Stock fact sheet · data as of
Kaiser Aluminum Corporation (KALU): fair value, margin of safety and Wheel Score
Basic Materials · Aluminum · United States · High Growth
Is KALU undervalued?
At 148.42 (close of 16 Oct 2026), KALU trades 38% below the GLS average fair value of 239.03. That average comes from 8 models run on the latest filings, and 5 of them land above the current price. Margins of safety over 30% are the exception rather than the rule across the ~7,400 stocks we value each night, so the number earns Kaiser Aluminum Corporation the full Value points in the Wheel Score - and a closer look at what the market is pricing in.
There is a wide gap between DDM (45.32) and GLS Growth (852.78). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files KALU under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.
Nine valuation models for KALU
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 134.73 | -9% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 224.73 | +51% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 55.72 | -62% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 852.78 | +475% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 232.78 | +57% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 211.40 | +42% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 45.32 | -69% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 154.78 | +4% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -29.19 | -120% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 176.25 | +19% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Kaiser Aluminum Corporation scores 6 of 9 on the Piotroski F-score: a middling result that passes the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. A GLS Moat score of 3.1/10 is a weak reading: the ten-year history the score grades (revenue, EPS, book value, margins, cash flow, share count, ROIC) has not been steady, so the Moat part of the Wheel Score contributes little.
Returns on capital are moderate - ROIC 5.8%, ROE 13.6%, ROA 4.4% - with debt at 1.36 times equity and a free-cash-flow yield of 3.6%.
The dividend yield is 2.08% at a payout ratio of 23%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Packaging 46%, Aero Hs Products 24%, Ge Products 22% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 5.8% |
|---|---|---|---|
| GLS Moat | 3.1 / 10 | ROE | 13.6% |
| Debt / equity | 1.36 | ROA | 4.4% |
| Free-cash-flow yield | 3.6% | Payout ratio | 23% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 72: Good
With a Wheel Score of 72 - the Good band - Kaiser Aluminum Corporation clears the Sunday Scan's "70 or higher" rule. The parts: Value 25/25, Health 13/20, Moat 5/15, Premium 20/20, Stability 9/20; Moat (5/15) scores lowest.
Implied volatility is 59% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 1,402 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 119k shares a day on a market cap of $2.4B, with a beta of 1.58 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 9 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 38% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 5 / 15 | moat 3.1/10 | |
| Premium | 20 / 20 | implied volatility 59% | |
| Stability | 9 / 20 | 119k shares/day, $2.4B cap, beta 1.58 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Kaiser Aluminum Corporation reports earnings on 21 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk. The shares go ex-dividend on 23 Oct 2026 (0.7700 per share), so a covered call sold before then carries a small early-assignment risk around that date.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Aluminum
The 12 companies below are the closest to Kaiser Aluminum Corporation by market cap within the Aluminum industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| CENX Century Aluminum Company | 34.20 | 133.32 | +74% | 76Good | $3.4B |
| CSTM Constellium SE | 25.47 | 38.80 | +34% | 85Prime | $3.5B |
| AA Alcoa Corporation | 40.42 | 65.32 | +38% | 77Good | $10.7B |
| NGVT Ingevity Corporation | 70.54 | 38.93 | -81% | 56Fair | $2.4B |
| TTAM Titan America S.A. | 13.07 | 22.15 | +41% | 80Prime | $2.4B |
| EXK Endeavour Silver Corp. | 8.29 | 2.18 | -280% | 53Fair | $2.5B |
| IOSP Innospec Inc. | 96.60 | 95.97 | -1% | 63Fair | $2.4B |
| BCC Boise Cascade Company | 75.48 | 74.85 | -1% | 64Fair | $2.6B |
| PPTA Perpetua Resources Corp. | 17.38 | 8.31 | -109% | 41Weak | $2.2B |
| KWR Quaker Houghton | 158.55 | 142.15 | -12% | 60Fair | $2.7B |
| SA Seabridge Gold Inc. | 25.32 | 3.28 | -672% | 43Weak | $2.7B |
| DRD DRDGOLD Limited | 24.91 | 190.45 | +87% | 80Prime | $2.2B |
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Start free See the Sunday ScanQuestions about KALU
Is KALU undervalued right now?
By the GLS models, yes: at 148.42 the stock is 38% below the average fair value of 239.03 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of KALU and what does it mean?
KALU scores 72 out of 100 (Good). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for KALU?
239.03 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Kaiser Aluminum Corporation report earnings next?
The next earnings report is due on 21 Oct 2026 (after the close), 5 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does KALU have listed options, and how liquid are they?
Yes. The nightly snapshot found 298 listed contracts with 1,402 open interest across all expiries and implied volatility of 59% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.