Hindustan Zinc Share Price Today: Why HINDZINC Is Rallying and What 2026 Could Hold for the Stock

Published: December 1, 2025

Hindustan Zinc Limited (NSE: HINDZINC, BSE: 500188) has kicked off December with a burst of momentum. Around mid‑morning on 1 December 2025, the stock was trading near ₹495 per share, up about 2% intraday and roughly 10% higher over the last five trading sessions. ^[1]

The multibagger mining stock now sits well above its recent lows and is less than 10% below its 52‑week high of around ₹546–₹547, versus a 52‑week low near ₹378. ^[2]

Below is a detailed look at what is driving the latest rally, how the fundamentals stack up, where analysts see the stock going in 2026, and what risks investors need to watch.

Hindustan Zinc share price today (1 December 2025)

Current price: About ₹495 on NSE as of ~10:45 a.m. on 1 December 2025. ^[3]
1‑week move: Up more than 10% over the last five sessions. ^[4]
52‑week range: Low around ₹378, high around ₹546–₹547. ^[5]
Market cap: Roughly ₹2.1 lakh crore, based on the Screener snapshot. ^[6]

Trading activity has been intense. On 1 December 2025, Hindustan Zinc recorded volume of over 4.2 million shares, translating into ~₹210 crore in turnover, making it one of the more actively traded non‑ferrous metal names on the exchanges. ^[7]

Derivatives market: ₹500 strike in the spotlight

The options market is treating ₹500 as a battlefield level:

Call options with ₹500 strike expiring 30 December 2025 have seen thousands of contracts traded, with sizeable open interest building up. ^[8]
At the same time, put options at the same ₹500 strike and December expiry are also among the most active, highlighting hedging and speculative interest on both sides. ^[9]

In simple terms: derivatives traders are clustering around ₹500, suggesting it is a key short‑term pivot. A sustained move above this zone could force further buying; a failure to hold may invite quick profit‑booking.

What’s driving the latest rally?

1. Silver prices and HZL’s “white metal” leverage

Hindustan Zinc isn’t just a zinc and lead producer – it’s also India’s largest primary silver producer and among the top five globally. ^[10]

That matters because:

In October 2025, HZL’s management indicated they expected silver prices to hover around USD 55/oz until December, citing safe‑haven demand and volatility in other asset classes. ^[11]
In September 2025, MCX silver futures with December and March expiries hit fresh record highs around ₹1.28 lakh–₹1.30 lakh per kg, which pushed Hindustan Zinc shares higher on that day as well. ^[12]
On 1 December, Livemint explicitly linked Hindustan Zinc’s 3.2% intraday jump and ~10% five‑session rally to the spike in silver prices and favourable macro cues (weaker rupee, softer dollar). ^[13]

So the current price action is not happening in a vacuum – it is tightly connected to the silver super‑cycle narrative.

2. Solid Q2 FY26 earnings and high margins

For the quarter ended September 2025 (Q2 FY2025‑26), Hindustan Zinc reported:

Revenue: About ₹8,787 crore, up 3–4% year‑on‑year. ^[14]
Net profit: Around ₹2,649 crore, up roughly 14% YoY. ^[15]
Net profit margin: About 30%, with operating margins around the 50% mark on a standalone basis. ^[16]

Despite commodity‑price volatility, the company continues to post very high EBITDA margins, supported by efficient operations and one of the lowest cost structures in the global zinc industry.

Investors like companies that can keep margins fat even when commodity prices wobble. Hindustan Zinc’s September‑quarter numbers reinforced the story that it is more than just a price‑taker.

3. ESG leadership and the “green metals” angle

In November 2025, Hindustan Zinc announced that it had retained its Global No. 1 ranking in the S&P Global Corporate Sustainability Assessment (CSA) 2025 for the metals & mining sector, scoring 90/100 and topping 235 peers worldwide. ^[17]

Highlights from the company’s sustainability profile:

CSA score improved from 86 to 90 year‑on‑year, with top scores in climate strategy, waste & pollutants, and community relations. ^[18]
The company is now 3.32x water‑positive and is targeting 70% renewable power usage by FY28, backed by a 530 MW power delivery agreement. ^[19]
HZL launched EcoZen, branded as Asia’s first low‑carbon “green zinc”, with a lifecycle carbon footprint about 75% below global averages per tonne of zinc. ^[20]

For global funds with strict ESG filters, this kind of ranking isn’t feel‑good fluff – it can directly influence portfolio inclusion and valuation multiples.

