Clearly, the automotive industry is key to driving Alcoa’s future performance. That being said, whether Alcoa Inc (NYSE:AA) is in the Dow doesn’t really matter. Sure, it was a nice little feather in its cap, but its long-term future isn’t tied to what index it’s in, but instead its business prospects. Right now, the potential future growth thanks to the increased usage of aluminum by the automotive industry is a real catalyst to fuel Alcoa’s growth. So, like the Pirates, it appears that the future of this iconic Pittsburgh based enterprise is much brighter than its recent past.
The article Is the Dow Making a Mistake in Giving Alcoa the Boot? originally appeared on Fool.com is written by Matt DiLallo.
Matt DiLallo has the following options: long January 2014 $10 calls on Ford and short January 2014 $10 puts on Ford. The Motley Fool recommends Ford and Tesla Motors (NASDAQ:TSLA). The Motley Fool owns shares of Ford and Tesla Motors.
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