Graphite India share price surged nearly 18% to hit a fresh 52-week high on Wednesday, after global graphite electrode maker GrafTech International announced a 30% price increase, raising hopes of a recovery in global electrode realisations.
GrafTech International’s shares also rallied around 15% overnight on Wall Street following the pricing announcement, signalling that the move has been positively received by investors.
The price hike is viewed as a positive development for Indian graphite electrode manufacturers, including Graphite India, as it suggests a potential improvement in global electrode pricing following a prolonged period of weak realisations.
According to various reports, experts believe that sustained higher electrode prices could translate into improved realisations and support margin expansion for domestic manufacturers.
Graphite India is one of India’s leading graphite electrode manufacturers, with an installed electrode manufacturing capacity of around 98,000 tonnes.