Hindustan Zinc vs Hindustan Copper: Which Metal Stock To Buy As Commodity Bulls Take Over? Check Target Price

Hindustan Zinc vs Hindustan Copper: An overall bullish sentiment across the metal sector has fuelled the rally in metal stocks like Hindustan Zinc and Hindustan Copper. While silver prices are breaking back-to-back records, copper is also rallying amid strong industrial demand.

Hindustan Zinc shares were trading 0.66% lower at Rs 557.65 per share on BSE with a market capitalisation of Rs 2,35,624.91 crore at 10:48 am on Monday, December 15. Whereas, Hindustan Copper shares were trading 1.37% lower at Rs 377 per share on BSE at 10:50 am. While both metal stocks were trading lower on Monday, they are currently hovering close to their three-week high marks.

Why Hindustan Zinc, Hindustan Copper Shares Are Rising Today?

The record-breaking rally in silver prices over the past few weeks has raised investors attention towards Hindustan Zinc shares. The Vedanta subsidiary is one of the biggest silver producers in India. The rising silver prices will positively impact the revenue growth of Hindustan Zinc.

Apart from silver, copper prices have also surged significantly over the past few weeks. Hence, Hindustan Copper shares are also seeing some buying due to bullish sentiment in the commodities market.

"Global commodity prices are expected to remain broadly benign due to oversupply in the global crude oil market and overcapacity in China. However, several base metals-such as copper, tin, and aluminium-have witnessed sharp price increases, alongside precious metals like gold and silver. However, the rise in prices of these base metals has been counteracted by subdued prices of steel and iron. The Bloomberg Industrial Metals Index rose by roughly 12% YoY in December till date. The surge in base metal prices has been driven by strong industrial demand from the renewable energy and AI sectors, US Fed rate cuts, and expectations of fiscal stimulus in China," stated Rajani Sinha, Chief Economist, CareEdge Ratings on Friday.

Hindustan Zinc Share Price Target

Antique Stock Broking, in its latest report, has given a 'Hold' rating for Hindustan Zinc share price. The brokerage has given a target price of Rs 473 per share indicating a downside of 17% in its valuation.

Hindustan Copper Share Price Target

"Zinc and copper benchmarks have stabilised after recent fluctuations, providing clearer pricing visibility for producers. This has contributed to the sharp move in Hindustan Zinc and Hindustan Copper, both of which benefit directly from rising demand in construction, infrastructure, power transmission and automotive segments. The metals are also seeing favourable inventory trends globally, with tighter supply conditions adding to the upward momentum," explained Kalp Jain, Research Analyst, INVasset PMS. Anand Rathi, in its 18 November report, gave a 'Buy' rating for Hindustan Copper stock with a target price of Rs 450 per share.

Hindustan Zinc vs Hindustan Copper: MCap, ROE, Share Price Trend Comparison

Hindustan Zinc is a subsidiary of metal-to-mining conglomerate Vedanta, and is one of the biggest silver producers in the country. Hindustan Zinc's share price has jumped over 22% in three months.

Miniratna Public Sector Undertaking (PSU) Hindustan Copper Limited is the sole operator of copper mines in India. The PSU operates through a portfolio of seven mines spread across three mining complexes in Jharkhand, Rajasthan, and Madhya Pradesh. Hindustan Copper shares have surged nearly 34% in three months, and their return on equity stands at 23.8%.