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Alcoa Corporation's Upcoming Earnings Report: A Comprehensive Analysis

  • Alcoa Corporation (NYSE:AA) is expected to report a significant increase in EPS of $0.91, marking a 262.5% increase year-over-year.
  • Projected revenue is set to reach approximately $3.44 billion, indicating a 30.1% year-over-year growth.
  • The company's financial health shows a moderate debt-to-equity ratio of 0.56 and a current ratio of 1.41, suggesting reasonable liquidity.

Alcoa Corporation (NYSE:AA), a leading player in the aluminum industry, is gearing up to release its quarterly earnings on January 22, 2025. Wall Street analysts have set their sights on an earnings per share (EPS) of $0.91 and projected revenue of approximately $3.44 billion.

The anticipated earnings of $0.91 per share represent a significant 262.5% increase compared to the same period last year. This growth is largely attributed to the robust performance in its Aluminum and Alumina segments, as highlighted by Zacks Investment Research. The company's revenue is forecasted to reach $3.44 billion, marking a 30.1% year-over-year increase.

The consensus EPS estimate for the quarter has been revised upward by 19.2% over the past 30 days. Such revisions are crucial as they often indicate potential investor actions and can significantly influence the short-term price performance of a stock. Alcoa's price-to-sales ratio of 0.93 suggests that its stock is valued at less than its annual sales.

Alcoa's enterprise value to sales ratio stands at approximately 1.08, reflecting the company's total valuation relative to its sales. The enterprise value to operating cash flow ratio is around 29.22, providing insight into the company's valuation compared to its cash flow from operations.

The company's debt-to-equity ratio is about 0.56, showing a moderate level of debt relative to equity. Additionally, Alcoa's current ratio is approximately 1.41, suggesting that the company has a reasonable level of liquidity to cover its short-term liabilities. These financial metrics provide a comprehensive view of Alcoa's financial health as it prepares to release its earnings.