Hindustan Zinc shares surge 8.5% in three sessions, here is why stock is witnessing buying interest

Shares of Hindustan Zinc, the country's dominant player in production of silver and zinc, rose for a third straight session on Thursday, December 11, on the back of surging silver prices in the international and domestic markets. Hindustan Zinc shares have rallied as much as 8.47% in the last three trading sessions, data from the National Stock Exchange showed.

In intraday deals on Thursday, Hindustan Zinc rose as much as 3.77% to hit high of ₹532 on the NSE. On the BSE, Hindustan Zinc shares climbed as much as 3.8% amid higher than usual trading volumes.

Trading volume in Hindustan Zinc shares spiked to 8.59 lakh shares compared with an average of 3.91 lakh shares traded daily in the past two weeks on the BSE. On the National Stock Exchange trading volume spiked by 2.4 times to 1.68 crore compared with an average trading volume of 69.96 lakh shares.

Why is Hindustan Zinc surging

Analysts say that Hindustan Zinc shares are surging amid heightened volatility in the last three sessions due to rising price of silver in the international and domestic markets.

Silver futures contracts for expiry in March rose as much as 2.5% on the MCX to hit a record high of ₹1,93,452 per kilogram.

The white metal closed at ₹1,80,500 per kg on Tuesday, according to the All India Sarafa Association. The precious metal gained ₹11,500 on Wednesday in the local retail markets.

So far in 2025, silver prices have advanced ₹1,02,300 (114.04%) from ₹89,700 per kg on December 31, 2024. Earlier, such a steep single-day rise in silver price was recorded on October 10, when the white metal rates jumped ₹8,500 to ₹1,71,500 per kg.

Spot silver climbed to a fresh peak on Wednesday, extending gains after surpassing the $60 an ounce mark for the first time on Tuesday. It climbed 1.53% to hit a record high of $61.60 per ounce during the session.

On Tuesday, the white metal gained $2.66 (4.58%) to a lifetime high of $60.82. Over the last two sessions, silver has gained $3.44 (5.91%) after closing at $58.161 per ounce on Monday.

Hindustan Zinc Q2 earnings

Hindustan Zinc reported a 13.83% year-on-year (YoY) surge in its consolidated net profit to ₹2,649 crore in the second quarter of the 2025-26 financial year (Q2FY26).

In the corresponding period last year, the company had clocked a profit of ₹2,327 crore.

The Vedanta-group company witnessed a 3.6% YoY increase in its total revenue from operations, which sat at ₹8,549 crore during the quarter under review, as against ₹8,252 crore in the September quarter of FY25.

At an operational level, the firm's EBITDA (earnings before interest, tax, depreciation, and amortisation), also known as operating profit, stood at ₹4,467 crore, marking its best-ever second-quarter EBITDA. It jumped 7% YoY from ₹4,164 crore in the same quarter of FY25.

As of 12:45 pm, Hindustan Zinc shares traded 1.77% higher at ₹521.70, outperforming the NIFTY NEXT50 index which was up 0.72%.