4. Big‑ticket growth capex: tailings plant and capacity doubling

The board has approved a series of large projects designed to double production capacity and boost silver output:

10 MTPA tailings reprocessing plant:
- Capex: ₹3,823 crore.
- Location: Rampura Agucha, Rajasthan – the world’s largest underground zinc mining operation.
- Purpose: Recover additional zinc and silver from tailings (waste) while reducing environmental footprint.
- Timeline: Target completion within 28 months from the “zero date”. ^[21]
Broader expansion plan (~₹12,000 crore):
- Includes expanding the Debari smelter capacity by 250 KTPA, taking refined metal capacity to ~1.38 million tonnes over ~36 months, and upgrades across mines and mills. ^[22]
- Once fully implemented, management presentations and ET reporting suggest potential annual revenue in the ₹62,000–65,000 crore range and silver production rising from ~700 tonnes to ~1,500 tonnes. ^[23]
Fertiliser plant: A ₹1,700‑crore phosphatic fertiliser plant in Rajasthan is expected to commence operations by December 2026, adding another leg to the value chain. ^[24]

The market is essentially pricing in not just today’s earnings, but this multi‑year capacity and silver‑leveraged growth story.

5. Dividend yield: cash machine with a metals twist

Hindustan Zinc has long been a dividend powerhouse:

In FY2024‑25, the company declared dividends six times, totalling ₹39 per share. ^[25]
Economic Times’ Dividend Yield Monitor pegged Hindustan Zinc’s yield at about 6.1% at a share price of ₹475 as of mid‑November 2025. ^[26]
BlinkX data shows the dividend yield around 6% as of 1 December 2025, depending on how you measure trailing vs. forward payouts. ^[27]

The Indian government itself has hinted that rich dividends are a reason to go slow on selling its remaining stake: a June 2025 report noted that New Delhi is reassessing the timing of selling its 27.94% holding because consistent dividends have become a lucrative revenue stream. ^[28]

For investors, this mix of commodity upside + high cash payouts is exactly why HZL often appears on “high dividend yield stocks” lists.

Ownership, stake sales and overhangs

Government stake

In late 2024, the government sold 1.6–2.5% of its stake in Hindustan Zinc via an offer‑for‑sale, raising roughly ₹3,400 crore at a floor price around ₹505 per share. ^[29]
After those tranches, the Centre still holds close to 28% in HZL and, as noted earlier, is now re‑evaluating further stake sale plans given the hefty dividend flow. ^[30]

For the stock, this means the overhang of a big government exit exists in theory, but the urgency has dialled down for now.

Vedanta stake sales and deleveraging

The parent company, Vedanta Ltd, also used Hindustan Zinc as an ATM in 2025:

In June 2025, Vedanta sold about 1.6% of HZL through block deals, raising roughly ₹3,000–3,028 crore. ^[31]
The deal was done at a discount to the then‑market price and triggered an immediate 5–7% fall in HZL shares on the day. ^[32]
Reports indicate Vedanta has plans to sell up to ₹7,500 crore worth of HZL shares in total as part of a broader deleveraging strategy. ^[33]

From an HZL shareholder perspective, these stake sales are a double‑edged sword: they add short‑term supply and volatility, but they also reduce promoter leverage risk, which had been a red flag for some institutional investors.

Promoter holding and pledges

Latest shareholding data for September 2025 shows: ^[34]

Promoter holding: ~61.84%.
Public + institutions: ~38.16%, with retail and other non‑institutional investors owning around 32%.
Pledge: Trendlyne data indicates about 9.27% of promoter holdings are pledged, down sharply from levels above 90% earlier in 2025, as highlighted in an Economic Times piece on falling promoter‑pledge ratios. ^[35]

However, some screeners still flag HZL with high pledge metrics (likely based on older data), so investors should cross‑check the latest filings rather than rely on a single dashboard. ^[36]

How are analysts valuing Hindustan Zinc now?

Analyst and model‑based views are mixed, which is exactly what you’d expect after a strong rally in a cyclical stock.

Broader price‑target consensus

TradingView aggregation:
- Average target: ₹493.29
- Range: ₹380 (bearish) to ₹600 (bullish). ^[37]
Trendlyne (9 reports from 3 analysts):
- Average target: ₹510.33
- Implied upside: ~3–5% from the last recorded price in that dataset (₹493.35). ^[38]
TipRanks (1 “Wall Street” analyst):
- Rating: Moderate Sell (effectively a Sell, given only one rating).
- 12‑month target: ₹350, implying around 28% downside from a reference price of ₹485.45. ^[39]
Motilal Oswal (via Moneycontrol):
- Stance: Neutral
- Target: ₹510, with recent reports highlighting strong profitability but limited upside at current valuations. ^[40]

In short: domestic broker consensus is mildly positive/neutral, with modest upside, while at least one international analyst is clearly cautious on valuations and cyclicality.

