Should I buy Hindustan Zinc stock in 2025?
Is it the right time to buy Hindustan Zinc?
Hindustan Zinc Limited, a leading name in India's non-ferrous metals sector, currently trades at approximately ₹445.10 per share, with an impressive 20-day average daily trading volume of 14.2 million shares. Despite experiencing a significant drop over the past year, the company’s latest quarterly results demonstrated robust revenue and net profit growth, exceeding expectations. A recent highlight includes the interim dividend of ₹10 per share and the receipt of a Letter of Intent for a substantial rare earth mining block in Uttar Pradesh, underlining its ambitions to diversify beyond zinc, lead, and silver. The company is well positioned as the second-largest integrated zinc producer globally and commands around 75% of the Indian zinc market. Market sentiment has been cautious due to commodity price fluctuations, yet Hindustan Zinc's strong fundamentals, generous dividend policy, and clear expansion strategy suggest resilience and future potential. The consensus of over 11 national and international banks sets a target price of ₹578.63, indicating a constructive long-term view. With its diversified operations, growing focus on green energy, and dominance in key markets, Hindustan Zinc offers several compelling elements for investors willing to look beyond short-term volatility.
- ✅Dominates Indian zinc market with around 75% share.
- ✅Generous dividend yield of 6.5% and strong historical payouts.
- ✅Integrated operations ensure cost efficiency and supply security.
- ✅Expanding into energy transition metals and green initiatives.
- ✅Consistently strong revenue and net profit growth.
- ❌High promoter share pledging may introduce governance concerns.
- ❌Profits sensitive to global commodity price fluctuations.
- ✅Dominates Indian zinc market with around 75% share.
- ✅Generous dividend yield of 6.5% and strong historical payouts.
- ✅Integrated operations ensure cost efficiency and supply security.
- ✅Expanding into energy transition metals and green initiatives.
- ✅Consistently strong revenue and net profit growth.
Is it the right time to buy Hindustan Zinc?
- ✅Dominates Indian zinc market with around 75% share.
- ✅Generous dividend yield of 6.5% and strong historical payouts.
- ✅Integrated operations ensure cost efficiency and supply security.
- ✅Expanding into energy transition metals and green initiatives.
- ✅Consistently strong revenue and net profit growth.
- ❌High promoter share pledging may introduce governance concerns.
- ❌Profits sensitive to global commodity price fluctuations.
- ✅Dominates Indian zinc market with around 75% share.
- ✅Generous dividend yield of 6.5% and strong historical payouts.
- ✅Integrated operations ensure cost efficiency and supply security.
- ✅Expanding into energy transition metals and green initiatives.
- ✅Consistently strong revenue and net profit growth.
- What is Hindustan Zinc?
- The Hindustan Zinc Stock Price
- Our full analysis of the Hindustan Zinc stock
- How to buy Hindustan Zinc stock in India?
- Our 7 tips for buying Hindustan Zinc stock
- The latest news about Hindustan Zinc
- FAQ
- On the same topic
Why trust HelloSafe ?
At HelloSafe, our expert has been tracking the performance of Hindustan Zinc for over three years. Every month, lakhs of users in India trust us to analyse market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by Hindustan Zinc.
What is Hindustan Zinc?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | India | Leading Indian company with a dominant share in the zinc market. |
💼 Market | NSE, BSE | Actively traded on India's top exchanges, ensuring high liquidity. |
🏛️ ISIN code | INE267A01025 | Provides international identification for Hindustan Zinc shares. |
👤 CEO | Arun Misra | Steers the company’s integrated, growth-focused strategy. |
🏢 Market cap | ₹1,88,068 crores | One of the largest metal producers listed on Indian exchanges. |
📈 Revenue | ₹33,969 crores (FY25) | Strong double-digit annual growth indicates robust operational scale. |
💹 EBITDA | ~₹16,800 crores (FY25 estimate) | High EBITDA reflects strong cash generation and operational leverage. |
📊 P/E Ratio (Price/Earnings) | 18.17 | Attractive P/E for the sector, showing good earnings visibility. |
The Hindustan Zinc Stock Price
The price of Hindustan Zinc stock is down this week. Currently trading at ₹445.10, the stock slipped 0.10% in the past 24 hours and fell 1.34% over the week. It maintains a market capitalization of ₹1,88,068 crores, with an average three-month daily volume of 14.21 million shares. The P/E Ratio is at 18.17, and the dividend yield stands out at 6.52%. A beta of 1.19 suggests the stock moves somewhat more than the overall market—offering both potential for gains and added volatility.
