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Alcoa Director Buys 2,470 Shares (AA)

Alcoa Inc. (NYSE: AA) director Ratan Tata, on Thursday, bought 2,470 shares of AA common stock for $8.05 per share, according to a SEC filing. Tata made an investment of $19,879. This is the fourth time in the last one year that Tata has bought AA shares.

The latest purchase from Tata came a few days after Alcoa reported its financial results for the second quarter of 2013. Alcoa, which is engaged in the production and management of primary aluminum, fabricated aluminum, and alumina combined, reported a net loss of $119 million, or $0.11 per share for the second quarter of 2013. Excluding one-time items, the aluminum giant reported earnings of $76 million, or $0.07 per share. For the same period in the previous year, Alcoa had reported adjusted earnings of $61 million, or $0.06 per share.

Alcoa’s revenue for the second quarter came in at $5.8 billion, with value-add businesses accounting for 57% of total revenue.

Klaus Kleinfeld, Chairman and CEO of Alcoa, said that the company’s businesses showed remarkable operating performance in the quarter with solid free cash flow. Kleinfeld said that in the value-add businesses, the company reached another milestone with record profitability in the downstream business. He added that the company improved its competitive position by actively restructuring, curtailing, and closing facilities.

Alcoa said that it continues to expect 7% growth in global aluminum demand in 2013.

Alcoa shares are marginally higher in trading today. At last check, the stock was trading 0.12% higher at $8.11 on volume of 4.86 million. The stock has gained nearly 4% this week. In the last one month, though, Alcoa shares have fallen 0.73%. Year-to-date, Alcoa shares have fallen 4.47%, underperforming the S&P 500, which has gained more than 19% in the same period.


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All stories in DailyStocks.com are for informational purposes only. This is NOT a stock recommendation. This DailyStocks.com story is a daily light analysis featuring a stock with insider buying. With some caveats, insiders purchase a stock because they think the stock is going up. There are other factors to consider such as size of the transaction relative to their compensation and net worth. Sometimes, insiders might be propping a stock price up for future financing. Sometimes, the amount of insider buying are misread or misreported. Each month, DailyStocks releases a a summary of the stocks with insider buying. Sign up for the free monthly newsletter at DailyStocks.com . About Dailystocks.com: DailyStocks.com is the place where you can find stories about stocks with insider buying, where you can educate yourself about stock market investing, and where you can perform the stock search engine analysis – you enter a stock symbol, and you get a resulting page of stock ticker indexed links so that you do not have to type the stock symbol each time.