5 Best Materials Stocks to Buy Now

3. Alcoa Corporation (NYSE:AA)

Number of Hedge Fund Holders: 50

Alcoa Corporation (NYSE:AA) produces and sells bauxite, alumina, and aluminum products in the United States, Spain, Australia, Iceland, Norway, Brazil, Canada, and internationally. The company operates through three segments: Bauxite, Alumina, and Aluminum. As of August 16, Alcoa Corporation (NYSE:AA) has gained 22.64% over the past twelve months and is offering a forward dividend yield of 0.76%, which the company backs with free cash flows of $1.15 billion.

On July 20, Alcoa Corporation (NYSE:AA) announced earnings for the fiscal second quarter of 2022. The company reported earnings per share of $2.67 and beat EPS estimates by $0.20. The company’s revenue for the quarter amounted to $3.64 billion, up 28.63% year over year, and beat expectations by $162.55 million.

On July 25, Morgan Stanley analyst Carlos De Alba revised his price target on Alcoa Corporation (NYSE:AA) to $51 from $55 and reiterated an Equal Weight rating on the shares.

On July 28, Alcoa Corporation (NYSE:AA) declared a quarterly cash dividend of $0.10 per share. The dividend is payable on August 25 to shareholders of record on August 9.

At the end of Q1 2022, 50 hedge funds were long Alcoa Corporation (NYSE:AA) and held stakes worth $2.80 billion in the company. This is compared to 41 positions in the previous quarter with stakes worth $1.48 billion. The hedge fund sentiment for the stock is positive.

In the second quarter of 2022, Soroban Capital Partners raised its stakes in Alcoa Corporation (NYSE:AA) by 9%, bringing them to $234.54 million. The investment covers 2.02% of Eric W. Mandelblatt’s 13F portfolio.