ALCOA CORP (AA) Stock Fundamental Analysis

NYSE:AA • US0138721065

57.17 USD
-2.78 (-4.64%)
Last: Feb 17, 2026, 02:28 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Overall AA gets a fundamental rating of 5 out of 10. We evaluated AA against 157 industry peers in the Metals & Mining industry. AA has a medium profitability rating, but doesn't score so well on its financial health evaluation. AA is valued quite cheap, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year AA was profitable.
  • AA had a positive operating cash flow in the past year.
  • In multiple years AA reported negative net income over the last 5 years.
  • Each year in the past 5 years AA had a positive operating cash flow.
AA Yearly Net Income VS EBIT VS OCF VS FCFAA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1B -1B 2B

1.2 Ratios

  • The Return On Assets of AA (7.22%) is better than 79.62% of its industry peers.
  • AA has a better Return On Equity (19.08%) than 91.72% of its industry peers.
  • AA has a better Return On Invested Capital (7.91%) than 70.06% of its industry peers.
Industry RankSector Rank
ROA 7.22%
ROE 19.08%
ROIC 7.91%
ROA(3y)1.01%
ROA(5y)1.01%
ROE(3y)1.64%
ROE(5y)2.34%
ROIC(3y)N/A
ROIC(5y)N/A
AA Yearly ROA, ROE, ROICAA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 -20

1.3 Margins

  • Looking at the Profit Margin, with a value of 9.12%, AA is in the better half of the industry, outperforming 75.16% of the companies in the same industry.
  • AA has a better Operating Margin (9.71%) than 64.97% of its industry peers.
  • In the last couple of years the Operating Margin of AA has grown nicely.
  • AA has a Gross Margin (17.08%) which is in line with its industry peers.
  • In the last couple of years the Gross Margin of AA has grown nicely.
Industry RankSector Rank
OM 9.71%
PM (TTM) 9.12%
GM 17.08%
OM growth 3Y-4.45%
OM growth 5Y15.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.69%
GM growth 5Y3.79%
AA Yearly Profit, Operating, Gross MarginsAA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10 -10 20

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • AA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • Compared to 1 year ago, AA has more shares outstanding
  • Compared to 5 years ago, AA has more shares outstanding
  • Compared to 1 year ago, AA has an improved debt to assets ratio.
AA Yearly Shares OutstandingAA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M 200M 250M
AA Yearly Total Debt VS Total AssetsAA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

  • AA has an Altman-Z score of 2.07. This is not the best score and indicates that AA is in the grey zone with still only limited risk for bankruptcy at the moment.
  • The Altman-Z score of AA (2.07) is worse than 71.97% of its industry peers.
  • The Debt to FCF ratio of AA is 4.30, which is a neutral value as it means it would take AA, 4.30 years of fcf income to pay off all of its debts.
  • AA has a better Debt to FCF ratio (4.30) than 72.61% of its industry peers.
  • A Debt/Equity ratio of 0.40 indicates that AA is not too dependend on debt financing.
  • The Debt to Equity ratio of AA (0.40) is worse than 68.79% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.4
Debt/FCF 4.3
Altman-Z 2.07
ROIC/WACC0.74
WACC10.71%
AA Yearly LT Debt VS Equity VS FCFAA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B 4B 6B

2.3 Liquidity

  • A Current Ratio of 1.45 indicates that AA should not have too much problems paying its short term obligations.
  • With a Current ratio value of 1.45, AA is not doing good in the industry: 72.61% of the companies in the same industry are doing better.
  • AA has a Quick Ratio of 1.45. This is a bad value and indicates that AA is not financially healthy enough and could expect problems in meeting its short term obligations.
  • With a Quick ratio value of 0.87, AA is not doing good in the industry: 76.43% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 1.45
Quick Ratio 0.87
AA Yearly Current Assets VS Current LiabilitesAA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 293.75% over the past year.
  • Measured over the past years, AA shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.00% on average per year.
  • Looking at the last year, AA shows a small growth in Revenue. The Revenue has grown by 7.87% in the last year.
  • Measured over the past years, AA shows a small growth in Revenue. The Revenue has been growing by 6.68% on average per year.
EPS 1Y (TTM)293.75%
EPS 3Y-7%
EPS 5YN/A
EPS Q2Q%21.15%
Revenue 1Y (TTM)7.87%
Revenue growth 3Y1.01%
Revenue growth 5Y6.68%
Sales Q2Q%-1.06%

