Kaiser Aluminum (NASDAQ:KALU) Stock Gets Downgrade from Wall Street Zen

Kaiser Aluminum (NASDAQ:KALU) was downgraded by stock analysts at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a research report issued to clients and investors on Saturday, Wall Street Zen reports.

Several other analysts have also recently issued reports on KALU. Wells Fargo & Company cut their target price on Kaiser Aluminum from $160.00 to $125.00 and set an “equal weight” rating for the company in a research report on Friday. Barclays began coverage on Kaiser Aluminum in a report on Wednesday, October 14th. They issued an “overweight” rating and a $180.00 price target on the stock. UBS Group upgraded Kaiser Aluminum from a “neutral” rating to a “buy” rating and upped their price target for the stock from $179.00 to $184.00 in a research note on Monday, August 31st. Zacks Research downgraded Kaiser Aluminum from a “strong-buy” rating to a “hold” rating in a research note on Friday, September 25th. Finally, KeyCorp cut their price objective on shares of Kaiser Aluminum from $183.00 to $181.00 and set an “overweight” rating for the company in a report on Thursday, October 8th. Four equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $162.40.

Kaiser Aluminum Stock Performance

Shares of KALU stock opened at $107.28 on Friday. Kaiser Aluminum has a 52-week low of $87.89 and a 52-week high of $199.89. The company has a debt-to-equity ratio of 1.06, a quick ratio of 1.25 and a current ratio of 2.63. The firm has a market capitalization of $1.75 billion, a PE ratio of 8.28 and a beta of 1.59. The stock has a fifty day simple moving average of $153.33 and a two-hundred day simple moving average of $165.07.

Kaiser Aluminum (NASDAQ:KALU) last announced its quarterly earnings data on Wednesday, October 21st. The industrial products company reported $1.89 EPS for the quarter, missing the consensus estimate of $2.37 by ($0.48). The business had revenue of $1.21 billion during the quarter, compared to analysts’ expectations of $1.21 billion. Kaiser Aluminum had a net margin of 4.85% and a return on equity of 23.65%. Kaiser Aluminum’s revenue was up 43.9% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.86 earnings per share. On average, analysts predict that Kaiser Aluminum will post 13.40 EPS for the current fiscal year.

Institutional Investors Weigh In On Kaiser Aluminum

Institutional investors have recently modified their holdings of the stock. Allworth Financial LP boosted its holdings in shares of Kaiser Aluminum by 146.6% in the 2nd quarter. Allworth Financial LP now owns 143 shares of the industrial products company’s stock worth $28,000 after purchasing an additional 85 shares during the period. Nykredit A S purchased a new stake in Kaiser Aluminum during the 2nd quarter valued at $30,000. Signaturefd LLC raised its holdings in Kaiser Aluminum by 228.0% during the 3rd quarter. Signaturefd LLC now owns 269 shares of the industrial products company’s stock valued at $39,000 after buying an additional 187 shares during the period. KBC Group NV purchased a new stake in Kaiser Aluminum during the 1st quarter valued at $44,000. Finally, Farther Finance Advisors LLC lifted its position in Kaiser Aluminum by 32.5% in the third quarter. Farther Finance Advisors LLC now owns 400 shares of the industrial products company’s stock worth $58,000 after buying an additional 98 shares during the last quarter. 99.29% of the stock is owned by institutional investors.

Kaiser Aluminum News Roundup

Here are the key news stories impacting Kaiser Aluminum this week:

• Positive Sentiment: Management highlighted stronger aerospace demand, rising cash flow and better visibility into 2027. These trends could support future revenue growth and profitability as current operational issues are addressed. KALU Q3 Earnings Call Highlights Demand Strength and Margin Pressure
• Positive Sentiment: An analysis argues that Kaiser Aluminum shares could be approximately 43% undervalued, offering potential upside if earnings improve and the company executes on its longer-term growth plans. Kaiser Aluminum Stock Could Be 43% Undervalued As CEO Transition Looms
• Neutral Sentiment: Kaiser reported third-quarter revenue of approximately $1.21 billion, up 43.9% year over year, while adjusted earnings increased to $1.89 per share from $1.86 a year earlier. Revenue growth is encouraging, but profitability did not meet expectations. Kaiser Aluminum Q3 Adjusted Earnings and Revenue Rise
• Negative Sentiment: Third-quarter EPS of $1.89 missed the Zacks consensus estimate of $2.08, reinforcing concerns that higher metal costs and operational disruptions are squeezing margins despite solid demand. Kaiser Aluminum Misses Q3 Earnings Estimates
• Negative Sentiment: Wells Fargo lowered its price target from $160 to $125 and maintained an “equal weight” rating. The reduced target signals less near-term confidence, while the pending CEO transition adds execution uncertainty. Wells Fargo Kaiser Aluminum Analyst Action

About Kaiser Aluminum

Kaiser Aluminum Corporation is a producer of semi-fabricated aluminum products used by manufacturers in the aerospace and defense, automotive, industrial, and consumer products markets. The company supplies aluminum materials designed for applications that require strength, light weight, corrosion resistance, and other specialized performance characteristics.

Its product portfolio includes rolled aluminum sheet and plate, extruded products, forged components, and other fabricated aluminum products.