Will These Numbers from Alcoa Be Good Enough for You?

Alcoa (NYS: AA) is expected to report Q1 earnings on April 8. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Alcoa's revenues will decrease -2.0% and EPS will wane 0.0%.

The average estimate for revenue is $5.89 billion. On the bottom line, the average EPS estimate is $0.10.


Revenue details
Last quarter, Alcoa logged revenue of $5.90 billion. GAAP reported sales were 1.5% lower than the prior-year quarter's $5.99 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, non-GAAP EPS came in at $0.06. GAAP EPS were $0.21 for Q4 compared to -$0.18 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 15.8%, 300 basis points better than the prior-year quarter. Operating margin was 4.0%, 260 basis points better than the prior-year quarter. Net margin was 4.1%, 730 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $24.48 billion. The average EPS estimate is $0.59.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 3,419 members out of 3,662 rating the stock outperform, and 243 members rating it underperform. Among 758 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 710 give Alcoa a green thumbs-up, and 48 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Alcoa is hold, with an average price target of $10.64.

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The article Will These Numbers from Alcoa Be Good Enough for You? originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. TMFDisclosureHer

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