Latest Ratios: P/E Ratio 11.2x · EV/EBITDA 10.3x · ROE 20.4%. (2014–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $13.2B | $14.0B | $8.1B | $6.1B | $8.2B | $11.3B | $4.3B | $4.0B | $5.0B | $10.1B | $5.1B |
| Enterprise Value | $14.2B | $15.0B | $9.8B | $7.1B | $8.7B | $11.4B | $5.3B | $5.0B | $5.7B | $10.1B | $5.7B |
| P/E Ratio → | 11.23 | 11.97 | 134.93 | — | — | 26.36 | — | — | 22.15 | 46.44 | — |
| P/S Ratio | 1.03 | 1.09 | 0.66 | 0.57 | 0.64 | 0.91 | 0.46 | 0.38 | 0.37 | 0.86 | 0.55 |
| P/B Ratio | 2.12 | 2.26 | 1.57 | 1.04 | 1.25 | 1.80 | 0.85 | 0.68 | 0.66 | 1.48 | 0.67 |
| P/FCF | 23.21 | 24.68 | 192.54 | — | 24.06 | 21.36 | 104.57 | 12.96 | 102.27 | 12.30 | — |
| P/OCF | 11.11 | 11.81 | 13.00 | 66.51 | 10.01 | 12.30 | 10.88 | 5.80 | 11.19 | 8.23 | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.17 | 0.80 | 0.66 | 0.68 | 0.91 | 0.57 | 0.48 | 0.42 | 0.86 | 0.61 |
| EV / EBITDA | 10.29 | 10.90 | 5.40 | 11.64 | 3.77 | 3.76 | 4.48 | 3.11 | 1.81 | 4.11 | 5.18 |
| EV / EBIT | 18.75 | 12.31 | 21.95 | — | 10.81 | 8.16 | 16.63 | — | 3.26 | 8.01 | 70.59 |
| EV / FCF | — | 26.54 | 232.54 | — | 25.54 | 21.46 | 129.37 | 16.29 | 116.33 | 12.35 | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 16.9% | 16.9% | 12.3% | 2.3% | 15.1% | 21.1% | 8.2% | 11.5% | 19.9% | 17.1% | 7.6% |
| Operating Margin | 5.9% | 5.9% | 9.6% | -0.2% | 13.3% | 19.0% | 5.7% | 8.5% | 17.9% | 14.5% | 4.1% |
| Net Profit Margin | 9.0% | 9.0% | 0.5% | -6.1% | -1.0% | 3.4% | -1.8% | -10.7% | 1.8% | 1.8% | -4.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 20.4% | 20.4% | 1.1% | -10.5% | -1.9% | 7.6% | -3.1% | -16.7% | 3.5% | 3.0% | -4.2% |
| ROA | 7.7% | 7.7% | 0.4% | -4.5% | -0.8% | 2.9% | -1.2% | -7.3% | 1.5% | 1.3% | -2.4% |
| ROIC | 8.1% | 8.1% | 12.8% | -0.3% | 19.0% | 28.7% | 6.2% | 8.8% | 24.0% | 16.9% | 3.0% |
| ROCE | 6.6% | 6.6% | 10.7% | -0.2% | 14.4% | 19.8% | 4.4% | 7.1% | 17.6% | 12.2% | 2.8% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.44 | 0.44 | 0.55 | 0.34 | 0.28 | 0.30 | 0.52 | 0.32 | 0.24 | 0.21 | 0.19 |
| Debt / EBITDA | 1.99 | 1.99 | 1.56 | 3.24 | 0.81 | 0.62 | 2.21 | 1.18 | 0.57 | 0.57 | 1.31 |
| Net Debt / Equity | — | 0.17 | 0.33 | 0.18 | 0.08 | 0.01 | 0.20 | 0.17 | 0.09 | 0.01 | 0.08 |
| Net Debt / EBITDA | 0.76 | 0.76 | 0.93 | 1.69 | 0.22 | 0.02 | 0.86 | 0.63 | 0.22 | 0.02 | 0.54 |
| Debt / FCF | — | 1.86 | 40.00 | — | 1.47 | 0.10 | 24.80 | 3.33 | 14.06 | 0.06 | — |
| Interest Coverage | 7.73 | 7.73 | 2.85 | -4.46 | 7.62 | 7.15 | 2.18 | -2.62 | 14.32 | 12.14 | 0.33 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.44 | 1.44 | 1.45 | 1.45 | 1.75 | 1.56 | 1.64 | 1.38 | 1.48 | 1.30 | 1.13 |
| Quick Ratio | 0.87 | 0.87 | 0.86 | 0.74 | 0.94 | 0.95 | 1.13 | 0.74 | 0.86 | 0.86 | 0.72 |
| Cash Ratio | 0.46 | 0.46 | 0.34 | 0.31 | 0.45 | 0.56 | 0.58 | 0.34 | 0.38 | 0.42 | 0.30 |
| Asset Turnover | — | 0.80 | 0.87 | 0.76 | 0.86 | 0.83 | 0.63 | 0.72 | 0.84 | 0.68 | 0.56 |
| Inventory Turnover | 4.90 | 4.90 | 5.35 | 4.85 | 4.46 | 5.02 | 6.16 | 5.65 | 5.95 | 6.72 | 7.43 |
| Days Sales Outstanding | — | 36.07 | 37.12 | 27.55 | 26.00 | 25.94 | 21.65 | 22.95 | 27.08 | 32.32 | 32.64 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.8% | 0.7% | 1.1% | 1.2% | 0.9% | 0.2% | — | — | — | — | — |
| Payout Ratio | 9.0% | 9.0% | 148.3% | — | — | 4.4% | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 8.9% | 8.4% | 0.7% | — | — | 3.8% | — | — | 4.5% | 2.2% | — |
| FCF Yield | 4.3% | 4.1% | 0.5% | — | 4.2% | 4.7% | 1.0% | 7.7% | 1.0% | 8.1% | — |
| Buyback Yield | 0.0% | 0.0% | 0.2% | 0.0% | 6.1% | 1.3% | 0.0% | 0.0% | 1.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 0.8% | 0.7% | 1.3% | 1.2% | 7.0% | 1.5% | 0.0% | 0.0% | 1.0% | 0.0% | 0.0% |
| Shares Outstanding | — | $263M | $214M | $178M | $181M | $190M | $186M | $185M | $189M | $187M | $183M |
Commodity price and input volatility
Based on reported figures, Alcoa's forward P/E of 7.10 suggests the market is pricing in significant cyclical risk, as the current TTM P/E of 12.16 appears to discount the company's historical earnings volatility and the ongoing challenges in achieving consistent margin expansion across its global smelting operations.
