metals

Hindustan Zinc

HINDZINC · Nifty 50

572.55

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

Sector Positionmetals sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score85/100 (STRONG). 2 positive flags, 1 concerns.
Historical Context175 similar technical setups. Average outcome: -8.7% decline. 0% positive.

Fundamental

85/100

STRONG

Trust

95/100

Verification

Coverage

44/100

LIMITED

Quick Take

Hindustan Zinc scores 85/100 on fundamentals (strong). Hindustan Zinc: BROAD EXPANSION regime.

Fundamental Score: 85/100 · STRONG · 0 signals detected

DuPont Analysis

ROE 62.7% broken into three drivers. Each shows how efficiently the company generates returns.

ROE62.7%=
35.7%Net Margin
×
0.9xTurnover
×
1.9xLeverage

ROE of 62.69% is strong efficiency-driven and stable. Net margin of 35.7% × asset turnover of 0.94x × leverage of 1.9x.

What This Means

Net margin of 35.7% means the company keeps ₹35.7 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.94x means the company efficiently uses its assets to generate revenue. Leverage of 1.9x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

73.4%

Operating

49.4%

Net

35.7%

improving

Gross margin 73.4% → operating margin 49.4% → net margin 35.7%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.

Financial Health

Earnings Quality

ADEQUATE

Cash flow covers net income 1.2x — earnings are ADEQUATE quality. Cash conversion is reasonable.

Debt Sustainability

COMFORTABLE

Interest covered 22.5x — very comfortable. Debt service is not a concern. Debt/EBITDA at 0.5x is low — balance sheet has capacity.

Free Cash Flow

STRONG

FCF margin at 29.5% — strong cash generation. Business is self-funding.

Peer Comparison

Hindustan Zinc is compared against 10 peers in the metals sector.

Key Watchpoints

🟢

Breaks above ₹601 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹544 (-5%)

Further downside risk

🟢

Metals sector entering leadership

Sector rotation signal

Risk Flags

🔴 1 Critical2 Positive3 total flags
🔴Cash covers only 3% of current liabilities
Balance Sheet

Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.

Minimal unusual items — clean earnings
Earnings Quality

Profits are from core operations, not one-offs. High quality.

High promoter holding: 84%
Governance

Strong insider alignment. Promoters have significant skin in the game.

⚠️ 1 critical + 0 warning flags. Exercise caution.

Data Quality

95/100All ratios self-computed from verified sources. 🟢 5 years of financial data — sufficient for trend analysis

News Correlation

margin pressure (4)management outlook (4)
⚠️ Our margin analysis (improving) contradicts news reports of margin pressure — investigate

50 articles scanned for fundamental themes

Facts

P/E Ratio
17.1UNAVAILABLE
P/B Ratio
10.5HIGH
Market Cap
₹23657562.8L CrHIGH
From 52W High
78% of high
Sector Peers
10
Hindustan Zinc Stock Analysis, Valuation, Fundamentals & Intelligence | FynSight