned that the global demand for aluminum is projected to grow in 2019 by about 1.25% to 2.25%, below the previous guidance of 2% to 3%. We can point to a decrease in demand in China and the rest of the world as trade tensions continue.AA stock is sliding about 3.3% after the bell today, which is weaker than what analysts called for More From InvestorPlace * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond * 7 Dependable Dividend Stocks to Buy * 7 Dependable Dividend Stocks to Buy * 10 Stocks to Sell for an Economic Slowdown The post Alcoa Earnings: AA Stock Declines as Q2 Sales Slide 25% Y2Y appeared first on InvestorPlace.

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