Kaiser Aluminum Corporation Common Stock (KALU)

FairStock Score: 55/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a Graham-and-Buffett style investor, I start with what the business earns and what I pay for it. Kaiser makes semi-fabricated specialty aluminum products, including aerospace and high-strength items; that can create qualification-based stickiness, but it is still a cyclical materials business. The latest filed figures are impressive: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $1.3 billion, net income $96.8 million, and diluted EPS $5.72. A year earlier, fiscal Q2 2025 showed revenue of $823.1 million, net income of $23.2 million, and diluted EPS of $1.41. For FY2025, revenue was $3.4 billion, net income $112.5 million, and diluted EPS $6.77, up from FY2024's $65.7 million and $4.02. At the 2026-10-13 close of $151.81, FairStock calculations put the P/E at 11.26, P/B at 2.61, EV/EBITDA at 7.30, and FCF yield at 3.5%. The earnings multiple looks undemanding, but the Graham Number is $132.32, so the margin of safety is negative 14.73%—I am paying above a conservative asset-based value. ROCE of 7.75% is modest, and D/E of 1.13 with Altman Z-Score of 1.87 warns that leverage matters. ROE of 26.40% and Piotroski F-Score of 7/9 are positives, but beta of 1.60 and a 52-week range of $77.24-$199.89 remind me this is a volatile turnaround. The business has improved sharply; the price is not a deep bargain.

In plain English: Kaiser Aluminum makes specialized aluminum products for aerospace and industrial customers. The business has improved a lot lately: the latest filed quarter showed much higher sales and profit than the same quarter a year earlier. At the recent price, the shares look roughly fair—not a deep bargain compared with the company's assets, but not expensive compared with its profits.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer