Alcoa (AA) Stock Climbs Ahead of Q2 Results

Alcoa (AA) stock is advancing on Monday afternoon ahead of the company’s 2016 second quarter earnings due out after today’s closing bell.
By Kaya Yurieff ,

NEW YORK (TheStreet) -- Shares of Alcoa (AA) - Get Report are gaining 3.11% to $10.12 in mid-afternoon trading Monday ahead of the company's 2016 second quarter results due out after today's market close.

Wall Street is expecting the New York-based company to report earnings of 9 cents per share on revenue of $5.2 billion.

Last year, Alcoa posted earnings of 10 cents per share on revenue of $5.9 billion.

TheStreet's Jim Cramer, Portfolio Manager of the Action Alerts Plus charitable trust, said in a video today he is waiting for Alcoa's upcoming split.

The company that will be spun off will be named Alcoa Corp. and the value-added business will be called Arconic.

Cramer added it's unclear whether Alcoa will trade on the price of aluminum or on details of the earnings report.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.

The primary factors that have impacted the rating are mixed. The company's strongest point has been its a solid financial position based on a variety of debt and liquidity measures that we have looked at.

But the team also finds weaknesses including poor profit margins, weak operating cash flow and a generally disappointing performance in the stock itself.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: AA

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