Alcoa Target of Unusually Large Options Trading (NYSE:AA)

Alcoa (NYSE:AA) was the recipient of unusually large options trading on Friday. Stock investors acquired 31,983 call options on the company. This is an increase of approximately 68% compared to the typical daily volume of 19,062 call options.

Alcoa Stock Down 6.4%

Shares of AA stock traded down $3.01 during trading on Friday, hitting $43.84. 11,662,707 shares of the company were exchanged, compared to its average volume of 6,463,288. The business’s 50-day simple moving average is $62.09 and its 200 day simple moving average is $62.59. Alcoa has a twelve month low of $28.11 and a twelve month high of $84.38. The firm has a market capitalization of $11.57 billion, a price-to-earnings ratio of 11.10, a P/E/G ratio of 0.52 and a beta of 1.63. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.88 and a current ratio of 1.48.

Alcoa (NYSE:AA) last released its quarterly earnings data on Thursday, July 16th. The industrial products company reported $2.12 earnings per share for the quarter, missing the consensus estimate of $2.25 by ($0.13). Alcoa had a net margin of 8.27% and a return on equity of 12.57%. The company had revenue of $3.97 billion during the quarter, compared to analyst estimates of $3.99 billion. During the same quarter in the prior year, the company posted $0.39 EPS. As a group, analysts forecast that Alcoa will post 6.93 EPS for the current fiscal year.

Alcoa Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, June 5th. Stockholders of record on Tuesday, May 19th were paid a $0.10 dividend. This represents a $0.40 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date was Tuesday, May 19th. Alcoa’s payout ratio is presently 10.13%.

Wall Street Analyst Weigh In

A number of analysts have commented on the stock. JPMorgan Chase & Co. reduced their price objective on shares of Alcoa from $55.00 to $52.00 and set a “neutral” rating for the company in a research note on Friday. Wall Street Zen lowered shares of Alcoa from a “buy” rating to a “hold” rating in a report on Saturday, May 9th. Bank of America reduced their price target on shares of Alcoa from $57.00 to $51.00 and set an “underperform” rating for the company in a research report on Thursday, July 9th. Morgan Stanley reaffirmed an “equal weight” rating and issued a $53.00 price objective (down from $79.00) on shares of Alcoa in a research note on Wednesday, July 8th. Finally, UBS Group cut their target price on shares of Alcoa from $80.00 to $68.00 and set a “buy” rating on the stock in a research note on Tuesday, June 30th. Five equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $62.73.

Key Alcoa News

Here are the key news stories impacting Alcoa this week:

• Positive Sentiment: Alcoa posted record quarterly revenue and highlighted strong operational performance, including progress on multiple smelter capacity restarts and higher aluminum EBITDA, which supports the long-term growth story. Alcoa Corporation Reports Second Quarter 2026 Results
• Positive Sentiment: Management outlined roughly $900 million in net present value from AliGroup synergies and said it is strengthening Alcoa’s upstream portfolio through the South32 acquisition strategy, a potential catalyst for future earnings power. Alcoa outlines ~$900M NPV AliGroup synergies…
• Neutral Sentiment: Unusually heavy options activity suggests traders are positioning for a larger move in AA, but the flow does not clearly point to a bullish or bearish thesis. AA Stock Dips as Alcoa Cuts Aluminum Production Guidance
• Negative Sentiment: Alcoa missed Q2 earnings estimates, reporting $2.12 EPS versus $2.25 expected, which weighed on sentiment despite improved year-over-year performance. Alcoa Stock Sinks On Q2 Earnings Miss: Details
• Negative Sentiment: The company cut its 2026 alumina output outlook to 9.5 million-9.6 million metric tons after Pinjarra refinery issues, a key operational setback that is driving the stock lower today. Alcoa Cuts Full-Year Alumina Guidance, Posts Higher Second-Quarter Profit
• Negative Sentiment: Analysts responded by trimming price targets, including JPMorgan, reinforcing concerns that near-term fundamentals may remain pressured. Analyst price target changes

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. NewEdge Advisors LLC boosted its stake in Alcoa by 1,098.0% during the first quarter. NewEdge Advisors LLC now owns 11,704 shares of the industrial products company’s stock worth $357,000 after buying an additional 10,727 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in Alcoa by 0.7% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 646,609 shares of the industrial products company’s stock valued at $19,722,000 after purchasing an additional 4,624 shares during the last quarter. Invesco Ltd. grew its stake in shares of Alcoa by 1.9% during the second quarter. Invesco Ltd. now owns 640,528 shares of the industrial products company’s stock valued at $18,902,000 after purchasing an additional 12,008 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake in shares of Alcoa by 173.8% during the second quarter. EverSource Wealth Advisors LLC now owns 2,040 shares of the industrial products company’s stock worth $60,000 after buying an additional 1,295 shares during the last quarter. Finally, First Trust Advisors LP grew its holdings in Alcoa by 320.1% during the 2nd quarter. First Trust Advisors LP now owns 269,982 shares of the industrial products company’s stock worth $7,967,000 after acquiring an additional 205,717 shares during the period.

Alcoa Company 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.