Why Alcoa Stock Jumped as Much as 10% Today
Shares of aluminum giant Alcoa (NYSE: AA) were higher by 10% around noon EDT on Tuesday. Although the company is set to report earnings on Wednesday, it has already announced results, so its report isn't likely to be much of a surprise. But before the market opened, the company released some interesting news that's likely to come up during the earnings call.
When Alcoa announced its results on July 8, CEO Roy Harvey said: "In the second quarter, we realized gains in productivity, cost savings and also increased our cash balance. Now, we're working to increase overall liquidity and gain even greater flexibility as we execute on our strategy, including the ongoing portfolio review and the sale of non-core assets." In other words, Alcoa is working to shore up its balance sheet as it continues to overhaul its business, not a bad call given the global impact of COVID-19.
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Source Fool.com