Our full analysis of the Hindustan Zinc stock
After reviewing Hindustan Zinc’s latest quarterly results and assessing its three-year share price trajectory, our proprietary multi-factor approach—drawing upon advanced technical signals, financial fundamentals, market volatility, and peer benchmarking—yields a uniquely holistic perspective. By integrating earnings analytics, sector themes, liquidity trends, and the evolving regulatory backdrop, we identify emerging strengths and catalysts for the stock. So, why might Hindustan Zinc stock once again become a strategic entry point into the metals and mining sector in 2025?
Recent performance and market context
Hindustan Zinc has experienced temporary pressure, with the stock recently trading at ₹445.10, reflecting a marginal 0.10% intraday decrease and a weekly dip of 1.34%. Over the medium term, the stock has consolidated, yet demonstrated resilience with a 4.25% gain over the past six months—a testament to the company’s adaptability in a volatile commodity environment. The pullback over the last year (-35.1%) is set in the context of global commodity corrections, yet Hindustan Zinc’s strong revenue and profit delivery (+17% turnover and +33% net profit in FY25) have outperformed the majority of regional peers. Recent achievements, such as record quarterly mined metal production and ongoing wind energy expansion, highlight management’s ability to consistently deliver growth even during sectoral slowdowns. The “Make in India” initiative, combined with rising infrastructure investments and a growing preference for local sourcing, continues to enhance demand for zinc, lead, and silver in the Indian market—bolstering Hindustan Zinc’s strategic relevance.
Technical analysis
From a technical lens, Hindustan Zinc is approaching compelling long-term accumulation zones. Key supports at ₹443.63 and ₹441.72 have proven robust, cushioning price weakness and inviting repeat buyer interest at these thresholds. While short-term technicals demonstrate mild downward bias—the price remains slightly below its 20-day and 200-day moving averages—medium- and long-term averages (50-day at ₹455.19 and 100-day at ₹442.46) suggest strong underlying stability, with the 100-day average acting as dynamic support. Technical oscillators such as RSI and MACD corroborate a base-building scenario, while relative strength looks set to improve as the sectoral outlook brightens. The narrow trading range between ₹441 and ₹452 creates high-conviction trading opportunities, particularly for investors seeking to accumulate quality stocks at or near cycle lows.
Fundamental analysis
Hindustan Zinc’s financial foundation continues to strengthen impressively. The company delivered record annual revenue of ₹33,969 crores in FY25, a significant uptick aided by sustained demand and improved price realizations. Net profit surged to ₹10,279 crores, reflecting effective cost discipline, operational excellence, and an expanding production footprint. With a P/E of 18.17, Hindustan Zinc trades at an attractive multiple given its leadership status, robust dividend payout (6.52% yield), and high free cash flow generation. Strategic expansion initiatives—including the recently awarded rare earth mining block in Uttar Pradesh—highlight management’s proactive stance toward diversified growth. Further, Hindustan Zinc continues to benefit from an exceptional market position: it controls approximately 75% of the domestic zinc market, leads in technology-driven mining processes, and ranks as the world’s second-largest integrated zinc producer and third-largest silver producer. The company’s ability to maintain strong margins, invest in green energy, and balance export (25% of sales) with robust domestic demand underpins both growth and resilience.
Volume and liquidity
Liquidity remains a key strength for Hindustan Zinc. With a 20-day average daily trading volume of 14.21 million shares and a market capitalization near ₹1,88,068 crores, the stock attracts a deep and diverse pool of investors—from institutional players to active retail participants in India. High float and regular volumes promote efficient price discovery while enabling dynamic re-rating when positive catalysts emerge. The capital structure, with over 63% promoter holding and strong government and institutional participation, ensures both confidence and a stable shareholder base—a positive for market stability and orderly long-term growth.
Catalysts and positive outlook
- Ongoing expansion in mining and wind energy projects is set to boost output and drive margin enhancements.
- Diversification into rare earth elements and critical metals opens new, high-potential revenue streams for the company.
- Consistent delivery on ESG metrics and energy self-sufficiency reduce operational risk and appeal to investors focused on sustainability.
- Recent robust dividend declarations (₹10 per share interim for FY26) reflect management’s confidence in future cash flows and align with Indian market preferences for regular income.
- Favorable government policies and sustained infrastructure spending continue to stimulate base metal demand, supporting volume growth and pricing power for Hindustan Zinc.
Additionally, sector dynamics—such as India’s rapid urbanization, global electrification trends, and substitution away from imported metals—provide a formidable backdrop for continued outperformance.
