Goldman Sachs Raises AA Estimates

Goldman Sachs has issued a report raising the 1Q11 EPS estimates for Alcoa AA. According to the report, “Alcoa reported 1Q11 adjusted EPS of $0.28 versus GS estimate of $0.28 and consensus estimate of $0.27. The effective tax rate of 27% versus our estimate of 30% contributed about $0.01 to the bottom line. Both the top line and COGS were below our estimates and operating income of $505 mn was just below our estimate of $512 mn.” AA has a Neutral Rating and a $17 Price Target. AA closed at $17.77 yesterday