Valuation vs. “intrinsic value”

Fundamental screeners add another layer:

Smart‑Investing’s intrinsic value model suggests that as of 28 November 2025, HINDZINC was trading at roughly a 34% premium to its estimated median intrinsic value. ^[41]
Screener shows:
- P/E ~20x,
- Price‑to‑book ~15x,
- Dividend yield ~5.8%. ^[42]

Those are rich multiples for a cyclical commodity producer, even one with best‑in‑class margins and ESG credentials. The market is clearly paying for quality + yield + growth projects.

What are traders saying? Technical and short‑term views

Short‑term trading calls around November 2025 have tilted bullish:

Anand Rathi (via Times of India, 12 November 2025):
- Called Hindustan Zinc a buy near ₹480–₹485 with
  - Target: ₹525
  - Stop‑loss: ₹460
  - Time frame: ~90 days.
- The rationale: reversal from the 200‑day exponential moving average (200‑DEMA) and a bullish engulfing candlestick pattern. ^[43]
Choice Broking (via Economic Times “Market Trading Guide”, 13 November 2025):
- Buy at ₹495.20,
  - Target: ₹560 (upside ~13%)
  - Stop‑loss: ₹460.
- Cited strong support near the 200‑day EMA around ₹460 and the need for a decisive breakout above ₹500 trendline resistance to trigger further upside. ^[44]

Now that the stock is hovering right around that ₹495–₹500 zone, the market is effectively testing those call levels in real time.

Key risks to the Hindustan Zinc investment case

Even shiny metals come with sharp edges. For HZL, important risks include:

Commodity cycle reversal
- A sharp correction in zinc, lead or silver prices would directly hit revenue and margins. Recent strength is partly silver‑driven; if safe‑haven demand fades, the earnings tailwind could reverse quickly. ^[45]
Execution and capex risk
- The tailings reprocessing plant, smelter expansions and broader ₹12,000‑crore capex plan must be delivered on time and on budget. Delays, cost overruns, or technical issues would blunt the expected uplift in volumes and returns. ^[46]
Promoter and government stake overhang
- Further stake sales by Vedanta or the Government of India could add supply at any time, especially during price strength, pressuring the share price in the short term. ^[47]
Regulatory and ESG expectations
- Ironically, being ranked No. 1 in global sustainability assessments also sets the bar higher. Any environmental incident, tailings issue, or labour dispute could have an outsized impact on perception and valuation. ^[48]
Valuation compression
- If growth disappoints or the commodity cycle turns, a stock trading at a premium to intrinsic value estimates and to many peers can de‑rate quickly, even if earnings hold steady. ^[49]

Outlook for 2026: What could drive Hindustan Zinc from here?

Putting it all together, Hindustan Zinc’s share price in 2026 is likely to be steered by a tug‑of‑war between fundamentals, valuations, and macro cycles:

Bullish forces
- High‑margin, integrated zinc‑lead‑silver business with strong cash generation. ^[50]
- Capacity‑doubling plans and a powerful silver lever as production ramps toward 1,500 tonnes annually. ^[51]
- Best‑in‑class ESG scores and growing relevance as an “energy transition metals” play. ^[52]
- Attractive dividend yield that can cushion total returns even during sideways price phases. ^[53]
Bearish / cautious forces
- Rich valuations relative to intrinsic value models and at least one prominent Sell‑side target (₹350) signalling downside risk. ^[54]
- Ongoing stake‑sale overhang from both Vedanta and the Government, which can introduce volatility on otherwise quiet days. ^[55]
- Natural cyclicality of base‑metal demand, especially if global growth slows or infrastructure spending decelerates.

Bottom line:

As of 1 December 2025, Hindustan Zinc looks like a quality, high‑cash‑flow metals stock priced for optimism. It combines:

A strong operational franchise
Top‑tier ESG credentials
A hefty dividend trail
But also limited consensus upside after the recent rally, and visible macro and ownership risks.

For income‑seeking, long‑term investors who can stomach commodity swings, it can function as a yield‑plus‑cyclical play. For short‑term traders, the immediate battle lines sit around ₹500, with the derivatives market and technical calls treating that zone as the key breakout or rejection level.