Cramer Quick Take: Don't Give Up on Alcoa
NEW YORK (TheStreet) -- Should investors throw in the towel on Alcoa (AA) , the aluminum giant that can never seem to catch a break?Jim Cramer told Debra Borchardt at TheStreet.com that he's not ready to give up on Alcoa, but he's also not a buyer ahead of the company's earnings.
Cramer said Alcoa is really the tale of two companies. The first one provides aluminum for everything from iPads to construction products, airplane screws to auto and truck engines, all red-hot markets that will be growing like gangbusters in the second half of 2013.But then there's the second Alcoa, the one held hostage by falling aluminum commodity prices. It's the second Alcoa, noted Cramer, that has kept the stock down throughout 2012.
Cramer said Alcoa shares will likely fall when the company reports and analysts once again lower their estimates. After that happens, Cramer said he'd be a buyer, as so many stocks have been able to bounce back from similar conditions.
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-- Written by Scott Rutt in Washington.
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