Hindustan Zinc stock gains 3% as Silver hits all time high; check details

Hindustan Zinc shares were quoting at ₹436.55, up 2.74 per cent compared to the previous day's close of ₹424.9

Hindustan Zinc share price today: Shares of Hindustan Zinc, a subsidiary of Vedanta, rose nearly 3 per cent on Monday, July 14, to hit an intraday high of ₹436.95 as silver prices touched record highs. At 2:15 PM, the stock was quoting at ₹435.6, up 2.5 per cent compared to the previous day's close of ₹424.9. In comparison, the benchmark Nifty50 index was trading at 25,044.6 levels, down 105 points or 0.45 per cent.  The company's total market cap stands at ₹1.82 trillion. The stock has surged over 12 per cent from its 52-week low of ₹378.15 touched on March 3, 2025.

 

 

On the Multi Commodity Exchange (MCX), Silver's future contracts with September expiry touched an all-time high of ₹1,14,875 per kilogram today. While the future contracts with December expiry touched a record high of ₹1,16,566 per Kg. 

 

According to data on Goods Returns, silver was trading around 1.15 lakh per kg in the Indian markets. 

 

The sharp surge in silver prices came as investors fled to safe havens amid global uncertainties. On July 12, US President Donald Trump threatened to impose a 30 per cent tariff on imports from Mexico and the European Union starting on August 1. 

Earlier, he imposed a 35 per cent tariff on Canada, while warning of further hikes if they retaliate.  CATCH STOCK MARKET LIVE UPDATES TODAY 

Gold prices also witnessed a sharp surge. The yellow metal's August futures on the MCX touched a high of ₹98,438 per 10 grams. Domestic rates of gold increased, with the price of 10 grams of 24k gold standing at around ₹99,880.

Yes Securities on Hindustan Zinc

According to a recent report by Yes Securities, Hindustan Zinc's silver segment has emerged as a key earnings pillar and is expected to play an increasingly important role in driving profitability. With global silver supply under pressure and industrial demand, particularly from photovoltaic (PV) cell manufacturing, on the rise, prices are likely to remain firm over the medium term. 

 

The company targets silver production of 800 tonnes per annum (tpa), with output projected to reach 752 tonnes by FY27E, implying a 4.6 per cent CAGR over FY25–27E. Revenues from silver are expected to grow at a 9 per cent CAGR, while earnings before interest and tax (Ebit) contribution rises at a 7.4 per cent CAGR over the same period. Given the company's superior margins and structural demand tailwinds, the silver business is well-positioned to sustain profitability growth and become a core contributor to its earnings expansion. 

 

Analysts at Yes Securities maintain a positive stance on Hindustan Zinc, citing the strong earnings outlook from its high-margin silver segment. 

 

"We continue to value Hindustan Zinc at 11x FY27E EV/Ebitda multiple to arrive at our revised target price of ₹551 per share," the brokerage said.  ALSO READ | Vishal Mega Mart shares jump 5%; hit all time high amid heavy volumes

About Hindustan Zinc

Hindustan Zinc is the world's largest and India's only integrated zinc producer. It is a subsidiary of Vedanta, which owns a 63.42 per cent stake, and the Government of India retains a 27.92 per cent stake. It currently holds around 77 per cent market share in India's primary zinc market. It is among the top five silver producers in the world with an annual capacity of 800 million tonnes. 

 

Hindustan Zinc’s operations comprise lead-zinc mines, hydrometallurgical zinc smelters, lead smelter, pyro metallurgical lead-zinc smelter, as well as sulphuric acid and captive power plants in northwest India. Its total metal production capacity stands at 1.123 metric tonnes. The company has facilities located in five districts of Rajasthan, which include Udaipur, Chittorgarh, Bhilwara, Rajsamand and Ajmer, along with one district of Uttarakhand.