Rs 8,000 crore project: This metals manufacturing company signs an MoU with Odisha Mining Corporation!

The shares of the PE of 12.5x whereas the industry PE is 23x and it is currently trading at 1.12 times its book value.

Hindalco Industries Ltd entering into a memorandum of understanding (MoU) with Odisha Mining Corporation for the long-term supply of bauxite ore for its proposed 2-million-tonne alumina refinery and 150-MW captive power plant at Kansariguda in the Rayagada District. This will be the company’s second alumina refining facility in the Rayagada district of Odisha.

The total proposed investment of Rs 8,000 crore shall be in two phases. The first phase of 1 million tonnes is expected to be commissioned in FY27, at an investment of Rs 5,500 crore.

Incorporated in 1958, Hindalco Industries Ltd. is a flagship company of the Aditya Birla Group. The Co and its subsidiaries are primarily engaged in the production of aluminium and copper. It is also engaged in the manufacturing of aluminium sheet, extrusion and light gauge products for use in packaging markets like beverage and food, can and foil products, etc. 

The company has a market cap of over Rs 1 lakh crore with a 3-year stock price CAGR of 39 per cent. The company also reported positive numbers in its Quarterly Results and annual results.

On Thursday, shares of Hindalco Industries Ltd plunged 0.57 per cent to Rs 470.40 per share with an intraday high of Rs 480 and an intraday low of Rs 468.25. The stock’s 52-week high is Rs 508.80 and its 52-week low is Rs 379.90.

The shares of the PE of 12.5x whereas the industry PE is 23x and it is currently trading at 1.12 times its book value. Investors should keep an eye on this Large-Cap stock.

Disclaimer: The article is for informational purposes only and not investment advice.