Hindalco Industries shares hit 52-week high as firm to set up battery foil plant in Odisha

Shares of Hindalco Industries Ltd hit their fresh 52 week high on Tuesday after the firm said it would invest Rs 800 crore ($96 million) to set up a battery foil manufacturing facility to tap into the expanding electric vehicles market in India. Hindalco Industries stock rose 2.47% to a high of Rs 535.45 against the previous close of Rs 522.50 on BSE. Total 1.76 lakh shares of Hindalco Industries changed hands amounting to a turnover of Rs 9.32 crore. 

Market cap of Hindalco Industries rose to Rs 1.20 lakh crore on BSE. Hindalco Industries shares have a one-year beta of 1.1, indicating high volatility during the period.         

Also read: Hindalco Industries shares at Rs 600? Stock price targets post in-line Q2

In terms of technicals, the relative strength index (RSI) of Hindalco Industries stands at 67, signaling it's trading neither in the overbought nor in the oversold zone. Hindalco Industries shares are trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages.      

The plant which will be opened in Odisha, is slated to be operational by July 2025 to produce 25,000 tonnes of aluminium foils, a key component in Lithium-ion cells essential for rechargeable batteries, primarily used in electric vehicles (EVs), the Aditya Birla Group-owned company said in statement. 

By 2030, demand for battery grade aluminium foil in India is expected to grow manifold to 40,000 tonnes, primarily driven by mushrooming growth in gigafactories for advanced cell manufacturing. “We are seeing a fast traction in battery materials demand, driven by an impressive outlook for the Electric Vehicle and Grid Storage sectors. Raw material localization is critical in such strategic sectors,” said Satish Pai, Managing Director, Hindalco Industries.  

“Hindalco is thus making various investments in battery materials and technologies towards building Atmanirbhar Bharat. Investment in this new battery foil mill is another such step in this direction,” added Pai.  

Also read: State Bank of India Q3 may see wage revision provisioning; what Nomura India says on PSU bank shares 

 

Also read: Top 10 stocks to watch on December 12, 2023: Infosys, BPCL, Dixon Technologies, Wipro, Canara Bank and more

Also read: Stock recommendations by market analysts for December 12, 2023: Union Bank, West Coast Paper, GAIL and Jindal Steel