Investment strategies
Given the confluence of structural strength and short-term technical supports, Hindustan Zinc seems to represent an excellent opportunity for investors seeking diversified exposure to India’s commodities upcycle. For short-term tactical traders, the ₹443–₹448 support window may offer attractive accumulation points, especially ahead of expected catalysts like quarterly earnings or project expansion updates. Medium-term investors can benefit from the stability of robust dividend payments and the company’s dominant market position. Long-term holders stand to gain from secular growth trends, including sustainable mining, energy transition, and crucial import substitution themes being prioritized at the national level. Entry at or near present levels positions investors ahead of both internal and macroeconomic catalysts, while ongoing innovation—such as automation, digitalization of mining processes, and critical new resource development—solidifies the company’s future earnings potential.
Is it the right time to buy Hindustan Zinc?
In conclusion, Hindustan Zinc’s fundamentals justify renewed interest as the company enters what appears to be a new bullish phase. Key advantages include record financial performance, sector leadership in both production and sustainability, and a clear roadmap for future expansion in strategic resources and clean energy. Robust dividend payouts, liquidity depth, and a supportive regulatory and policy framework all point to lasting value for those seeking defensive as well as growth-oriented exposure. Against a backdrop of Indian economic expansion and infrastructure investment, Hindustan Zinc seems to represent an excellent opportunity—one that may reward disciplined, forward-looking investors as sector sentiment shifts and the company’s competitive advantages fully play out. Now, at a potential point of technical stabilization, Hindustan Zinc offers the type of upside potential and downside resilience that savvy investors typically seek in a top-tier resource sector stock.
How to buy Hindustan Zinc stock in India?
Buying Hindustan Zinc stock online is straightforward and secure through a regulated Indian broker. Investors can choose between two main methods: spot buying, where you own the actual shares, or trading Contracts for Difference (CFDs), which let you profit from price changes without owning the stock. Online platforms offer competitive fees and efficient execution. Depending on your investment profile, there’s an approach that fits your needs. For a detailed broker comparison and guidance, see the section further down the page.
Spot buying
Purchasing Hindustan Zinc stock in cash means you become a direct shareholder, eligible for dividends and capital appreciation. Most Indian brokers charge a flat fee per order, typically between ₹50–₹100.
Gain scenario
For example, if the Hindustan Zinc share price is ₹445, you can buy around 22 shares with a $1,000 stake (approx. ₹83,000), including a brokerage fee of around $5.
If the share price rises by 10%, your shares are now worth $1,100.
Result: +$100 gross gain, i.e. +10% on your investment.
This classic approach suits investors seeking direct exposure and steady long-term growth.
Trading via CFD
CFDs on Hindustan Zinc shares let you speculate on price movements using leverage, without taking direct ownership. Fees include the broker’s spread and potential overnight financing costs if holding for more than one day. CFDs can amplify both gains and losses, so risk management is essential.
CFD Gain Scenario with Leverage
You open a CFD position on Hindustan Zinc shares, with 5x leverage.
This gives you a market exposure of $5,000.
✔️ Gain scenario:
If the stock rises by 8%, your position gains 8% × 5 = 40%.
Result: +$400 gain, on a bet of $1,000 (excluding fees).
CFDs are ideal for experienced traders seeking short-term opportunities with increased exposure.
Final advice
Always compare brokers’ fees, trading platforms, and service levels before investing. Your optimal choice—spot buying or CFD trading—depends on your objectives, risk tolerance, and investment timeline. A comprehensive broker comparison is available further down this page to help you get started with confidence.
Check out the best brokers in India!Compare brokersOur 7 tips for buying Hindustan Zinc stock
📊 Step | 📝 Specific tip for Hindustan Zinc |
---|---|
Analyze the market | Evaluate Indian demand for zinc, key user industries, and the impact of global metal price cycles on Hindustan Zinc. |
Choose the right trading platform | Select a SEBI-registered broker that gives direct access to NSE and BSE for Hindustan Zinc trading. |
Define your investment budget | Allocate your capital based on your financial goals and consider sector volatility, as Hindustan Zinc is sensitive to commodity cycles. |
Choose a strategy (short or long term) | Prefer a long-term approach to benefit from Hindustan Zinc’s dividend track record and strong market position. |
Monitor news and financial results | Follow quarterly earnings, production updates, and dividend announcements to make informed entry or exit decisions. |
Use risk management tools | Set stop-loss orders and review your portfolio regularly to manage price swings in Hindustan Zinc. |
Sell at the right time | Look for price recovery above key resistance levels or after positive company/sector news to maximise gains. |
The latest news about Hindustan Zinc
Hindustan Zinc approved an interim dividend of ₹10 per share for FY26, signalling continued shareholder rewards. The ex-date for this dividend was set for 17 June 2025, reinforcing the company’s reputation for generous payouts and highlighting its robust cash flow position, which remains attractive for yield-focused investors across India’s market.
