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AA vs NEM

AA
Alcoa Corporation
BULLISH
Price
$62.21
Market Cap
$16.11B
Sector
Basic Materials
AI Confidence
85%
NEM
Newmont Corporation
NEUTRAL
Price
$114.38
Market Cap
$124.43B
Sector
Basic Materials
AI Confidence
45%

Valuation

P/E Ratio
AA
13.86
NEM
17.9
Forward P/E
AA
11.76
NEM
10.42
P/B Ratio
AA
2.54
NEM
3.68
P/S Ratio
AA
1.25
NEM
5.49
EV/EBITDA
AA
8.58
NEM
8.33

Profitability

Gross Margin
AA
18.89%
NEM
63.24%
Operating Margin
AA
2.77%
NEM
58.11%
Profit Margin
AA
8.91%
NEM
31.25%
ROE
AA
19.16%
NEM
22.34%
ROA
AA
5.83%
NEM
12.13%

Growth

Revenue Growth
AA
3.1%
NEM
20.6%
Earnings Growth
AA
131.6%
NEM
-4.6%

Financial Health

Debt/Equity
AA
0.4
NEM
0.17
Current Ratio
AA
1.56
NEM
2.29
Quick Ratio
AA
0.79
NEM
1.75

Dividends

Dividend Yield
AA
0.63%
NEM
0.96%
Payout Ratio
AA
8.79%
NEM
15.65%

AI Verdict

AA BULLISH

Alcoa Corporation exhibits strong financial health with a Piotroski F-Score of 8/9, indicating robust operational and balance sheet strength. Despite the absence of an Altman Z-Score, the company shows solid profitability metrics, including a 19.16% ROE and improving earnings growth, while trading below its growth-based intrinsic value of $132.46. The stock is currently priced at $62.21, above the conservative Graham Number of $49.75, suggesting valuation is supported by strong fundamentals and cyclical tailwinds in aluminum. Analysts concur with a 'buy' recommendation, and recent price momentum is strongly positive, although technical trend sentiment remains weak.

Strengths
Exceptionally high Piotroski F-Score of 8/9, signaling strong financial health and operational efficiency
Impressive year-over-year earnings growth of 131.6% and Q/Q EPS surge of +6400%, reflecting strong recovery and leverage to aluminum pricing
Attractive return metrics: 19.16% ROE and 5.83% ROA, well above sector averages
Risks
Absence of Altman Z-Score limits ability to assess bankruptcy risk with full confidence
Weak technical trend score of 10/100 suggests near-term bearish momentum despite strong fundamentals
Operating margin of 2.77% remains thin, exposing profitability to commodity price volatility
NEM NEUTRAL

NEM shows bullish fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Key strengths include strong valuation and growth metrics. Price trades at a 155.7% premium to fair value estimate ($44.73), limiting near-term upside from a valuation perspective.

Strengths
Strong profitability (31.3% margin)
Strong revenue growth of 20.6%
Low debt with D/E ratio of 0.17
Risks
Premium vs Graham Number ($66.88)
Price trades at a 155.7% premium to fair value estimate ($44.73), limiting near-term upside from a valuation perspective.

Compare Another Pair

AA vs NEM: Head-to-Head Comparison

This page compares Alcoa Corporation (AA) and Newmont Corporation (NEM) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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