Alcoa Buy or Sell Recommendation

    Macroaxis provides Alcoa Corporation buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Alcoa positions. The advice algorithm takes into account all of Alcoa Corporation available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from Alcoa buy-and-hold prospective. Check also Alcoa Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus

    Investment Horizon

      

    Risk Tolerance

      
    Symbol
    Execute Advice
    Alcoa Corporation -- USA Stock  

    USD 38.47  2.59  6.31%

    Allowing for the 30-days total investment horizon, and your above average risk tolerance our recommendation regarding Alcoa Corporation is 'Strong Buy'.
    For the selected time horizon Alcoa Corporation has a risk adjusted performance of 0.1034, jensen alpha of 0.4068, total risk alpha of 0.1031, sortino ratio of 0.1946 and treynor ratio of 0.7213
    Alcoa buy, hold, or sell suggestion module can be used to check and cross-verify current buy, hold, or sell recommendation provided by analysts analyzing the organization potential to grow using all of fundamental, technical, data market data available at the time. To make sure Alcoa is not overpriced, please confirm all Alcoa fundamentals including its Profit Margin, Shares Owned by Insiders, Price to Book, as well as the relationship between Current Valuation and Number of Shares Shorted . Given that Alcoa has Number of Shares Shorted of 5.16 M, we suggest you validate Alcoa Corporation market performance and probability of bankruptcy to make sure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

    Returns Distribution Density

    Mean Return0.46Value At Risk-2.4255
    Potential Upside4.1853Standard Deviation2.2716
     Return Density 
          Distribution 

    Institutional Investors

    Security TypeSharesValue
    Group One Trading LpPut Options102.6 K3.4 M
    Group One Trading LpCall Options73 K2.4 M
    City Financial Investment Co LtdCommon Shares30 K1 M
    Arrowstreet Capital Limited PartnershipCommon Shares72.1 K2 M

    Alcoa Greeks

    α
    Alpha over DOW
    = 0.41 
    βBeta against DOW= 0.63 
    σ
    Overall volatility
    = 4.03 
     IrInformation ratio = 0.17 

    Alcoa Volatility Alert

    Alcoa Corporation has relatively low volatility with skewness of 0.17 and kurtosis of -0.78. However, we advise all investors to independently investigate Alcoa Corporation to ensure market all accessible information is consistent with the expectations about its upside potential and future risk-adjusted return.
        
     Better Than Average     
        
     Worse Than Average Compare Alcoa to competition
    FundamentalsAlcoaPeer Average
    Return On Equity3.26 % (15.17) %
    Return On Asset3.27 % (15.64) %
    Profit Margin1.59 % (5.50) %
    Operating Margin8.40 % (10.91) %
    Current Valuation20.47 B152.14 B
    Shares Outstanding184.34 M1.43 B
    Shares Owned by Insiders0.13 % 6.91 %
    Shares Owned by Institutions62.50 % 18.37 %
    Number of Shares Shorted5.16 M3.24 M
    Price to Earning1.21 times40.69 times
    Price to Book1.01 times14.44 times
    Price to Sales0.68 times17.81 times
    Revenue10.38 B9.85 B
    Gross Profit2.16 B21.75 B
    EBITDA1.6 B1.41 B
    Net Income165 M517.71 M
    Cash and Equivalents954 M3.89 B
    Cash per Share5.18 times5.17 times
    Total Debt1.44 B7.36 B
    Debt to Equity17.50 times0.72 times
    Current Ratio1.37 times3.30 times
    Book Value Per Share31.89 times13.64 times
    Cash Flow from Operations515 M1.25 B
    Short Ratio1.43 times2.09 times
    Earnings Per Share0.19 times2.30 times
    Price to Earnings To Growth(0.25) times1.22 times
    Number of Employees16 K10.67 K
    Beta0.690.34
    Market Capitalization7.09 B29.78 B
    Total Asset16.41 B126.86 B
    Retained Earnings8.83 B38.24 B
    Working Capital162 M3.58 B
    Current Asset2.57 B36.8 B
    SellBuy
    Strong Buy

    Hype Condition

    Current Valuation

    Odds of Distress

    Economic Sensitivity

    Analyst Consensus

    Piotroski F Score

    Financial Leverage

       Alcoa exotic insider transaction detected [view details]
    Risk Adjusted Performance0.1034
    Market Risk Adjusted Performance0.7313
    Mean Deviation1.87
    Semi Deviation1.62
    Downside Deviation1.95
    Coefficient Of Variation491.71
    Standard Deviation2.27
    Variance5.16
    Information Ratio0.1672
    Jensen Alpha0.4068
    Total Risk Alpha0.1031
    Sortino Ratio0.1946
    Treynor Ratio0.7213
    Maximum Drawdown8.26
    Value At Risk(2.43)
    Potential Upside4.19
    Downside Variance3.81
    Semi Variance2.61
    Expected Short fall(2.52)
    Skewness0.1666
    Kurtosis(0.78)

    Current Valuation

    Alcoa Current Valuation Analysis
    Alcoa Corporation is rated fourth in current valuation category among related companies. After adjusting for long-term liabilities, total market size of Non-ferrous Metals Production And Products industry is presently estimated at about 98.2 Billion. Alcoa totals roughly 20.47 Billion in current valuation claiming about 21% of all equities under Non-ferrous Metals Production And Products industry.