Why Is ALCOA CORP (AA) Stock Moving Today?

Why AA stock is moving today

Alcoa Corp (AA) shares are moving lower despite a strong earnings report and record revenue. The stock has declined 2.6% over the past eight sessions, from $48.48 to $47.22. The drop is attributed to the company cutting its full-year alumina production guidance and a non-GAAP EPS miss, despite robust EBITDA growth and a new gallium production initiative.

What Happened

Alcoa reported second-quarter results with non-GAAP earnings per share of $2.12, which missed estimates by $0.07. Revenue came in at $3.97 billion, below expectations by $190 million. However, the company posted a 51% sequential increase in adjusted EBITDA to $901 million and reported record revenue of $4.0 billion. Alcoa also announced it is building a new gallium production facility in Australia with backing from the U.S. and Japan. Despite these positives, the company cut its 2026 alumina production and shipment projections by 200,000 to 300,000 metric tons due to disruptions at its Pinjarra facility.

What The Data Shows

The stock has traded lower for eight consecutive sessions, reflecting investor concern over production challenges and revised guidance. Unusual options activity shows a notable $1.8 million call premium, with no put activity. Volume remains elevated, though no specific figures are provided. Congressional transactions show one recent buy by Rep. Julia Letlow in October 2024. Social chatter is minimal, with only two posts in 24 hours and two in the past week.

What To Watch

Alcoa’s earnings report and production guidance will remain in focus. Investors should monitor the company’s progress with the new gallium project and any further updates on alumina production recovery at Pinjarra.