Hindustan Zinc Share Price at ₹479.45, Slips 0.62% Amid Financial Challenges

Hindustan Zinc, a leading player in India’s non-ferrous metals industry, has recently seen its share price adjust to ₹479.45 as of October 01, 2025, 13:04:39 IST on the NSE. The stock slipped 0.62% during intraday trade, reflecting ongoing financial challenges faced by the company. 

This movement comes in the wake of the company’s Q1 FY 25-26 results, which highlighted a slowdown in key financial metrics and raised concerns about long-term growth prospects.

Quarterly Performance Shows Decline

The latest financial update from Hindustan Zinc reveals a Profit After Tax (PAT) of ₹2,234.00 crore for Q1 FY25-26. While the company remains profitable, this figure represents a decline of 14.2% compared to its previous four-quarter average. Net sales have also slipped to ₹7,771.00 crore, and the PBDIT stood at ₹3,859.00 crore, marking the lowest levels recorded in recent quarters.

This decline in profitability and sales has contributed to the recent softening in the share price, reflecting investor caution in response to the company’s financial performance. Despite the slowdown, Hindustan Zinc continues to maintain its position as the largest company in its sector, commanding a market capitalisation of ₹2,03,851 crore and holding a 46.48% share of the industry.

Long-Term Growth and Operating Profit Trends

Although Hindustan Zinc’s one-year return shows a negative 7.63%, the company has posted an overall profit increase of 26.6%. However, the operating profit has experienced a five-year contraction of -2.83% annually, raising questions about sustained growth in the longer term.

The company’s return on capital employed (ROCE) remains notably high at 91.9%, indicating strong efficiency in generating returns from its capital base. Additionally, its enterprise value to capital employed ratio stands at 13.7, reflecting a premium valuation relative to peers in the non-ferrous metals sector.

Promoter Share Pledging Adds Pressure

Another factor contributing to market concern is the high proportion of pledged promoter shares, which currently account for 92.26% of total promoter holdings. This level of pledging may exert additional pressure on the stock, particularly in a declining market scenario, and is closely monitored by investors as a potential risk factor.

Hindustan Zinc Share Price Movement

On 01 October 2025, Hindustan Zinc’s shares opened at ₹485.10, reached a high of ₹488.55, and traded at a low of ₹475.10 during the session. The stock’s volume-weighted average price (VWAP) for the day was ₹482.84. As of October 01, 2025, 13:04:39 IST Hindustan Zinc share price stood at ₹479.45 on the NSE. 

Despite minor intraday volatility, the stock remains a key benchmark in the non-ferrous metals segment due to its significant market share and industry influence.

Read more: IREDA Share Price Rises After 86% Growth in Loan Sanctions in Q2 FY26

Conclusion

Hindustan Zinc’s share price movement and recent financial results highlight a period of cautious investor sentiment. While the company remains a major player in the non-ferrous metals sector, declines in PAT, net sales, and operating profit, alongside a high proportion of pledged promoter shares, contribute to a measured outlook. 

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