The stock of NALCO included in Rakesh Jhunjhunwala’s portfolio has proved to be a multibagger for the investors. The stock has given around 110 per cent return in 1 year.
Rakesh Jhunjhunwala Portfolio Stock: In Russia and Ukraine crisis, where there is continuous selling pressure in the stock market. At the same time, there are also opportunities for earning in some segments. For example, where there is a rise in asset classes like crude and gold. At the same time, some factors are positive for the metal sector as well. Recently, aluminum prices have reached their all-time high. Russia is a major producer and exporter of aluminum. In such a situation, if the war between the two countries drags on, then aluminum will accelerate further. Market experts are considering it positive for National Aluminum Company Limited ie NALCO. Brokerage house Axis Securities has also included it in its top pick. Let us inform that Rakesh Jhunjhunwala, a veteran investor of the market has also invested money in NALCO.
The stock has been a multibagger for investors
The stock of NALCO has proved to be a multibagger for the investors. The stock has given around 110 per cent return in 1 year. This year, where many stocks were under pressure, this multibagger stock has given 24 percent return. At the same time, its return in 1 month has been close to 8 percent.
Next target of Rs 150 for the stock
Brokerage house Axis Securities has given buy opinion in the stock and has given a target of Rs 150. Right now the stock is trading around Rs 127. The brokerage says that Nalco is well positioned to benefit from the strong aluminum prices. NALCO is the only pure equity player in India on aluminum and alumina commodities. The recent geopolitical tensions in Europe have led to a sharp rise in aluminum prices. Prices are at a 13-year high above $3,300 a tonne. In such a situation, Nalco can benefit due to higher prices going forward.
Ready to take advantage of increased prices
Amid a firming outlook for aluminum prices, NALCO has started optimizing its aluminum production by targeting 100% utilization of its 460ktpa smelter. In Q3FY22, the company recorded the highest production of 115kt (460ktpa per annum) in its history and started operating its entire pot room (all 960 pots currently in operation) to capitalize on aluminum prices.
Rakesh Jhunjhunwala holds 1.4% stake
Rakesh Jhunjhunwala holds 1.4 percent stake in National Aluminum Company (NALCO). He holds 25,000,000 shares of the company, whose current value is Rs 319.6 crore. He held 1.4 per cent stake for the first time in the September quarter. In the December quarter too, his stake is only 1.4 per cent.
(Disclaimer: Stock investment advice is given by the brokerage house. These are not the personal views of The Financial Express. Markets are risky, so take expert opinion before investing.)
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