UPDATE: Stifel Nicolaus Initiates Alcoa at Buy

Stifel Nicolaus is out with its report today on Alcoa (NYSE: AA), initiating AA at Buy.

In its report, Stifel Nicolaus writes, "We believe Alcoa shares' underperformance vs. peers over the past decade will reverse as Alcoa increases exposure to higher-value downstream end markets."

Stifel Nicolaus has a $13 PT on AA.

At the time of posting, shares of AA were trading pre-market at $9.71, up 1.36% from Monday's close.