Buy Hindalco Industries, target price Rs 153: Antique Stock Broking – Economic Times



Antique Stock Broking has a buy rating on Hindalco Industries with Rs 153 target price. Shares of Hindalco Industries ended up 12 per cent at Rs 130 on Thursday while the BSE Sensex closed 997.46 points up (+3.05 pre cent) at 33,717.62.

Hindalco Industries, incorporated in 1958, has a market cap of Rs 29257.86 crore.

Investment Rationale

Aluminium LME spot prices are seen recovering and leverage levels would remain comfortable post the Aleris acquisition. The company has a balanced business portfolio and integrated aluminium business model leading to a steady earnings profile, said the brokerage.

Financials

For the quarter ended December 31, 2019, the company has reported consolidated sales of Rs 29,197 crore, down -1.55 per cent from last quarter sales of Rs 29,657 crore and down -12.09 per cent from last year same quarter sales of Rs 33,212.10 crore. The company reported net profit after tax of Rs 1060.00 crore in latest quarter.

Promoter/FII Holdings



Promoters held 34.65 per cent stake in the company as of December 31, 2019, while FIIs held 20.74 per cent, DIIs 25.3 per cent and retail investors 19.30 per cent.