Encompass Capital Advisors LLC Sells 93,820 Shares of Alcoa $AA

Encompass Capital Advisors LLC reduced its stake in shares of Alcoa (NYSE:AA) by 10.9% during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 763,400 shares of the industrial products company’s stock after selling 93,820 shares during the quarter. Alcoa comprises about 1.7% of Encompass Capital Advisors LLC’s investment portfolio, making the stock its 18th biggest position. Encompass Capital Advisors LLC owned 0.29% of Alcoa worth $40,567,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other large investors also recently added to or reduced their stakes in AA. Mirabella Financial Services LLP increased its stake in Alcoa by 12,233.1% during the third quarter. Mirabella Financial Services LLP now owns 40,082,462 shares of the industrial products company’s stock worth $1,318,312,000 after acquiring an additional 39,757,462 shares during the last quarter. Bank of New York Mellon Corp increased its stake in Alcoa by 211.7% during the fourth quarter. Bank of New York Mellon Corp now owns 6,254,017 shares of the industrial products company’s stock worth $332,338,000 after acquiring an additional 4,247,559 shares during the last quarter. Castle Hook Partners LP bought a new stake in Alcoa during the fourth quarter worth approximately $210,874,000. Maple Rock Capital Partners Inc. bought a new stake in Alcoa during the fourth quarter worth approximately $173,412,000. Finally, AQR Capital Management LLC increased its stake in Alcoa by 153.4% during the fourth quarter. AQR Capital Management LLC now owns 4,134,425 shares of the industrial products company’s stock worth $219,703,000 after acquiring an additional 2,503,132 shares during the last quarter.

Alcoa Stock Down 1.6%

Shares of NYSE:AA opened at $61.85 on Thursday. Alcoa has a 1 year low of $27.72 and a 1 year high of $84.38. The business has a 50 day simple moving average of $68.93 and a two-hundred day simple moving average of $61.96. The firm has a market capitalization of $16.32 billion, a PE ratio of 15.66 and a beta of 1.56. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.48 and a quick ratio of 0.88.

Alcoa (NYSE:AA) last announced its quarterly earnings results on Thursday, April 16th. The industrial products company reported $1.40 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.60 by ($0.20). The firm had revenue of $3.19 billion during the quarter, compared to analysts’ expectations of $3.35 billion. Alcoa had a net margin of 8.27% and a return on equity of 12.57%. The firm’s revenue for the quarter was down 5.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $2.15 EPS. On average, equities analysts predict that Alcoa will post 7.98 EPS for the current year.

Alcoa Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 5th. Investors of record on Tuesday, May 19th were issued a $0.10 dividend. The ex-dividend date was Tuesday, May 19th. This represents a $0.40 dividend on an annualized basis and a dividend yield of 0.6%. Alcoa’s payout ratio is presently 10.13%.

Wall Street Analyst Weigh In

AA has been the subject of several recent analyst reports. Argus set a $73.00 target price on Alcoa in a research report on Monday, April 27th. Wall Street Zen lowered Alcoa from a “buy” rating to a “hold” rating in a research report on Saturday, May 9th. UBS Group upgraded Alcoa from a “neutral” rating to a “buy” rating and boosted their target price for the company from $75.00 to $80.00 in a research report on Friday, May 22nd. Zacks Research lowered Alcoa from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, May 12th. Finally, Morgan Stanley set a $79.00 target price on Alcoa in a research report on Thursday, June 11th. Five investment analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $68.50.

Alcoa Profile

Alcoa Corporation is a global industry leader in the production and management of aluminum, offering an integrated value chain that spans bauxite mining, alumina refining, primary aluminum smelting and the fabrication of value-added products. The company’s operations are organized into segments that include raw material extraction, chemical processing and the manufacture of metal mill products and engineered solutions.

Alcoa’s product portfolio serves diverse end markets such as aerospace, automotive, packaging, construction, electrical and industrial applications.