Alcoa Beats on Revenue, Matches Expectations on EPS
Alcoa (NYS: AA) reported earnings on July 9. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Alcoa beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share dropped to zero.
Margins contracted across the board.
Alcoa reported revenue of $5.96 billion. The 12 analysts polled by S&P Capital IQ foresaw a top line of $5.82 billion on the same basis. GAAP reported sales were 9.4% lower than the prior-year quarter's $6.59 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.06. The 20 earnings estimates compiled by S&P Capital IQ averaged $0.06 per share. GAAP EPS contracted to zero from the prior-year quarter's $0.28.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 13.6%, 670 basis points worse than the prior-year quarter. Operating margin was 2.6%, 750 basis points worse than the prior-year quarter. Net margin was 0.0%, 490 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $5.84 billion. On the bottom line, the average EPS estimate is $0.08.
Next year's average estimate for revenue is $23.58 billion. The average EPS estimate is $0.31.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 3,436 members rating the stock outperform and 231 members rating it underperform. Among 727 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 686 give Alcoa a green thumbs-up, and 41 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Alcoa is hold, with an average price target of $11.61.
Is Alcoa the right metals stock for you? Find out the best way to profit from inflation and gold with a little-known company we profile in, "The Tiny Gold Stock Digging Up Massive Profits." Click here for instant access to this free report.
- Add Alcoa to My Watchlist.
At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not 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.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.