Alcoa Shares Search For Direction, Past 10 Sessions Split

Wells Fargo raised Alcoa's (AA) price target to $68, citing eased Middle East energy concerns and strong Q2 earnings of $407M. AA's shares are down 40% from YTD high but up 57% over the past year. The firm sees 36% upside potential, attributing value to asset monetization and production expansion.

Alcoa and Sojitz began construction on a gallium recovery project at Alcoa’s Wagerup Alumina Refinery in Western Australia. The facility, expected to produce up to 10% of global gallium supply, aims to strengthen Australia’s role in critical minerals supply chains. The project is supported by the Australian and Western Australian governments, with Minister Madeleine King and Minister Tim Ayres highlighting its importance for advanced manufacturing and supply security.

Alcoa confirmed a binding 10-year gas sales agreement with Australian developer Equus Energy. Equus will supply 50 TJ/d of gas, about 182 PJ over the term, for Alcoa’s expanding Western Australia alumina refineries. Alcoa will advance $30mn to fund Equus’ FEED study through to final investment decision, which has no set timeline, Equus said.

Alcoa plans to buy South32’s Western Australian alumina and bauxite assets, including the Worsley refinery and Boddington mine, in a deal valued up to US$5.6 billion (AU$8.1 billion). IEEFA says it would lift Alcoa’s bauxite and alumina market shares to 50% and 60%, while nearly doubling annual Safeguard emissions to about 3.3 million tCO2e.

Alcoa Corp shares (ASX: AAI) fell 1.8% to A$63.98, down about 20% year to date, after aluminium futures dropped sharply and US-Iran conflict risk raised concerns for industrial metals. Alcoa cut 2026 alumina production guidance due to Pinjarra refinery bottlenecks and cyclone-linked gas supply issues. Technical indicators show oversold conditions.

Alcoa (AA) shares fell after Q2 2026 results. Adjusted EPS was $2.12 vs $2.25 expected, and full-year guidance was trimmed due to weather disruptions at an Australian facility. Revenue rose to $3.97B. The decline also reflected investor concern about Alcoa’s $4.7B acquisition of South32’s bauxite, alumina, and aluminum assets.