Hindustan Zinc zooms 53% in 2 months; hits 52-week high in weak market

In the past three trading days, the stock price of Hindustan Zinc has rallied 10 per cent after the company reported strong earnings for the quarter ended December 2025.

Hindustan Zinc share price today

 

Share price of Hindustan Zinc hit a fresh 52-week high of ₹699.35, surging 3 per cent on the BSE in Wednesday’s intra-day trade in an otherwise weak market. In comparison, the BSE Sensex was down 0.32 per cent at 81,916 at 10:06 AM.

 

In the past three trading days, the stock price of the zinc manufacturer has rallied 10 per cent after the company reported strong earnings for the third quarter (October to December) of the financial year 2025-26 (Q3FY26).

 

Further, in the past two months, the market price of Hindustan Zinc has appreciated by 53 per cent. The stock had hit a record high of ₹807 on May 22, 2024.

 

 

Hindustan Zinc Q3 performance/outlook

 

Hindustan Zinc reported its highest-ever quarterly revenue and profit after tax (PAT) during the Q3 quarter. The company’s revenue stood at ₹10,980 crore, up 28 per cent quarter-on-quarter (QoQ) and 27 per cent year-on-year (YoY). The growth was driven by favourable commodity prices and volume recovery. PAT stood at ₹3,916 crore, up 48 per cent QoQ and 46 per cent YoY.

 

EBITDA came at ₹6,087 crore (+35 per cent YoY and +36 per cent QoQ), above the analyst’s estimate of ₹5,400 crore during the quarter. EBITDA margin stood at 55.1 per cent in Q3FY26 against 52 per cent in Q2FY26 and 52.2 per cent in Q3FY25. The increase was primarily on account of favourable metal prices and lower cost of production.

 

The management said the quarter marked a record performance, reflecting operational excellence and strong fundamentals with the company achieving its highest-ever third quarter metal production and 5-year lowest quarterly zinc cost of production of $940 per tonne.

 

Hindustan Zinc reiterated its refined metal guidance of 1,075-1,100ktpa and expects to achieve silver output guidance of 680t (±10t) for FY26. For Q4FY26, management anticipates silver volumes to improve QoQ, driven by the resumption of capacity post shutdowns, favourable weather conditions, and operational improvements. The company expects further cost improvement by Q4FY26, supported by higher renewable-energy usage and better ore grades.

 

Brokerages view on Hindustan Zinc 

 

Kunal Kamble, senior technical research analyst at Bonanza has a ‘Buy’ rating on Hindustan Zinc with a target price of ₹817 per share. Analyst recommended buy stock in range of ₹680 with a stop loss at ₹588.

 

Hindustan Zinc is in a strong bullish trend on the daily chart, marked by a sharp series of higher highs and higher lows. The stock is trading well above its 20-EMA, 50-EMA, and 200-EMA, confirming robust medium- and long-term strength. Recent price action shows a bullish continuation breakout above the ₹650–660 resistance zone, supported by strong volume expansion, Kunal Kamble said.

 

Meanwhile, the recently announced expansion plans are aligned with its long-term objective of doubling existing capacity and enhancing long-term earnings visibility. However, near-term earnings growth is likely to remain capped, with LME price inflation emerging as the key catalyst for incremental upside in the near term, according to Motilal Oswal Financial Services. The brokerage firm has reiterated its ‘Neutral’ rating and raised the target to ₹720 from ₹670.

 

The quarter highlights Hindustan Zinc’s operating leverage, with EBITDA margins expanding to 55 per cent on the back of higher realizations, lower zinc CoP, and improving smelter utilization. The rising contribution from silver, now accounting for ~44 per cent of EBIT, continues to provide meaningful earnings support and downside protection in volatile base metal cycles, analysts at Yes Securities said. The brokerage firm has an ‘Add’ rating on stock with a target price of ₹725 per share.  ============================  Disclaimer: View and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers discretion is advised.