** Aluminum producer Alcoa's AA.N shares fall 3.4% to $60.61 premarket after J.P. Morgan lowers rating to "underweight" from "neutral"

** Brokerage notes initial January inventory levels have risen nearly 15% in China

** Says Chinese buyers are resisting higher prices, weakening the demand

** Also forecasts aluminum surpluses in FY26/27, driven partly by new Indonesian supply

** Still, raises PT to $50 from $45, a downside of 20% to AA's last close

** Eight of 14 brokerages rate the stock "buy" or higher, 4 "hold" and 2 "sell"; their median PT is $47 - LSEG data

** AA shares gained nearly 41% in 2025

(Reporting by Utkarsh Tushar Hathi)

((utkarshtushar.hathi@thomsonreuters.com))