RBC Bolsters Stake in Kaiser Aluminum Amid Strong Earnings

Royal Bank of Canada (RBC) significantly increased its stake in Kaiser Aluminum during the first quarter, according to its latest Form 13F filing with the US Securities and Exchange Commission (SEC). The bank purchased an additional 11,769 shares, taking its total holding to 23,714 shares worth approximately USD 2.86 million at the end of the reporting period.

RBC's move is part of a broader trend among institutional investors, who have collectively increased their holdings in Kaiser Aluminum. Farther Finance Advisors raised its stake by 389.3 per cent in the fourth quarter, while Global Retirement Partners increased its position by 408.3 per cent. Parallel Advisors boosted its holding by 107.2 per cent in the first quarter.

Kaiser Aluminum received mixed signals from analysts following its stronger-than-expected quarterly results on July 22. The company posted earnings of USD 5.53 per share, well above the analyst estimate of USD 2.66, while revenue reached USD 1.26 billion, up 52.7 per cent from the same period a year earlier.

UBS maintained a 'neutral' rating despite raising its price target to USD 179, while JPMorgan kept an 'underweight' rating but increased its target to USD 142. MarketBeat's consensus rating remains 'Hold', with an average price target of USD 168.25.