Here's Why Alcoa Gained 20.6% in August
Shares of the world's largest producer of bauxite, alumina, and aluminum rose nearly 21% in August after the company reported strong second-quarter 2017 earnings at the end of July, and aluminum spot prices surged to levels last seen in early 2013. The stock move last month continues a three-month climb for Alcoa (NYSE: AA), which established new 52-week highs.
The company grew revenue, EBITDA, net income, and its cash position from the year-ago period. In fact, strong operating cash flow padded the balance sheet with $152 million in new cash since the end of the first quarter of this year. The company now has over $1 billion in cash available. With president and CEO Roy Harvey expecting an even stronger second half on the heels of healthy aluminum prices, investors found plenty of reasons to keep the stock's momentum going.
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Source: Fool.com
