ALCOA CORP (1AA.MI) Stock Fundamental Analysis
BIT:1AA - Euronext Milan - US0138721065 - Common Stock - Currency: EUR
Taking everything into account, 1AA scores 5 out of 10 in our fundamental rating. 1AA was compared to 39 industry peers in the Metals & Mining industry. While 1AA is still in line with the averages on profitability rating, there are concerns on its financial health. 1AA is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year 1AA was profitable.
1AA had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: 1AA reported negative net income in multiple years.
In the past 5 years 1AA always reported a positive cash flow from operatings.
1.2 Ratios
1AA's Return On Assets of 5.90% is fine compared to the rest of the industry. 1AA outperforms 75.00% of its industry peers.
With an excellent Return On Equity value of 14.79%, 1AA belongs to the best of the industry, outperforming 85.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.45%, 1AA belongs to the top of the industry, outperforming 85.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.9% | ||
| ROE | 14.79% | ||
| ROIC | 10.45% |
ROA(3y)-1.67%
ROA(5y)-0.66%
ROE(3y)-5.52%
ROE(5y)-2.51%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
1AA's Profit Margin of 6.79% is fine compared to the rest of the industry. 1AA outperforms 70.00% of its industry peers.
In the last couple of years the Profit Margin of 1AA has declined.
The Operating Margin of 1AA (12.74%) is better than 67.50% of its industry peers.
In the last couple of years the Operating Margin of 1AA has declined.
1AA has a Gross Margin (20.43%) which is comparable to the rest of the industry.
1AA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.74% | ||
| PM (TTM) | 6.79% | ||
| GM | 20.43% |
OM growth 3Y-24.44%
OM growth 5Y-2.57%
PM growth 3Y-47.72%
PM growth 5YN/A
GM growth 3Y-14.25%
GM growth 5Y-3.06%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), 1AA is creating some value.
Compared to 1 year ago, 1AA has more shares outstanding
1AA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for 1AA is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.87 indicates that 1AA is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of 1AA (1.87) is comparable to the rest of the industry.
The Debt to FCF ratio of 1AA is 7.74, which is on the high side as it means it would take 1AA, 7.74 years of fcf income to pay off all of its debts.
1AA has a Debt to FCF ratio (7.74) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.45 indicates that 1AA is not too dependend on debt financing.
1AA's Debt to Equity ratio of 0.45 is on the low side compared to the rest of the industry. 1AA is outperformed by 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 7.74 | ||
| Altman-Z | 1.87 |
ROIC/WACC1.09
WACC9.59%
2.3 Liquidity
A Current Ratio of 1.71 indicates that 1AA should not have too much problems paying its short term obligations.
The Current ratio of 1AA (1.71) is comparable to the rest of the industry.
1AA has a Quick Ratio of 1.71. This is a bad value and indicates that 1AA is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 1.00, 1AA perfoms like the industry average, outperforming 47.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 276.60% over the past year.
The earnings per share for 1AA have been decreasing by -48.01% on average. This is quite bad
Looking at the last year, 1AA shows a quite strong growth in Revenue. The Revenue has grown by 12.74% in the last year.
Measured over the past years, 1AA shows a small growth in Revenue. The Revenue has been growing by 2.66% on average per year.
EPS 1Y (TTM)276.6%
EPS 3Y-48.01%
EPS 5YN/A
EPS Q2Q%143.75%
Revenue 1Y (TTM)12.74%
Revenue growth 3Y-0.71%
Revenue growth 5Y2.66%
Sales Q2Q%3.85%
3.2 Future
1AA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.06% yearly.
Based on estimates for the next years, 1AA will show a decrease in Revenue. The Revenue will decrease by -0.91% on average per year.
EPS Next Y269.47%
EPS Next 2Y74.99%
EPS Next 3Y55.41%
EPS Next 5Y19.06%
Revenue Next Year6.54%
Revenue Next 2Y2.63%
Revenue Next 3Y3.31%
Revenue Next 5Y-0.91%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 7.30, which indicates a rather cheap valuation of 1AA.
1AA's Price/Earnings ratio is rather cheap when compared to the industry. 1AA is cheaper than 87.50% of the companies in the same industry.
1AA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.93.
A Price/Forward Earnings ratio of 10.29 indicates a reasonable valuation of 1AA.
Based on the Price/Forward Earnings ratio, 1AA is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
1AA is valuated cheaply when we compare the Price/Forward Earnings ratio to 37.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.3 | ||
| Fwd PE | 10.29 |
4.2 Price Multiples
1AA's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. 1AA is cheaper than 82.50% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as 1AA.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.51 | ||
| EV/EBITDA | 4.14 |
4.3 Compensation for Growth
1AA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1AA's earnings are expected to grow with 55.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y74.99%
EPS Next 3Y55.41%
5. Dividend
5.1 Amount
1AA has a Yearly Dividend Yield of 1.36%.
Compared to an average industry Dividend Yield of 3.11, 1AA has a dividend in line with its industry peers.
