Shares of Hindalco Industries, part of the Aditya Birla Group, and state-owned Nalco saw significant gains of up to 5% on Wednesday as aluminium prices surged to a four-year high, reaching $3,672.50 per metric tonne on the London Metal Exchange. This increase is attributed to heightened tensions from the Iran conflict and potential production cuts in China, the world's largest aluminium producer. Hindalco's shares climbed 4.5% to ₹1,154, while Nalco's shares rose 5.1% to ₹437.50. Analysts from Morgan Stanley anticipate a supportive medium-term demand-supply outlook for aluminium, driven by sustainability-led demand and constrained supply growth due to China's production caps. The report highlights that the market is tightening due to disruptions in the Middle East and elevated energy costs, which are likely to keep prices firm. Morgan Stanley has initiated coverage on Hindalco with an 'Overweight' rating and a target price of ₹1,325, suggesting a potential upside of over 20% from its previous closing price.