Hindalco’s Q3 result highlights surge in aluminium price as well as addition of Brownfield smelting capacity

After the third quarter, analysts kept their 'buy' calls on Hindalco Industries Ltd., noting a surge in aluminium prices, a shift in focus from deleveraging to growth potential, and the addition of Brownfield smelting capacity.

In the quarter ended December, India's largest aluminium manufacturer saw its net profit jump 7.5 percent sequentially. Its operational income, on the other hand, fell throughout that time. Novelis, a subsidiary, had its quarterly Ebitda drop as well.

Hindalco's stock rose as much as 1.21% before falling down to 0.58% higher at 10:04 a.m. on Friday. According to Bloomberg statistics, 27 of the 28 analysts following the business recommend a 'buy,' while one suggests a 'sell.' The 12-month consensus price goal suggests a 13% gain.

The Aditya Birla Group's metals flagship firm is Hindalco Industries Limited. Hindalco, a US$18 billion metals behemoth, is the industry leader in aluminium and copper.  The company's aluminium businesses in India cover a wide range of activities, including bauxite mining, alumina refining, coal mining, captive power plants, and aluminium smelting, as well as downstream rolls, extrusions, and foils.

As an integrated manufacturer with a presence in nine countries outside of India, Hindalco now ranks among the global aluminium heavyweights.