This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Alcoa, Joe's Jeans: After-Hours Trading

NEW YORK (TheStreet) -- Alcoa (AA) shares saw heavy trading action in Tuesday's extended session after the Dow component's third-quarter earnings came in well below Wall Street's expectations.

The stock last changed hands at $9.86, down 4.3%, on volume of more than 5.1 million, according to Nasdaq.com. Year-to-date, the shares were already down more than 40%, dragged lower by weakening aluminum prices.

After the closing bell, Alcoa reported earnings from continuing operations of $172 million, or 15 cents a share, for the three months ended Sept. 30 on revenue of $6.42 billion. The average estimate of analysts polled by Thomson Reuters was for earnings of 22 cents a share in the September quarter on revenue of $6.24 billion.



Expectations were pretty low for Alcoa headed into the report but this miss is still much deeper than bears anticipated as Europe, caught up in worries about sovereign debt contagion, was a big drag on results. Alcoa CEO and Chairman Klaus Kleinfeld kept an overall demand outlook for the year intact, however, and didn't back an ambitious long-term view either.

"We continue to forecast a growth rate of 12 percent for 2011, with a slower pace in the second half of the year, and reaffirm our long-term forecast for a doubling of aluminum demand by 2020," Kleinfeld said. "Alcoa is a confident company in a nervous world. We are well prepared for whatever lies ahead, with more cash on hand, lower debt and continued focus on profitable growth."

Prior to the pullback in late trades, Alcoa's forward price-to-earnings multiple sat at 8.6X, below that of the S&P 500 at around 10.8X.

Joe's Jeans

Going from a Dow component to a micro-cap, another stock active late Tuesday was Joe's Jeans (JOEZ), which saw its shares tumble more than 20% in extended trades after the Los Angeles clothing company posted a 5% year-over-year decline in sales in its fiscal third quarter.

The stock dropped to 55 cents, losing 14 cents, on volume of roughly 45,000, according to Nasdaq.com.

The company said it swung to a third-quarter loss of $2 million, or 3 cents a share, from a profit of $558,000, or a penny per share, in the same period a year earlier. Gross margins fell to 40% from 46% year-over-year, in part because of a $1.6 million writedown the value of certain jean leggings, non-denim pants and aged collection inventory.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,051.73 -48.45 -0.28%
S&P 500 1,973.63 -4.59 -0.23%
NASDAQ 4,424.7040 -7.4420 -0.17%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs