Hindalco Industries Ltd. share price target

20.69% of total sales). Sales of Others segment has gone up 7.81% to Rs 69.00 crore Aluminium segment has gone up 12.64% to Rs 5,969.00 crore (accounting for 14.51% of total (accounting for 0.17% of total sales). Sales of Novelis segment has gone up 34.42% to Rs...

HNDL's 4QFY21 earnings for the India business was strong, as expected, with EBITDA up 23% QoQ to INR18.8b on higher LME prices. Consolidated net debt declined INR64b QoQ to INR474b and net debt/EBITDA ratio declined to 2.6x (v/s a peak of 4x post the Aleris acquisition). We broadly maintain our estimates and reiterate HNDL as our top nonferrous pick. Despite rising costs, we estimate India EBITDA/t in FY22E to be the highest ever in the last 10 years at USD865/t. We expect 35% EPS...

Hindalco's wholly-owned subsidiary Novelis also reported a healthy operational performance for Q3FY21, wherein its shipments came in at 933 KT (our estimate: 925 KT). Novelis achieved a record EBITDA/tonne of US$537/tonne (our estimate US$490/tonne). Adjusted EBITDA was at US$501 million, higher than our estimate of US$453 million. Novelis reported a healthy Q3FY21 performance on the back of organic growth, favourable metal benefits and a net US$50 million positive EBITDA contribution from the acquired Aleris business. On the balance sheet front,...

corresponding previous year period. Operating margins of the company rose 340 bps to 14.9% leading to 55% increase in operating profits to Rs 5198 crore. Other income rose 9% to Rs 323 crore. PBDIT increased 51% to Rs 5521 crore. Interest cost fell...

3QFY21 earnings for its India business was strong, as expected, with EBITDA up 20% QoQ to INR15.2b on higher LME prices. Consolidated net debt declined INR42b QoQ to INR538b (INR623b in 1QFY21) and net debtto-EBITDA declined to 3.1x (3.8x in 1QFY21). We broadly maintain our FY21E/FY22E estimate and reiterate HNDL as our top non-ferrous pick. We expect 26% EPS CAGR over FY21-23E driven by better margin and continued deleveraging....

Novelis' Adj. EBITDA grew 39% YoY/5% QoQ at US$476mn (US$455) on back of 24% YoY (+6.5% QoQ) growth in Novelis' legacy operation's EBITDA at US$426mn and 15% YoY (down 9% QoQ) inorganic growth....

Hindalco Industries Limited, a global leader in aluminium and copper, announced consolidated results for the quarter ended September 30, 2020. Despite a one-time impact of Rs.1,398 crore on account of the divestiture of the Lewisport unit of Aleris, the Company reported a...

Company witnessed strong recovery across the segments except Aerospace. All plants are operating at near full capacity with margins in guided range. Strong margins and stable volumes would help reduce debt by ~10% every year with Net debt/EBITDA falling below 3x by FY23. However, divestment of Aleris' Lewisport facility came as a negative due to low valuations at US$330mn (PLe:US$600mn), ~30% below the estimated investment of ~US$500mn on the facility. While, strong margins trajectory would help in offsetting the impact of lower valuations realised on divestment of assets....

Higher LME and lower cost to boost profitability Hindalco (HNDL)'s 2QFY21 results were strong, as expected. India EBITDA increased 43% QoQ to INR12.7b on LME recovery. With integrated CoP guided flattish v/s 2QFY21 and improved LME, Hindalco's profitability is expected to remain high despite ~58% of LME being booked at lower LME for 2HFY21. We broadly maintain our FY21/FY22 estimate. Hindalco remains our top pick in the Metals sector on expected deleveraging in FY22E. This would...