Hindalco Shares Trade Near ₹958 Following Second-Quarter Results and Brokerage Updates

Shares of Hindalco Industries were trading at ₹958 on the National Stock Exchange around midday on Wednesday, recording a minor decline of 0.21 per cent from its previous close of ₹960. The stock opened the session at ₹946.05, touching an intraday high of ₹965.25 and a low of ₹946. Market activity saw over 64.80 lakh shares change hands, amounting to a traded value of ₹619.85 crore by 12:45 PM. Order book data indicated that sell-side orders outweighed buy orders, with 57.44 per cent of the orders on the sell side.

The stock movement comes in the wake of the company's second-quarter financial results for FY27, which were announced last Friday. Hindalco currently trades well below its 52-week high of ₹1,176 recorded in May 2026. However, the stock has posted gains of over 20 per cent over the past year, outperforming the Nifty 50, which registered a decline of 1.59 per cent during the same period. Deliverable volume stood at 60.87 per cent of the total traded quantity, pointing to a reasonable share of trades backed by actual delivery intent. The company's trailing price-to-earnings (P/E) ratio stands at 11.24 times.

For the quarter ending September, Hindalco reported consolidated net sales of ₹917 billion, marking a 39 per cent increase compared to the same period in the previous year. Earnings before interest, taxes, depreciation, and amortization (EBITDA) rose 43 per cent year-on-year to reach ₹128 billion. On a sequential basis, however, EBITDA saw an 8 per cent decline, which the company attributed to higher input costs for coal and calcined petroleum coke. Adjusted profit after tax for the quarter was reported at ₹73 billion, representing a 50 per cent growth year-on-year.

Major financial institutions and brokerages have responded to the earnings report by maintaining broadly positive outlooks on the stock. UBS reiterated a Buy rating with a target price of ₹1,325, noting that the Q2FY27 EBITDA outperformed both internal and consensus estimates, driven by strong aluminium realizations and the performance of Novelis. Motilal Oswal maintained its Buy rating with a target price of ₹1,180, citing strong premiums, a favorable domestic product mix, and gains from copper byproducts.

Meanwhile, Axis Direct kept its Buy rating intact but lowered its target price to ₹1,060 from ₹1,155, accounting for softer assumptions regarding aluminium realizations for FY28. Nomura also retained a Buy rating with a target price of ₹1,100, highlighting that the third quarter is projected to be the softest period before a potential recovery takes place in Q4FY27.

"Hindalco's second-quarter performance reflects robust year-on-year growth in sales and profitability, despite facing sequential cost pressures from raw materials like coal. The sustained confidence from major brokerages indicates that large-cap industrial players with strong global operations and diversified product mixes remain resilient. For investors and market watchers, tracking input cost management and demand cycles will be crucial as the company navigates the upcoming quarters leading up to an anticipated recovery." — Dr. Shishir Gupta, Founder & CEO, StartupLanes