While shares of NALCO are up as much as 8% on Wednesday and are among the top performers on the Nifty 500 index, those of Hindalco and Vedanta Aluminium are trading with gains of 3% each.
According to reports, Norsk Hydro has cut its Alumina output at its Alunorte refinery to 50% of its capacity citing gas shortage.
The said unit produced 6.3 MT of Alumina in 2025. Alumina prices are now 10% of Aluminium, compared to the average of 14% to 16%.
The global Alumina market is said to be in a 1.6 MT surplus in 2026 and a 0.5 MT surplus in 2027. The cut in capacity is positive for Alumina prices.
Higher Alumina prices is beneficial for companies like NALCO, as it contributed to 27% of its financial year 2026 EBIT and 44% in financial year 2025.
Antique has recently maintained its “buy” recommendation on NALCO with a price target of ₹463. It said that firm Aluminium prices and additional alumina volumes would aid the company’s topline.
Shares of NALCO are trading 8% higher on Wednesday at ₹419.35. The stock is up 33% so far this year.
Shares of Hindalco are trading 3.5% higher on Wednesday and are the top gainers on the Nifty 50 index at ₹1,085.55. The stock is up 21% so far this year.
Shares of Vedanta Aluminium are trading 1.6% higher on Wednesday at ₹470.86.
