India's Hindalco rises as CLSA ups rating to "Buy"

Top Eminent Healthcare

01/03/2024 04:20

** Shares of Hindalco Industries  HALC.NS  up 2.3% in early
trade
    ** Brokerage CLSA ups rating on one of the country's largest
aluminium and copper producers to "Buy" from "Underperform"
earlier
    ** "Following a sharp correction, we believe concern is
overdone and upgrade our rating... on favourable risk reward,"
CLSA
    ** Stock logged its steepest drop since March 2020 - down
12.5% on Feb. 13 post weak project returns forecast for unit
Novelis, which accounts for three-fifths of HALC's revenue 
    ** While medium-term concerns are justified, co's operations
continue to gain strength with Novelis' profitability potential
and strong growth in domestic business, CLSA added 
    ** CLSA PT is at ~8.6% premium on median PT of 21 analysts -
LSEG; it is 26% higher than co's last close 
    ** Stock lost 13% in Feb, its lowest monthly loss in a year 

 (Reporting by Manvi Pant in Bengaluru)
 ((Manvi.Pant@thomsonreuters.com; +918447554364;))