Why Kotak continues to prefer Hindalco over Vedanta and Nalco, KNOW the KEY reasons here
Kotak Institutional Equities says that Chinese aluminum smelters are facing environment-led production restrictions whereas capacity cap is limiting future additions. With strong sequential demand recovery, global utilization has reached a decade high, has limited spare capacity and thin pipeline of fresh additions. Kotak Institutional Equities forecast a deficit market from CY2022E to keep aluminum prices elevated and upgrade our price assumptions by 30%/19% for FY2022/23E
Kotak raise earnings and Face Value of Hindalco to Rs 500 (from Rs 400 earlier), Nalco to Rs 65 (from Rs 35 earlier) and Vedanta to Rs 270 (from Rs 180 earlier): Reuters