Hindalco Industries jumped 6.83% to Rs 175.30 at 10:48 IST on BSE after a foreign brokerage upgraded the stock to buy from sell rating.
Meanwhile, the BSE Sensex was up 77.05 points, or 0.30%, to 25,490.83.
On BSE, so far 12.37 lakh shares were traded in the counter, compared with an average volume of 11.38 lakh shares in the past one quarter.
The stock hit a high of Rs 176.15 and a low of Rs 166 so far during the day. The stock hit a 52-week high of Rs 176.15 on 1 July 2014. The stock hit a 52-week low of Rs 83.05 on 7 August 2013.
The stock had outperformed the market over the past one month till 30 June 2014, rising 11.10% compared with 4.94% rise in the Sensex. The scrip had also outperformed the market in past one quarter, rising 25.89% as against Sensex's 13.76% rise.
The large-cap company has an equity capital of Rs 206.46 crore. Face value per share is Re 1.
The brokerage is optimistic that the Hindalco Industries stock has potential to rise in four years once Novelis' (Hindalco's subsidiary) new units, India smelters and Mahan coal mine are fully ramped-up.
Brokerage reportedly said that Novelis will be a big beneficiary of the accelerating shift of global automakers from steel to aluminum given its strong franchise and upcoming capacities.
Hindalco's attempt to de-leverage its balance sheet in last few years will boost its equity value, the brokerage said.
Hindalco Industries' net profit declined 48.5% to Rs 248.15 crore on 19.7% growth in total income to Rs 8647.53 crore in Q4 March 2014 over Q4 March 2013.
Hindalco Industries is the world's largest aluminium rolling company and one of the biggest producers of primary aluminium in Asia. Its copper smelter is the world's largest custom smelter at a single location.
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