3.2 Future

  • The Earnings Per Share is expected to decrease by -4.67% on average over the next years.
  • AA is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.76% yearly.
EPS Next Y19.95%
EPS Next 2Y16.2%
EPS Next 3Y13.79%
EPS Next 5Y-4.67%
Revenue Next Year8.01%
Revenue Next 2Y4.61%
Revenue Next 3Y3.88%
Revenue Next 5Y-3.76%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
AA Yearly Revenue VS EstimatesAA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5B 10B 15B
AA Yearly EPS VS EstimatesAA Yearly EPS VS EstimatesYearly EPS VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 0 2 -2 4 6

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Find the best growth stocksShow best growing peers

8

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 15.12 indicates a correct valuation of AA.
  • Based on the Price/Earnings ratio, AA is valued cheaper than 94.27% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of AA to the average of the S&P500 Index (27.19), we can say AA is valued slightly cheaper.
  • A Price/Forward Earnings ratio of 12.61 indicates a correct valuation of AA.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of AA indicates a somewhat cheap valuation: AA is cheaper than 76.43% of the companies listed in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 28.06. AA is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 15.12
Fwd PE 12.61
AA Price Earnings VS Forward Price EarningsAA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 50 100 150 200

4.2 Price Multiples

  • AA's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AA is cheaper than 89.17% of the companies in the same industry.
  • AA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AA is cheaper than 85.99% of the companies in the same industry.
Industry RankSector Rank
P/FCF 26.11
EV/EBITDA 8.76
AA Per share dataAA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • The decent profitability rating of AA may justify a higher PE ratio.
  • AA's earnings are expected to grow with 13.79% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.76
PEG (5Y)N/A
EPS Next 2Y16.2%
EPS Next 3Y13.79%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • With a yearly dividend of 0.66%, AA is not a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 1.01, AA pays a bit more dividend than its industry peers.
  • Compared to an average S&P500 Dividend Yield of 1.82, AA's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.66%

5.2 History

  • AA has been paying a dividend for at least 10 years, so it has a reliable track record.
  • AA has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years3
AA Yearly Dividends per shareAA Yearly Dividends per shareYearly Dividends per share 2016 2021 2022 2023 2024 2025 0 0 0 0 0

5.3 Sustainability

  • AA pays out 8.97% of its income as dividend. This is a sustainable payout ratio.
DP8.97%
EPS Next 2Y16.2%
EPS Next 3Y13.79%
AA Yearly Income VS Free CF VS DividendAA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 500M -500M 1B -1B
AA Dividend Payout.AA Dividend Payout, showing the Payout Ratio.AA Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

ALCOA CORP

NYSE:AA (2/17/2026, 2:28:08 PM)

57.17

-2.78 (-4.64%)

Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)01-22
Earnings (Next)04-14
Inst Owners82.31%
Inst Owner Change-3.66%
Ins Owners0.37%
Ins Owner Change0.38%
Market Cap14.80B
Revenue(TTM)12.83B
Net Income(TTM)1.17B
Analysts75.45
Price Target63.47 (11.02%)
Short Float %2.13%
Short Ratio0.72
Dividend
Industry RankSector Rank
Dividend Yield 0.66%
Yearly Dividend0.41
Dividend Growth(5Y)N/A
DP8.97%
Div Incr Years0
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)62.11%
Min EPS beat(2)33.63%
Max EPS beat(2)90.58%
EPS beat(4)4
Avg EPS beat(4)44.4%
Min EPS beat(4)21.88%
Max EPS beat(4)90.58%
EPS beat(8)7
Avg EPS beat(8)38.74%
EPS beat(12)9
Avg EPS beat(12)21.75%
EPS beat(16)12
Avg EPS beat(16)2%
Revenue beat(2)1
Avg Revenue beat(2)-2.68%
Min Revenue beat(2)-7.1%
Max Revenue beat(2)1.74%
Revenue beat(4)2
Avg Revenue beat(4)-2.94%
Min Revenue beat(4)-7.39%
Max Revenue beat(4)1.74%
Revenue beat(8)3
Avg Revenue beat(8)-2.2%
Revenue beat(12)3
Avg Revenue beat(12)-2.63%
Revenue beat(16)4
Avg Revenue beat(16)-2.82%
PT rev (1m)39.71%
PT rev (3m)57.21%
EPS NQ rev (1m)7.36%
EPS NQ rev (3m)57.27%
EPS NY rev (1m)3.19%
EPS NY rev (3m)38.11%
Revenue NQ rev (1m)-1.05%
Revenue NQ rev (3m)-1.05%
Revenue NY rev (1m)0.88%
Revenue NY rev (3m)6.75%
Valuation
Industry RankSector Rank
PE 15.12
Fwd PE 12.61
P/S 1.15
P/FCF 26.11
P/OCF 12.49
P/B 2.41
P/tB 2.41
EV/EBITDA 8.76
EPS(TTM)3.78
EY6.61%
EPS(NY)4.53
Fwd EY7.93%
FCF(TTM)2.19
FCFY3.83%
OCF(TTM)4.58
OCFY8%
SpS49.55
BVpS23.68
TBVpS23.68
PEG (NY)0.76
PEG (5Y)N/A
Graham Number44.88
Profitability
Industry RankSector Rank
ROA 7.22%
ROE 19.08%
ROCE 10.01%
ROIC 7.91%
ROICexc 9.07%
ROICexgc 9.07%
OM 9.71%
PM (TTM) 9.12%
GM 17.08%
FCFM 4.42%
ROA(3y)1.01%
ROA(5y)1.01%
ROE(3y)1.64%
ROE(5y)2.34%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-5.41%
ROICexgc growth 5Y22.38%
ROICexc growth 3Y-4.87%
ROICexc growth 5Y22.83%
OM growth 3Y-4.45%
OM growth 5Y15.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.69%
GM growth 5Y3.79%
F-Score7
Asset Turnover0.79
Health
Industry RankSector Rank
Debt/Equity 0.4
Debt/FCF 4.3
Debt/EBITDA 1.3
Cap/Depr 99.2%
Cap/Sales 4.82%
Interest Coverage 250
Cash Conversion 63.4%
Profit Quality 48.46%
Current Ratio 1.45
Quick Ratio 0.87
Altman-Z 2.07
F-Score7
WACC10.71%
ROIC/WACC0.74
Cap/Depr(3y)91.19%
Cap/Depr(5y)82.02%
Cap/Sales(3y)4.91%
Cap/Sales(5y)4.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)293.75%
EPS 3Y-7%
EPS 5YN/A
EPS Q2Q%21.15%
EPS Next Y19.95%
EPS Next 2Y16.2%
EPS Next 3Y13.79%
EPS Next 5Y-4.67%
Revenue 1Y (TTM)7.87%
Revenue growth 3Y1.01%
Revenue growth 5Y6.68%
Sales Q2Q%-1.06%
Revenue Next Year8.01%
Revenue Next 2Y4.61%
Revenue Next 3Y3.88%
Revenue Next 5Y-3.76%
EBIT growth 1Y42.08%
EBIT growth 3Y-3.49%
EBIT growth 5Y23.65%
EBIT Next Year89.83%
EBIT Next 3Y35.1%
EBIT Next 5Y2.98%
FCF growth 1Y1250%
FCF growth 3Y18.35%
FCF growth 5Y69.11%
OCF growth 1Y90.51%
OCF growth 3Y12.97%
OCF growth 5Y24.64%

ALCOA CORP / AA FAQ

Can you provide the ChartMill fundamental rating for ALCOA CORP?

ChartMill assigns a fundamental rating of 5 / 10 to AA.


What is the valuation status of ALCOA CORP (AA) stock?

ChartMill assigns a valuation rating of 8 / 10 to ALCOA CORP (AA). This can be considered as Undervalued.


Can you provide the profitability details for ALCOA CORP?

ALCOA CORP (AA) has a profitability rating of 6 / 10.


Can you provide the financial health for AA stock?

The financial health rating of ALCOA CORP (AA) is 3 / 10.


Can you provide the dividend sustainability for AA stock?

The dividend rating of ALCOA CORP (AA) is 4 / 10 and the dividend payout ratio is 8.97%.