Alcoa Is Poised to Outperform Apple in 2011

The Tech sector is still kicking ass and taking names, in terms of its relative strength outperforming the broad market. But Apple AAPL has not gained an inch against Alcoa AA since June. In fact, Apple seems to have maxed out at 25 x Alcoa a few months back. Alcoa upside surprised analysts' sandbagged earnings forecast by 80% in Sept. And not sure we can believe analysts' AA earnings forecast for 2011, but if they are in the ballpark Alcoa is set to more than double earnings in 2011, while Apple's earnings growth rate in 2011 contracts to 25% from a 51% earnings growth rate over the past 5 yrs.