With a Dividend Yield of 1.36, 1AA pays less dividend than the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
11.28% of the earnings are spent on dividend by 1AA. This is a low number and sustainable payout ratio.
DP11.28%
EPS Next 2Y74.99%
EPS Next 3Y55.41%
BIT:1AA (7/9/2025, 7:00:00 PM)
25.975
+3.01 (+13.11%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners77.65%
Inst Owner ChangeN/A
Ins Owners0.37%
Ins Owner ChangeN/A
Market Cap6.72B
Analysts79
Price Target33 (27.05%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
Yearly Dividend0.35
Dividend Growth(5Y)N/A
DP11.28%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.56%
Min EPS beat(2)3.63%
Max EPS beat(2)31.49%
EPS beat(4)4
Avg EPS beat(4)50.69%
Min EPS beat(4)3.63%
Max EPS beat(4)96.74%
EPS beat(8)6
Avg EPS beat(8)28.27%
EPS beat(12)8
Avg EPS beat(12)-9.6%
EPS beat(16)12
Avg EPS beat(16)-4.38%
Revenue beat(2)1
Avg Revenue beat(2)-3.01%
Min Revenue beat(2)-7.39%
Max Revenue beat(2)1.37%
Revenue beat(4)1
Avg Revenue beat(4)-2.95%
Min Revenue beat(4)-7.39%
Max Revenue beat(4)1.37%
Revenue beat(8)1
Avg Revenue beat(8)-2.75%
Revenue beat(12)2
Avg Revenue beat(12)-2.78%
Revenue beat(16)4
Avg Revenue beat(16)-2.29%
PT rev (1m)6.67%
PT rev (3m)-31.13%
EPS NQ rev (1m)-42.76%
EPS NQ rev (3m)-58.31%
EPS NY rev (1m)-1.4%
EPS NY rev (3m)-14.65%
Revenue NQ rev (1m)-1.51%
Revenue NQ rev (3m)-17.07%
Revenue NY rev (1m)1.06%
Revenue NY rev (3m)-6.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.3 | ||
| Fwd PE | 10.29 | ||
| P/S | 0.62 | ||
| P/FCF | 22.51 | ||
| P/OCF | 8.52 | ||
| P/B | 1.35 | ||
| P/tB | 1.39 | ||
| EV/EBITDA | 4.14 |
EPS(TTM)3.56
EY13.71%
EPS(NY)2.52
Fwd EY9.71%
FCF(TTM)1.15
FCFY4.44%
OCF(TTM)3.05
OCFY11.74%
SpS41.99
BVpS19.28
TBVpS18.69
PEG (NY)0.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.9% | ||
| ROE | 14.79% | ||
| ROCE | 13.99% | ||
| ROIC | 10.45% | ||
| ROICexc | 11.66% | ||
| ROICexgc | 11.87% | ||
| OM | 12.74% | ||
| PM (TTM) | 6.79% | ||
| GM | 20.43% | ||
| FCFM | 2.75% |
ROA(3y)-1.67%
ROA(5y)-0.66%
ROE(3y)-5.52%
ROE(5y)-2.51%
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
ROICexcg growth 3Y-23.91%
ROICexcg growth 5Y3.19%
ROICexc growth 3Y-23.93%
ROICexc growth 5Y3.18%
OM growth 3Y-24.44%
OM growth 5Y-2.57%
PM growth 3Y-47.72%
PM growth 5YN/A
GM growth 3Y-14.25%
GM growth 5Y-3.06%
F-Score7
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | 7.74 | ||
| Debt/EBITDA | 1.17 | ||
| Cap/Depr | 90.94% | ||
| Cap/Sales | 4.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 41.02% | ||
| Profit Quality | 40.47% | ||
| Current Ratio | 1.71 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 1.87 |
F-Score7
WACC9.59%
ROIC/WACC1.09
Cap/Depr(3y)84.05%
Cap/Depr(5y)72.99%
Cap/Sales(3y)4.59%
Cap/Sales(5y)4.15%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)276.6%
EPS 3Y-48.01%
EPS 5YN/A
EPS Q2Q%143.75%
EPS Next Y269.47%
EPS Next 2Y74.99%
EPS Next 3Y55.41%
EPS Next 5Y19.06%
Revenue 1Y (TTM)12.74%
Revenue growth 3Y-0.71%
Revenue growth 5Y2.66%
Sales Q2Q%3.85%
Revenue Next Year6.54%
Revenue Next 2Y2.63%
Revenue Next 3Y3.31%
Revenue Next 5Y-0.91%
EBIT growth 1Y758.78%
EBIT growth 3Y-24.98%
EBIT growth 5Y0.02%
EBIT Next Year109.42%
EBIT Next 3Y34.7%
EBIT Next 5Y9.85%
FCF growth 1Y155.88%
FCF growth 3Y-57.05%
FCF growth 5Y-32.82%
OCF growth 1Y47.2%
OCF growth 3Y-12.23%
OCF growth 5Y-1.94%