Hindustan Zinc Zooms 7%; Driven by Q4 Beat and Silver Rally

Mumbai, April 27: Monday was a classic momentum day for Hindustan Zinc, with the stock powering higher in large almost continuous blocks starting from market open and continuing throughout noon trades.

The intraday price chart speaks volumes after briefly dipping to an intra-day low of around ₹597 around 9:15 am, the stock regained losses quickly to cross ₹610, ₹615 and ₹620 levels by around noon, hit ₹625 around 11:15 am and moved up further to reach an intra-day high of around ₹630 by 12:30 pm, witnessing strong buoyancy that continued into the afternoon as well.

Price last traded at ₹629.75, up ₹41.25 or 7.01% from the previous close of ₹588.50 on April 26 Friday a textbook grind higher based on strength and conviction with very little give-through through the day.

Weekly View

The one-week price chart exhibits a sharp-pointed spike-and-dips pattern. Hindustan Zinc opened the week around ₹589 on April 20 before trading largely flat at ₹588 on April 21 drifting sideways with very little conviction. On April 22, however, it jumped sharply to hit a weekly high of around ₹605 possibly on expectations from results and the strong silver price move. April 23 and 24 witnessed selling interest bring it down again to ₹592 and ₹589 respectively before Monday’s rally took it beyond the prior week’s high by a wide margin, making the last-one-week return of 6.54% comfortably larger than Nifty Next 50’s gain of 0.66% during the period.

Order Book

Depth of Book or order book as of the last check revealed a strong sell-to-buy skew 59.72% of the aggregate order quantity on the buy-side (10,07,218 shares) versus 40.28% on the sell-side (6,79,468 shares) signalling strong buyer demand outstripping sellers at current price levels. The top bid stood at ₹629.20 for 60 shares, while the top available ask was at ₹629.40 for 1,710 shares a very narrow spread of ₹0.20 between them, suggesting healthy order book depth and strong market-maker activity as well. Following bid levels at ₹629.10 for 245 shares, ₹629.05 for 1,600 shares and ₹629.00 for a large lot of 15,029 shares suggest thick buy walls stacked below the current price as well. The skewness of buy quantity versus sell quantity and the volume of bids placed below current price suggest that dips are likely to be bought into quickly, and that the market is currently dominated by buyers.

Beat Estimates in Q4

On April 24, Hindustan Zinc reported consolidated earnings for Q4 FY26. The miner beat street estimates with a standalone net profit of ₹4,997 crore, up 68% year-on-year from ₹2,976 crore in Q4 FY25 helped by a runaway rally in silver prices that reached $75 per ounce during the quarter more than doubling from $33 reported in the year-ago period. Silver alone contributed just over half of the total segment profit of ₹6,750 crore for the quarter, underscoring how dramatically the metal’s performance has transformed Hindustan Zinc’s earnings profile. Standalone revenue soared 49% to ₹13,488 crore in the current quarter from ₹9,041 crore in Q4 FY25, while on a consolidated basis revenue rose 44% to ₹12,692 crore with net profit surging 68%. The Board also declared an interim dividend of ₹11 per share a further sweetener that reinforced investor confidence and added fuel to Monday’s powerful rally.

Source:

• NSE