Kaiser Aluminum (NASDAQ:KALU) Shares Gap Down – Should You Sell?

Kaiser Aluminum Corporation (NASDAQ:KALU) shares gapped down prior to trading on Friday . The stock had previously closed at $167.41, but opened at $160.87. Kaiser Aluminum shares last traded at $158.6460, with a volume of 9,280 shares traded.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on KALU shares. Zacks Research upgraded Kaiser Aluminum from a “hold” rating to a “strong-buy” rating in a report on Wednesday, July 29th. Wall Street Zen raised shares of Kaiser Aluminum from a “buy” rating to a “strong-buy” rating in a report on Sunday, August 2nd. Weiss Ratings lowered shares of Kaiser Aluminum from a “buy (b)” rating to a “buy (b-)” rating in a research note on Wednesday, September 2nd. UBS Group upgraded shares of Kaiser Aluminum from a “neutral” rating to a “buy” rating and raised their target price for the company from $179.00 to $184.00 in a research note on Monday, August 31st. Finally, Wells Fargo & Company boosted their target price on shares of Kaiser Aluminum from $158.00 to $169.00 and gave the stock an “underweight” rating in a research report on Friday, July 24th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $169.50.

Kaiser Aluminum Stock Down 1.2%

The firm has a 50 day moving average of $166.01 and a 200-day moving average of $159.43. The company has a debt-to-equity ratio of 1.10, a current ratio of 2.50 and a quick ratio of 1.17. The stock has a market capitalization of $2.56 billion, a P/E ratio of 11.65 and a beta of 1.61.

Kaiser Aluminum (NASDAQ:KALU) last announced its quarterly earnings data on Wednesday, July 22nd. The industrial products company reported $5.53 EPS for the quarter, topping analysts’ consensus estimates of $2.66 by $2.87. Kaiser Aluminum had a return on equity of 24.71% and a net margin of 5.49%.The company had revenue of $1.26 billion during the quarter, compared to the consensus estimate of $1.12 billion. During the same quarter last year, the company earned $1.21 EPS. The company’s quarterly revenue was up 52.7% on a year-over-year basis. On average, equities research analysts expect that Kaiser Aluminum Corporation will post 10.63 earnings per share for the current fiscal year.

Kaiser Aluminum Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, August 14th. Shareholders of record on Friday, July 24th were paid a dividend of $0.77 per share. The ex-dividend date was Friday, July 24th. This represents a $3.08 dividend on an annualized basis and a yield of 2.0%. Kaiser Aluminum’s payout ratio is currently 22.83%.

Hedge Funds Weigh In On Kaiser Aluminum

A number of hedge funds and other institutional investors have recently made changes to their positions in KALU. California State Teachers Retirement System raised its position in Kaiser Aluminum by 18,986.0% in the second quarter. California State Teachers Retirement System now owns 3,937,445 shares of the industrial products company’s stock worth $770,282,000 after purchasing an additional 3,916,815 shares in the last quarter. State Street Corp grew its stake in shares of Kaiser Aluminum by 31.9% in the 2nd quarter. State Street Corp now owns 1,154,415 shares of the industrial products company’s stock valued at $92,238,000 after purchasing an additional 279,231 shares during the period. Dimensional Fund Advisors LP raised its holdings in shares of Kaiser Aluminum by 1.7% in the 4th quarter. Dimensional Fund Advisors LP now owns 831,652 shares of the industrial products company’s stock worth $95,528,000 after buying an additional 13,909 shares in the last quarter. Wellington Management Group LLP lifted its position in shares of Kaiser Aluminum by 1.1% during the 3rd quarter. Wellington Management Group LLP now owns 502,446 shares of the industrial products company’s stock worth $38,769,000 after buying an additional 5,623 shares during the period. Finally, Bank of New York Mellon Corp boosted its stake in Kaiser Aluminum by 16.8% in the 4th quarter. Bank of New York Mellon Corp now owns 198,354 shares of the industrial products company’s stock valued at $22,783,000 after buying an additional 28,495 shares in the last quarter. 99.29% of the stock is owned by institutional investors.

About Kaiser Aluminum

Kaiser Aluminum Corporation is a U.S.-based producer of semi‐fabricated aluminum products, serving a diverse range of industrial and specialty markets. The company’s offerings include extruded, rolled, and forged aluminum products designed to meet stringent performance requirements in sectors such as aerospace, automotive, defense, electronics, and general engineering. By focusing on high‐value applications, Kaiser Aluminum aims to deliver lightweight, durable solutions that contribute to efficiency and innovation across its customer base.

Operationally, Kaiser Aluminum maintains a network of smelters, extrusion plants, and rolling mills located primarily in North America.