Alcoa Corporation (AA) Stock

Alcoa Corporation (AA) is a Materials stock trading at $51.05 (as of 2026-09-02), with a market capitalization of $13.47B and a trailing P/E of 10.5. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Alcoa produces and sells bauxite, alumina, and aluminum products, operating across the Bauxite, Alumina, and Aluminum segments. It mines bauxite, processes it into alumina for sale to downstream customers, and produces aluminum through smelting and casting; it also generates and sells electricity from owned hydropower plants. Markets served include customers in transportation, construction, packaging, wire, and other industrial applications, as well as electricity buyers such as wholesale market participants and large industrial consumers.

Understand Alcoa Corporation: how it makes money

Alcoa mines bauxite, refines it into alumina, and smelts primary aluminum, selling all three to industrial buyers, beverage can makers, and downstream processors. Revenue splits roughly evenly between Aluminum and Alumina, with prices tied to the LME cycle and margins governed by energy and carbon costs.

Every dollar of profit is the spread between the LME aluminum price and the cost of electricity, carbon, and alumina; Alcoa sets no price and earns only on the residual.

Revenue by segment (latest quarter)
Aluminum$1.7B
Alumina$1.3B
Bauxite$1.0B

Business quality (Solid): Vertically integrated across eight countries, Alcoa's 12.2% operating margin and 17% ROE reflect a capital-heavy, cyclical producer that earns on volume and spread rather than pricing power.

Valuation: At 10× earnings, AA trades 53% below the Steel Works average (22×). Note: the low multiple may reflect one-time earnings items.

Bull case

  • Restart cycle lifts record profits: Capacity restarts and operational execution drove record aluminum profitability in Q2, lifting quarterly revenue to $4.0B, up 31% year over year (receipt: latest_call).
  • Premiums shifting to value-added: Management flagged strengthening value-added demand and premiums across key regions, which moves product mix toward higher-margin cast alloys versus commodity ingot (receipt: latest_call).
  • Fifty-three percent valuation gap: Alcoa trades at 10.2x earnings versus 21.6x for the Steel Works industry, a 53% discount that prices in full cyclicality but may understate recovering aluminum economics.

Bear case

  • Cyclone cuts alumina guidance: Management lowered alumina guidance after plant instability and cyclone-related gas curtailment, a reminder that upstream volumes face weather and infrastructure risk outside Alcoa's control (receipt: latest_call).
  • Growth timelines may slip: Australian mining approvals could take longer than initially expected, pushing out the upstream bauxite capacity needed to feed alumina and smelting output (receipt: latest_call).
Valuation — source: SEC EDGAR (first-party)
Price$51.05
Market Cap$13.47B
P/E Ratio10.5
EV / EBITDA6.5
Price / Book1.83
Price / Sales0.99
FCF Yield4.2%
DCF Value (model)$39.98
DCF Upside vs Price-21.7%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$12.83B
Net Margin9.0%
Revenue Growth (YoY)31.4%
EPS Growth (YoY)144.4%
FCF Growth (YoY)18.2%
Financial Health — source: SEC EDGAR
Altman Z-Score1.92 (grey)
Valuation vs Sector & Industry
Stock P/E10.5
Sector P/E (Materials)23.9
Industry P/E (Steel Works)21.0
vs Sector-55.9%
vs Industry-49.9%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderBlackRock, Inc. ($1.88B)
Institutional Holders Tracked10
Congressional Trades (recent)10
Company
SectorMaterials
IndustrySteel Works
CEOWilliam F. Oplinger
Employees13,900
CountryUS
IPO Date2017-03-15

Alcoa Corporation earnings call transcripts

  • AA Q2 FY26 earnings call transcript (reported 2026-07-16) · analysis
  • AA Q4 FY25 earnings call transcript (reported 2026-01-22) · analysis
  • AA Q2 FY25 earnings call transcript (reported 2025-07-16) · analysis

All AA earnings calls

Related Companies (Steel Works; 8 comparable companies)

  • Century Aluminum Company (CENX)
  • Southern Copper Corporation (SCCO)
  • Gold.com, Inc. (GOLD)
  • Steel Dynamics, Inc. (STLD)
  • Packaging Corporation of America (PKG)
  • Cleveland-Cliffs Inc. (CLF)
  • Commercial Metals Company (CMC)
  • Newmont Corporation (NEM)
AA earnings history · AA institutional & insider holders · AA KPIs & operating metrics · AA financials · AA investor presentations & press releases · AA SEC filings · AA peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-09-02.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.