Century Aluminum’s stock advanced 2.9% in pre-market trading on Monday after the U.S. imposed a 50% tariff on selected Canadian goods, lifting U.S. aluminum and steel producers.
The tariffs took effect on Saturday following the breakdown of trade talks between the U.S. and Canada, according to the report. The move adds pressure to broader efforts to renew the United States-Mexico-Canada Agreement, raising concerns over regional trade stability.
The rally followed a sharp rebound in Century Aluminum’s financial performance. In the second quarter, the company reported net income of $249.3 million, a swing from a loss in the same period last year, while revenue rose approximately 20% year-over-year. Earnings per share significantly exceeded consensus estimates.
Operational improvements contributed to the revenue growth, including the restart of the Mt. Holly smelter and the near-full resumption of production at Grundartangi’s Line 2. Management also provided third-quarter adjusted EBITDA guidance in the range of $325 million to $345 million.
Analysts have upgraded their outlook on the stock. UBS initiated coverage with a Buy rating in mid-August, citing Century Aluminum’s strong domestic positioning. BMO Capital followed with a Buy rating shortly after the company’s Q2 earnings release.
Institutional investors increased their exposure, with BlackRock taking a new position and Vanguard expanding its stake. The gains contrasted with broader market weakness, as the S&P 500 and Nasdaq slipped in pre-market trading, indicating Century Aluminum’s advance was driven by company-specific momentum rather than broader market strength.
