The innovative blueprint for the company’s growth and sustainable operations over the next three decades, outlined by Chairman and Managing Director (CMD) Sridhar Patra, propelled National Aluminium Company Limited (NALCO) to a 3% morning trade increase on January 10. NALCO has shown incredible tenacity over the last year, rising by 57% and surpassing the Nifty, which rose by 20% in the same time frame.
Patra presented the company’s intentions for the continuous expansion of its smelter and refinery during the 44th Foundation Day ceremony. With the operationalization of allocated coal blocks and the obtaining of legislative clearances for the Pottangi Bauxite mines, these endeavours acquired impetus. Patra highlighted the fact that the combined efforts of theNALCO has established itself as a formidable business operation during the previous 43 years and through its unwavering pursuit of excellence.
Over the last three years, the organisation has achieved a great deal by continuously striving to exceed prior milestones.
“Retroactive integration and securitization of energy and bauxite have extended the business span of the organisation for the next 30 years,” Patra said during his speech
Operating the captive Panchpatmali bauxite mines for the pit-head alumina refinery, aluminium smelter, and captive power plant at Angul in Odisha is NALCO, a Navratna public-sector enterprise (PSU) under the Ministry of Mines.NALCO announced a notable 49.3% increase in consolidated profit for the September quarter, coming in at Rs 187.35 crore. But its consolidated income fell 13% year over year to Rs 3,112.02 crore. NALCO shares were up 2% at Rs 131.20 on the National Stock Exchange (NSE) as of 9:51 a.m.
The company has seen a remarkable 57% rally over the last year, outpacing the 20% increase in the Nifty 50 benchmark. According to Vidyan Sawant, AVP Technical Research at GEPL Capital, the stock has maintained a bullish trend since the bottom in September 2022, showing good momentum. It is currently trading close to its 52-week high of Rs 139.85, established on January 2.
Sawant emphasised that declines towards the short-term 12-week exponential moving average (EMA) and 26-week EMA have regularly served as critical support levels, contributing to the bullish stance. He forecasted that the stock will go towards Rs 147 and advised establishing a stop-loss at Rs 121, based solely on the closing price.
The positive perspective and strategic actions announced by the CMD have clearly moved NALCO into a position of strength and hope for the future.