The stock market today opened with a sharp reaction to fresh quarterly numbers from Novelis and the latest update on the September fire incident at its Oswego plant in New York.
Hindalco Industries' share price slipped more than 7% in the morning session, turning it into one of the most-watched stocks across NSE and BSE.
By 11:04 AM, Hindalco NSE and Hindalco BSE were trading near ₹772.30, reflecting the pressure building around cash flow concerns and the operational setback at Novelis.
Market Performance: Hindalco Turns Negative Amid Novelis Updates
In the stock market today, Hindalco Industries' share price slipped early as investors reacted to the latest Novelis Q2 numbers and new details on the Oswego plant disruption.
The decline wasn’t driven by a single headline. It unfolded through a series of back-to-back updates from the company’s global operations, especially from the U.S. facilities.
Main News: Novelis Q2, Oswego Fire, and Cash Flow Estimates Take Center Stage
The core movement in Hindalco's share price today came from three major disclosures—financial performance, operational impact from the fire, and capex-related updates.
Let’s break them down.
Novelis Q2 Results: Mixed Signals Across Key Metrics
Novelis, the U.S.-based subsidiary of Hindalco Industries, reported its second-quarter numbers on November 4.
The data painted a mixed picture—some financial improvements and some operational pressure.
Key Q2 Figures
- Net income: Up 27% YoY to $163 million
- Adjusted EBITDA: Down 9% YoY to $422 million
- Adjusted EBITDA per tonne: Down 8% YoY to $448
- Total shipments: 941 kilotonnes, flat compared to last year
These numbers set the stage for how heavily the Oswego plant disruption influenced the quarter.
Novelis Fire: Localized Damage but Significant Cash Flow Impact
The fire at the Oswego plant on September 16 remained the most important development in the story.
The company confirmed that no injuries were reported, and the damage was localized to the hot mill area.
Teams have been working continuously to bring operations back, using alternative resources to minimize customer disruptions.
Financial Impact of the Fire
- Recoverable insurance estimate: 70–80% of the damages
- Charges recognized in Q2 FY26: $21 million
- Estimated FY26 negative free cash flow impact: $550–650 million
- Estimated EBITDA impact within this: $100–150 million
The hot mill at the Oswego plant is expected to restart by the end of December 2025, followed by a 4–6 week production ramp-up.
The company also shared its appreciation for the teams working on restorations and highlighted collaboration across customers, peers, and suppliers during this challenge.
Bay Minette Project: Capex Requirement Rises
Another important element shaping Hindalco Industries' share price today was the rising project cost at the Bay Minette facility in Alabama.
The greenfield rolling and recycling facility continues to progress, but the total capital cost has increased.
Project Update
- New capex estimate: $5 billion
- Earlier estimate: $4.1 billion
- Capital expenditure spent till Q2 FY26: $2.2 billion
- Commissioning begins: Second half of 2026
This higher capex requirement became another major factor creating pressure on the stock market today.
Company Details: How the Hindalco Stock Reacted
With the Novelis Q2 numbers, the rising Bay Minette project cost, and the detailed Hindalco fire impact assessment, the stock saw visible pressure across both Hindalco NSE and Hindalco BSE.
Morning Snapshot
- Hindalco Industries share price drop: More than 7%
- Trading level: Around ₹772.30
- Day context: Driven largely by operational and cash flow concerns
The sentiment today was influenced entirely by the updates shared by the company—without any external triggers or broader market events dominating the narrative.
Summary: A High-Intensity Day for Hindalco in the Stock Market Today
The fall in Hindalco's share price today was rooted in concrete numbers and operational disclosures.
Novelis Q2 results brought mixed financial signals, the Oswego plant fire added a layer of pressure with a $550–650 million hit estimated for FY26 free cash flow, and the Bay Minette capex rising to $5 billion increased long-term spending commitments.
All of this created a sharper reaction in the stock market today across both Hindalco NSE and Hindalco BSE.
The day unfolded with data, real-time updates, and operational challenges taking center stage—shaping the company’s immediate stock performance.
Easy & quick
Leave A Comment?