Aluminum producer Alcoa Inc. (AA) late Tuesday posted better-than-expected first quarter earnings results, sending its shares surging higher in aftermarket trading.
The New York-based company reported first quarter net income of $94 million, or 9 cents per share, compared with $308 million, or 27 cents per share, in the year-ago period. Excluding special items, adjusted profit was 10 cents per share.
Revenue edged slightly higher from last year to $6 billion.
On average, Wall Street analysts expected a net loss of 4 cents per share, on lower revenue of $5.77 billion.
Looking ahead, AA reaffirmed its previously-announced forecast for a 7% rise in global aluminum demand.
Alcoa shares rose 53 cents, or +5.7%, in premarket trading Wednesday.
The Bottom Line
Shares of Alcoa (AA) have a 1.29% dividend yield, based on last night’s closing stock price of $9.32. The stock has technical support in the $8.00-$8.50 price area. If the shares can firm up, we see overhead resistance around the $11 price level.
Alcoa Inc. (AA) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.0 out of 5 stars.