Shares of Hindalco Industries Ltd rose as much as 3 per cent to Rs 222.55 as aluminium processor Aleris Corp had posted higher quarterly results on Monday.
Hindalco’s US unit Novelis Inc had said late last month that it would buy Aleris for $2.6 billion.
Favourable Q2 results indicate that (Novelis-Aleris) deal was on track to achieve expected synergies, an analyst with a domestic brokerage said.
About 26 out of 28 brokerages covering Hindalco have rated it “buy” or higher and 2 “hold” or lower; their median price target is Rs 305, according to Thomson Reuters data.
More than 13.1 million shares changed hands, vs their 30-day moving average of 11.8 million shares. Since the Novelis-Aleris deal was announced on July 26, Hindalco stock has risen 7.7 per cent up to current session's high, but was down 21 per cent this year up to last close.