- The shares of Alcoa Corp (NYSE: AA) received a price target increase from $48 to $51 from Goldman Sachs. These are the details.
The shares of Alcoa Corp (NYSE: AA) received a price target increase from $48 to $51 from Goldman Sachs. And Goldman Sachs analyst Emily Chieng added Alcoa to its “Americas Conviction List” and reiterated a “Buy” rating on the shares.
Chieng noted that Alcoa has significant leverage to a positive commodity price outlook where every 10% increase in aluminum prices corresponds to a 20% increase in EBITDA.
And Chieng said that the company has been successful at its deleveraging strategy — which is expected to free up balance sheet capacity for capital returns. As a result, the stock underperformance from the May 2021 highs will create an even more attractive entry point for investors who are seeking aluminum exposure.
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