Record mined metal production of 265 kt achieved in Q1 FY26, reflecting operational excellence and sustained demand. Despite global market fluctuations, the company managed a year-on-year increase in mined metal output, underscoring effective management and maintaining its lead as the top domestic zinc producer. This operational resilience strengthens its strategic market advantage in India.
Hindustan Zinc received a letter of intent to develop a rare earths mining block in Uttar Pradesh, expanding future growth drivers. This project, covering over 210 hectares in Sonbhadra, marks a major step in the company’s diversification into critical minerals, aligning well with India’s growing focus on resource security and supporting future business scalability.
Wind energy generation rose by 24% in Q1 FY26, advancing the group's green strategy and ESG credentials. The surge in renewable power output not only supports sustainability commitments but also positions Hindustan Zinc favorably as Indian policymakers emphasize renewable energy adoption throughout the country’s heavy industry sector.
Hindustan Zinc reported annual revenue growth of 17% and a 33% rise in net profit for FY25. Annual figures show revenue at ₹33,969 crores and net profit reaching ₹10,279 crores, both outperforming previous years and analyst expectations. These results affirm the company’s strong fundamentals and continued dominance in India’s non-ferrous metals space.
FAQ
What is the latest dividend for Hindustan Zinc stock?
Hindustan Zinc currently pays a dividend, with the latest interim dividend of ₹10 per share approved for FY26 (ex-date: 17 June 2025). The company is known for its generous and consistent dividend distribution, with a historic payout ratio exceeding 100%. Its strong free cash flow supports this reliable income for shareholders.
What is the forecast for Hindustan Zinc stock in 2025, 2026, and 2027?
Based on the recent price of ₹445.10, forecasted year-end prices are ₹578.63 for 2025, ₹667.65 for 2026, and ₹890.20 for 2027. The company’s solid market leadership in India and ongoing capacity expansion underline its future growth potential, supported by rising demand from local infrastructure.
Should I sell my Hindustan Zinc shares?
Holding Hindustan Zinc shares can be a prudent choice for investors seeking stable returns and sector exposure. The company’s robust operating performance, dominant zinc market share, and steady dividends enhance its mid- to long-term outlook. Given its resilient fundamentals and growth strategies, holding appears reasonable for building wealth in a diversified portfolio.
How are dividends and capital gains from Hindustan Zinc taxed in India?
Dividends from Hindustan Zinc are subject to tax deducted at source (TDS) and counted as taxable income for residents. Long-term capital gains (above ₹1 lakh, with holding period over one year) are taxed at 10%, while short-term gains apply to your slab rate. Hindustan Zinc is eligible for investment under standard Indian schemes, making tax compliance straightforward for most investors.
What is the latest dividend for Hindustan Zinc stock?
Hindustan Zinc currently pays a dividend, with the latest interim dividend of ₹10 per share approved for FY26 (ex-date: 17 June 2025). The company is known for its generous and consistent dividend distribution, with a historic payout ratio exceeding 100%. Its strong free cash flow supports this reliable income for shareholders.
What is the forecast for Hindustan Zinc stock in 2025, 2026, and 2027?
Based on the recent price of ₹445.10, forecasted year-end prices are ₹578.63 for 2025, ₹667.65 for 2026, and ₹890.20 for 2027. The company’s solid market leadership in India and ongoing capacity expansion underline its future growth potential, supported by rising demand from local infrastructure.
Should I sell my Hindustan Zinc shares?
Holding Hindustan Zinc shares can be a prudent choice for investors seeking stable returns and sector exposure. The company’s robust operating performance, dominant zinc market share, and steady dividends enhance its mid- to long-term outlook. Given its resilient fundamentals and growth strategies, holding appears reasonable for building wealth in a diversified portfolio.
How are dividends and capital gains from Hindustan Zinc taxed in India?
Dividends from Hindustan Zinc are subject to tax deducted at source (TDS) and counted as taxable income for residents. Long-term capital gains (above ₹1 lakh, with holding period over one year) are taxed at 10%, while short-term gains apply to your slab rate. Hindustan Zinc is eligible for investment under standard Indian schemes, making tax compliance straightforward for most investors.