Alberta Investment Management Corp (AIMCo) has strategically expanded its portfolio, making a significant new acquisition in shares of Century Aluminum Company (NASDAQ:CENX) during the first quarter. This notable move, detailed in their latest 13F filing with the Securities and Exchange Commission (SEC), signals a clear strategic interest in the industrial products sector and the specific market position of Century Aluminum.
The Canadian investment giant’s initial foray into Century Aluminum involved the purchase of a substantial 265,000 shares, a holding valued at approximately $4,918,000 at the time of the transaction. This fresh position immediately grants Alberta Investment Management Corp about 0.28% ownership of Century Aluminum, establishing them as a noteworthy new player among the company’s institutional shareholders.
AIMCo’s acquisition follows a broader trend of significant institutional investment activity in Century Aluminum. During the fourth quarter, several prominent institutional investors and hedge funds also recalibrated their stakes. Notably, Glencore plc made a substantial entry, purchasing a new stake valued at an impressive $729,427,000, underscoring the stock’s appeal to major players.
Further demonstrating this trend, Dimensional Fund Advisors LP modestly increased its holdings in Century Aluminum by 1.0% in the fourth quarter, accumulating an additional 28,557 shares to bring its total to 2,937,970 shares, valued at $53,531,000. Similarly, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position by 5.7%, adding 111,203 shares to reach 2,067,234 shares, worth $37,665,000.
The institutional confidence in CENX extends to other key players such as Yaupon Capital Management LP, which significantly lifted its stake by 76.3%, acquiring an additional 245,813 shares for a total of 567,837 shares, valued at $10,346,000. Northern Trust Corp also saw fit to increase its holdings, raising its stake by 5.8% to 540,448 shares, valued at $9,847,000, illustrating a diverse pattern of renewed and increased interest.
Collectively, hedge funds and other institutional investors now command a significant 61.59% of Century Aluminum’s stock, highlighting the strong institutional backing for the company. The stock itself opened at $20.47, trading above its 12-month low of $11.40 and within range of its 12-month high of $25.39, reflecting a degree of market stability.
Examining Century Aluminum’s financial health reveals a 50-day moving average of $19.20 and a two-hundred day moving average of $18.37, suggesting consistent performance. With a debt-to-equity ratio of 0.66, a current ratio of 1.84, and a quick ratio of 0.63, the company exhibits a solid financial structure. Its market capitalization stands at $1.91 billion, with a price-to-earnings ratio of 17.35 and a beta of 2.53, indicating both market size and volatility.
The company recently reported its earnings results for the quarter, posting $0.28 earnings per share (EPS). This figure, however, missed analysts’ consensus estimates of $0.53 by ($0.25). Despite this, Century Aluminum maintained a net margin of 5.17% and a return on equity of 19.06% on revenues of $633.90 million. Analysts, on average, anticipate Century Aluminum Company to achieve 2.76 earnings per share for the current year, providing a forward-looking perspective.
Century Aluminum Company operates globally, engaging in the production of standard-grade and value-added primary aluminum products across the United States and Iceland. Their operational footprint also includes an alumina production facility in Iceland and a carbon anode production facility in the Netherlands, underscoring their integrated role within the international aluminum industry and their capacity for sustained corporate performance.
