Hindustan Zinc Shares Achieve Record Peak, Leading Metals and Mining Sector

Shares of Hindustan Zinc Limited (HZL) soared to their highest ever on Monday, marking a significant milestone for the company. The surge of over 10% in its stock price propelled the company's market capitalisation (mcap) to Rs 2.44 lakh crore, positioning HZL as the most valued entity in the metals and mining sector in India. This achievement places it ahead of industry giants such as Tata Steel, JSW Steel, and Hindalco. By the close of trading on the Bombay Stock Exchange (BSE), HZL's shares had risen by 9.71% to Rs 578.85. The peak during the day was even higher, with shares hitting Rs 585.90, an 11% increase. Similarly, on the National Stock Exchange (NSE), the stock climbed by 10.19% to Rs 579.10, reaching an intra-day high of Rs 586, which is up by 11.51%.

Representative image

The remarkable ascent in HZL's share price is not just a short-term spike but part of a sustained upward trajectory that has seen the stock gain nearly 90% since the start of the financial year 2025 (FY25). This rally has pushed its valuation past the significant Rs 2 lakh crore mark as early as May 10. Analysts attribute this rally partly to a global upturn in the commodities cycle, which has buoyed stocks in this sector.

With this surge in market capitalisation, HZL now ranks among the top 35 companies on India's domestic stock exchanges, a significant leap from its position at 51st at the end of December last year to 34th currently. Additionally, HZL has announced an interim dividend of Rs 10 per equity share for FY25, translating to a payout of Rs 4,225.32 crore, with May 15 set as the record date for dividend distribution.

Hindustan Zinc's performance in FY24 has been noteworthy, with the company reporting its highest-ever annual silver production, marking a year-on-year increase of 5%. This achievement has elevated HZL to become the world's third-largest silver producer. Furthermore, HZL boasts the second-largest zinc reserves and resources globally, contributing to its industry-leading production growth rate and record annual metal production.

The company's CEO, Arun Misra, highlighted FY24 as a year of robust growth across all key metrics - mined metal, refined metal, and silver production reaching historic highs. This success comes against a backdrop of fatality-free operations and amidst market challenges that tested the company's resilience in preserving margins and shareholder value.

Hindustan Zinc Limited's strategic focus on operational excellence and its ability to navigate market fluctuations have solidified its position as a leader in the metals and mining sector. As it continues to set new records in production and market valuation, HZL remains committed to sustainable growth and delivering value to its shareholders.