The disparity between the TTM and forward P/E multiples indicates that investors are anticipating a recovery in earnings, yet the P/FCF of 25.13 suggests that cash generation remains expensive relative to current market pricing. This valuation profile warrants caution, as it implies that any failure to stabilize input costs or sustain LME-linked pricing could lead to further multiple compression.
As reported in financial statements, Alcoa's ROIC has fluctuated from a low of -0.8% in 2023Q4 to a peak of 11.0% in 2024Q4, illustrating that the company struggles to consistently compound capital in an environment defined by high fixed costs and volatile commodity price benchmarks.
The erratic nature of these returns suggests that the company's asset base is highly sensitive to external price shocks rather than internal efficiency gains. Investors should monitor whether management's portfolio transformation strategy can drive a more stable ROIC profile, or if returns will remain tethered to the unpredictable cycles of the global aluminum market.
According to recent SEC filings, Alcoa's cash conversion cycle has oscillated between 38 and 58 days over the last ten quarters, reflecting significant instability in inventory management and supplier payment terms that directly impacts the company's ability to maintain consistent operational liquidity during periods of market stress.
The persistent volatility in the CCC, particularly the 80-day DIO observed in 2026Q1, suggests that inventory levels are not being optimized effectively against fluctuating demand. This inefficiency appears to be a structural drag on cash flow, requiring further investigation into whether the company's supply chain processes are sufficiently agile to handle rapid shifts in industrial production.
Based on the reported figures, Alcoa has maintained a relatively conservative debt-to-equity ratio of 0.35 as of 2026Q1, demonstrating a disciplined approach to leverage that provides a necessary buffer against the significant interest coverage volatility observed in periods like 2024Q1, when coverage turned negative.
While the current leverage position appears healthy, the extreme variance in interest coverage ratios suggests that the company's debt service capacity is highly vulnerable to operating income shocks. The reliance on disciplined capital allocation is essential, as any significant increase in debt could quickly become burdensome if commodity prices remain depressed for an extended duration.
The P/E ratio is frequently misapplied to Alcoa's business model, as it obscures the impact of non-recurring restructuring charges and impairment costs that often distort net income, making EV/EBITDA a more reliable metric for assessing the company's true operational earning power and enterprise-level valuation.
Using P/E ignores the significant capital intensity and legacy liability adjustments that are central to Alcoa's financial reality. Analysts should prioritize EV/EBITDA to better capture the company's performance before the influence of accounting-heavy items, which often lead to misleading conclusions about the company's underlying profitability and valuation relative to its peers.
Includes 30+ ratios · 12 years · Updated daily
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying AA stock.
Alcoa Corporation's current P/E ratio is 11.2x. The historical average is 48.4x.
Alcoa Corporation's current EV/EBITDA is 10.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 4.9x.
Alcoa Corporation's return on equity (ROE) is 20.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is -0.5%.
Based on historical data, Alcoa Corporation is trading at a P/E of 11.2x. Compare with industry peers and growth rates for a complete picture.
Alcoa Corporation's current dividend yield is 0.79% with a payout ratio of 9.0%.
Alcoa Corporation has 16.9% gross margin and 5.9% operating margin.
Alcoa Corporation's Debt/EBITDA ratio is 2.0x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.