Hindustan Zinc share price: Should you buy, sell or hold the stock post Q3? Check targets

Hindustan Zinc has caught the eye of brokerages following its third-quarter performance, with analysts projecting a potential upside of up to 16 per cent on the counter. The optimism stems from a potent combination of operational efficiencies, record-low production costs, and a glittering outlook for silver prices.

At last check on Tuesday, shares of Hindustan Zinc edged up 0.22 per cent to Rs 662.65 against its previous close of Rs 661.20 on the BSE. The counter has gained nearly 49 per cent in the last six months.

Systematix Institutional Equities pointed out that the Zinc CoP fell to USD 940 per tonne, marking the lowest in 5 years. This 9.7 per cent year-on-year decline was attributed to operational efficiency and lower power costs, facilitated by higher domestic coal usage & softened coal prices.

Beyond zinc, analysts are heavily betting on the company’s silver portfolio to drive future earnings. Systematix maintained a ‘Buy’ rating with a target price of Rs 755, emphasising that silver has experienced sharp surge through 2025.

The Systematix highlighted silver's unique position, noting its dual role as a precious and industrial metal has supported the rally, particularly due to demand from the photovoltaic (solar) and EV sectors. 

They believe Hindustan Zinc stands to immensely benefit from commodity price tailwinds, helping offset any near-term volume fluctuations.

JM Financial has revised its earnings estimates upwards, lifting its target price to Rs 770 from Rs 600, citing margins supported by higher prices; outlook optimistic. 

JM Financial highlighted that while renewable energy currently contributes about 20 per cent to the total power requirement, the company expects this to jump to 70% in FY28 leading to cost savings of Rs 250-300 crore per year.

Systematix also noted that the company’s strong balance sheet and supportive silver outlook underpin our view for a higher valuation multiple.

Meanwhile, Nuvama maintained 'Reduce' call but raised its target price to Rs 591 from Rs 448 earlier.