Century Aluminum Stock Gains Momentum as Operations Resume Post-Hurricane

Century Aluminum's Jamalco joint venture in Jamaica has successfully restarted production operations following Hurricane Melissa's passage. The aluminum producer anticipates a gradual return to normal operational capacity over the coming weeks, reporting no significant structural damage to its refinery facilities, mining operations, or port infrastructure. Company officials confirmed they do not expect material financial repercussions from the weather event.

The swift operational recovery has drawn positive attention from financial institutions. Six brokerage firms have currently placed Century Aluminum shares on their buy lists, with the average price target receiving a substantial 13.58% boost to $31.28. Individual analyst projections range from $28.28 to $35.70 per share. Concurrently, Zacks Investment Research revised its 2025 earnings estimate upward by 11.7% to $2.30 per share.

Strategic Expansion Amid Operational Challenges

Despite recent operational successes, the company has navigated production setbacks in recent months. Century Aluminum managed a temporary output reduction at its Grundartangi smelter in Iceland during October, caused by electrical equipment failure. Nevertheless, the company has demonstrated resilience in addressing these operational hurdles.

Should investors sell immediately? Or is it worth buying Century Aluminum?

The corporation's primary growth initiative is unfolding at its Mt. Holly smelting facility in South Carolina. Through a $50 million capital investment, Century Aluminum plans to reactivate idled production capacity, bringing over 50,000 tons of annual output back online. This reactivation would represent nearly a 10% increase in domestic aluminum production capacity. The expansion benefits from an extended power supply agreement running through 2031 and existing Section 232 tariff protections.

Quarterly Results to Provide Direction

Investor attention now turns to November 6, when Century Aluminum is scheduled to release third-quarter financial results. The convergence of operational stability post-hurricane, rising analyst confidence, and strategic expansion initiatives positions the company as a potential catalyst for movement within the aluminum sector.