Why Alcoa Is Ready to Rebound
With that in mind, let's take a closer look at Alcoa and see what CAPS investors are saying about the stock right now.
New York (1888)
Chairman/CEO Dr. Klaus-Christian Kleinfeld
Return on Equity (Average, Past 3 Years)
Cash / Debt
$1.9 billion / $8.8 billion
Aluminum Corp. of China
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 93% of the 3,679 members who have rated Alcoa believe the stock will outperform the S&P 500 going forward.
Aluminum manufacturers as a whole are looking for about a 9% bump in demand, which should impact profits favorably. U.S. commercial aerospace has huge backlog of aluminum planes to pump out and is ramping up production considerably. No hiccup in the recovery will stop this bump in AL demand. This stock price has sunk to the point that under anything better than incompetent management, it can only go up if the economy stays on track for 2013.
Of course, that short pitch doesn't even come close to telling the entire story for Alcoa. You're in luck, though. The Fool's brand-new premium report on Alcoa looks at all sides of one of the most compelling material plays in the market. You can grab your copy here, which comes with free updates for 12 months.
Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.
The article Why Alcoa Is Ready to Rebound originally appeared on Fool.com.Fool contributor Brian Pacampara and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.