National Aluminium Company Ltd Gains 3.85%: 6 Key Factors Driving the Week’s Momentum

27 January 2026: New 52-Week High Signals Strong Momentum

National Aluminium Company Ltd began the week on a positive note, hitting a new 52-week high of Rs.386 on 27 January 2026. The stock closed at Rs.384.70, up 3.85% from the previous close, outperforming the Sensex which gained 0.50% that day. This marked the fourth consecutive day of gains, with a cumulative return of 7.55% over that period. The stock’s rally was supported by robust fundamentals, including a low debt-to-equity ratio of zero and strong profitability metrics such as a 30.8% return on equity (ROE) and a 33.90% return on capital employed (ROCE). The broader non-ferrous metals sector also showed strength, with the S&P BSE Metal index reaching new highs, reinforcing sectoral tailwinds.

28 January 2026: Multiple New Highs and Intraday Surge

The bullish momentum continued on 28 January, with National Aluminium Company Ltd reaching new 52-week and all-time highs multiple times during the session. The stock surged intraday by 5.34%, touching Rs.403.80 before closing at Rs.406.20, a 5.59% day gain. This performance outpaced the Aluminium & Aluminium Products sector’s 4.69% rise and the Sensex’s 0.56% gain. The stock recorded its fifth consecutive day of gains, delivering a cumulative return of 12.5% over this period. Technical indicators remained positive, with the stock trading comfortably above all key moving averages. The company’s market capitalisation rose to Rs.70,655 crore, solidifying its position as the second largest player in the sector. Institutional confidence remained strong, with 32.02% holdings and a Mojo Score of 85.0, upgraded to Strong Buy.

29 January 2026: New Highs and Sharp Open Interest Surge

On 29 January, National Aluminium Company Ltd extended its rally, hitting a new 52-week high of Rs.422 and an intraday peak of Rs.428.65, marking a 5.39% gain for the day. This was the sixth consecutive day of gains, with a cumulative return of 19.42%. The stock outperformed its sector by 2.69% and the Sensex by a significant margin. The derivatives market saw a sharp 20.55% surge in open interest, reflecting increased market positioning and bullish bets. The futures and options segments recorded substantial notional values, indicating strong liquidity and active participation. Delivery volumes also rose by 3.38%, signalling genuine buying interest. Despite the broader market’s cautious tone, the stock’s technical strength remained robust, trading above all major moving averages. The company’s market capitalisation climbed to Rs.74,604 crore, reinforcing its leadership in the non-ferrous metals sector.

30 January 2026: Volatility and Profit-Taking Amid Price Pressure

The week concluded with a sharp reversal on 30 January, as National Aluminium Company Ltd’s share price fell 10.32% to close at Rs.384.70, after hitting an intraday low of Rs.390.80. This decline outpaced the Aluminium & Aluminium Products sector’s 3.65% drop and the Sensex’s 0.61% fall. The stock opened with a gap down of 3.02% and faced sustained selling pressure throughout the session. Intraday volatility was high at 33.44%, reflecting active trading and profit-taking after a sustained rally. Despite the setback, the stock remained above key moving averages, indicating that the longer-term uptrend remains intact. Derivatives activity remained elevated, with open interest rising 12.55% amid volatile trading and a total derivatives turnover exceeding Rs.2.15 lakh crores. Delivery volumes surged by 93.63%, suggesting strong investor engagement despite the price weakness. The company’s Mojo Score remained at 84.0, maintaining its Strong Buy rating.

Weekly Price Performance Comparison

Key Takeaways

Positive Signals: National Aluminium Company Ltd demonstrated strong momentum early in the week, hitting multiple new 52-week and all-time highs, supported by robust financials including a 30.8% ROE, zero debt, and consistent profit growth. The stock outperformed the Sensex and its sector for most of the week, reflecting investor confidence and strong institutional backing. Elevated derivatives activity and rising open interest indicate active market participation and bullish positioning.

Cautionary Notes: The sharp 10.32% decline on the final trading day highlights increased volatility and profit-taking after a sustained rally. The stock’s premium valuation metrics, including a price-to-book ratio of 3.8 and a PEG ratio of 0.1, suggest that much of the growth is priced in. Elevated open interest amid falling prices on 30 January may signal short-term bearish bets or hedging strategies. Sectoral weakness and broader market softness contributed to the correction, warranting close monitoring of price and volume trends in coming sessions.

Conclusion

National Aluminium Company Ltd’s performance during the week ending 30 January 2026 was characterised by strong early gains and a notable correction on the final day. The stock’s ability to set multiple new highs and sustain a rally over six consecutive sessions underscores its robust fundamentals and market leadership within the non-ferrous metals sector. Despite the late-week volatility and price pressure, the company’s strong financial metrics, institutional support, and positive technical indicators maintain its appeal. Investors should remain attentive to ongoing derivatives market activity and sector dynamics as the stock navigates this phase of consolidation following a significant rally.

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