Alcoa, Inc. Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Alcoa, Inc. (NYSE:AA) will unveil its latest earnings on Monday, July 11, 2011. Alcoa Inc. is a global producer of aluminum. It is mainly engaged in the production and management of primary aluminum, fabricated aluminum, and alumina combined. It is actively involved in a range of industries, including technology, mining, smelting and recycling.

Alcoa, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 35 cents per share, a rise of more than twofold from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged and it has not changed during the last month. For the year, analysts are projecting net income of $1.32 per share, a rise of more than twofold from last year.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by one cent, reporting profit of 28 cents per share against a mean estimate of net income of 27 cents per share.

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Wall St. Revenue Expectations: On average, analysts predict $6.32 billion in revenue this quarter, a rise of 21.8% from the year ago quarter. Analysts are forecasting total revenue of $24.68 billion for the year, a rise of 17.5% from last year’s revenue of $21.01 billion.

Analyst Ratings: Analysts are bullish on Alcoa as eight analysts rate it as a buy, three rate it as a sell and five rate it as a hold.

Key Stats:

Revenue has risen the past four quarters. Revenue increased 21.9% to $5.96 billion in first quarter. The figure rose 4% in the fourth quarter of the last fiscal year from the year earlier, climbed 14.6% in the third quarter of the last fiscal year from the year-ago quarter and 22.2% in the second quarter of the last fiscal year.

Competitors to Watch: Century Aluminum Company (NASDAQ:CENX), Alumina Limited (NYSE:AWC), Kaiser Aluminum Corp. (NASDAQ:KALU), Noranda Aluminum Holding Corporation (NYSE:NOR), and Aluminum Corp. of China (NYSE:ACH).

Stock Price Performance: During April 6, 2011 to July 1, 2011, the stock price has fallen $1.79 (-9.9%) from $18.10 on April 6, 2011 to $16.31 on July 1, 2011. The stock price saw one of its best stretches over the last year between December 16, 2010, and December 23, 2010, when shares rose for six-straight days, rising 6.1% (+88 cents) over that span. It saw one of its worst periods between April 7, 2011, and April 13, 2011, when shares fell for five-straight days, falling 8.7% (-$1.57) over that span. Shares are up 97 cents (+6.3%) year to date.

(Source: Xignite Financials)

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