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Last Updated on: 27 February, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Hindustan Zinc Ltd

About the Company - Hindustan Zinc Ltd

Hindustan Zinc Ltd. is a Public Limited Listed company incorporated on 10/01/1966 and has its registered office in the State of Rajasthan, India. Company’s Corporate Identification Number(CIN) is L27204RJ1966PLC001208 and registration number is 001208. Currently company belongs to the Industry of Metals - Non Ferrous - Zinc/Zinc Alloys - Products. Company’s Total Operating Revenue is Rs. 29440.00 Cr. and Equity Capital is Rs. 845.00 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Metals - Non Ferrous - Zinc/Zinc Alloys - ProductsYashad Bhawan, Yashadgarh, Udaipur Rajasthan 313004Hzl.ir@vedanta.co.in
http://www.hzlindia.com
Management
NamePosition Held
Ms. Priya Agarwal HebbarChairman, Non Ind & Non Exe Director
Mr. Arun MisraWholeTime Director & CEO
Mr. Akhilesh JoshiIndependent Director
Mr. Anjani Kumar AgrawalIndependent Director
Mr. Kannan RamamirthamIndependent Director
Dr. Veena Kumari DermalNon Exe. & Nominee Director
Mr. Navin AgarwalNon Exe. & Nominee Director
Ms. Farida M NaikNon Exe. & Nominee Director
Mrs. Nirupama KotruNon Exe. & Nominee Director

Hindustan Zinc Ltd. Share Price Update

Share PriceValue
Today₹312.80
Previous Day₹314.45

Basic Stock Data of Hindustan Zinc Ltd

Market Cap 1,31,260 Cr.
Current Price 311
High / Low344/290
Stock P/E15.8
Book Value 32.4
Dividend Yield24.3 %
ROCE50.4 %
ROE44.5 %
Face Value 2.00

Data Source: screener.in

Hindustan Zinc Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales5,6606,0336,9476,5316,1227,9908,7979,3878,3367,8668,5097,2826,792
Expenses2,7082,7643,0722,9732,7873,6203,8344,2493,9284,1594,2503,9343,653
Operating Profit2,9523,2693,8753,5583,3354,3704,9635,1384,4083,7074,2593,3483,139
OPM %52%54%56%54%54%55%56%55%53%47%50%46%46%
Other Income390450295215311279277310367349356287231
Interest6813513192825066445162176218232
Depreciation652639696658702741816731798807928801825
Profit before tax2,6222,9453,3433,0232,8623,8584,3584,6733,9263,1873,5112,6162,313
Tax %26%25%26%34%30%30%33%34%32%32%26%25%25%
Net Profit1,9402,2002,4811,9832,0172,7012,9293,0932,6812,1572,5891,9701,737
EPS in Rs4.595.215.874.694.776.396.937.326.355.106.134.664.11

Hindustan Zinc Ltd Quarterly Chart

Hindustan Zinc Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales11,40512,70013,63614,78814,18117,27322,08221,11818,56122,62929,44034,09830,449
Expenses5,3366,1726,7177,3387,9237,5349,81210,4489,69110,95713,21416,57715,996
Operating Profit6,0696,5286,9197,4506,2589,73912,27010,6708,87011,67216,22617,52114,453
OPM %53%51%51%50%44%56%56%51%48%52%55%51%47%
Other Income1,5001,9661,8812,7883,1272,4741,9561,7821,9111,8191,0821,3731,223
Interest1427452417202246113112386290333688
Depreciation6116477856447451,8111,4831,8832,2792,5312,9173,2643,361
Profit before tax6,9457,8207,9709,5708,62310,20012,49710,4568,39010,57414,10115,29711,627
Tax %20%12%13%15%5%18%26%24%19%25%32%31%
Net Profit5,5266,8996,9058,1788,1758,3169,2767,9566,8057,9809,63010,5208,453
EPS in Rs13.0816.3316.3419.3519.3519.6821.9518.8316.1118.8922.7924.9020.00
Dividend Payout %18%19%21%23%144%149%36%106%102%113%79%303%

Hindustan Zinc Ltd Profit & Loss Yearly Chart

Hindustan Zinc Ltd Growth

Compounded Sales Growth
10 Years:10%
5 Years:9%
3 Years:22%
TTM:-13%
Compounded Profit Growth
10 Years:6%
5 Years:4%
3 Years:16%
TTM:-23%
Stock Price CAGR
10 Years:10%
5 Years:4%
3 Years:1%
1 Year:-2%
Return on Equity
10 Years:23%
5 Years:26%
3 Years:30%
Last Year:44%

Hindustan Zinc Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital845845845845845845845845845845845845845
Reserves26,03631,43136,57342,50836,54029,96035,08732,76039,46531,46833,43712,09712,833
Borrowings000007,90802,5386117,2012,84411,88111,541
Other Liabilities2,6033,1904,2595,63915,81013,0827,0006,3156,0546,2137,54510,63110,117
Total Liabilities29,48535,46541,67748,99253,19551,79542,93242,45846,97545,72744,67135,45435,336
Fixed Assets8,5138,4849,1479,44610,3859,99311,30214,77816,46916,80817,39617,62018,547
CWIP4451,0821,5412,0052,4283,0713,2202,2542,4891,9222,0752,1071,250
Investments12,69514,54022,50627,25435,22123,78320,22219,48820,32912,95715,05210,10711,074
Other Assets7,83211,3608,48210,2885,16114,9488,1885,9387,68814,04010,1485,6204,465
Total Assets29,48535,46541,67748,99253,19551,79542,93242,45846,97545,72744,67135,45435,336

Hindustan Zinc Ltd Reserves and Borrowings Chart

Hindustan Zinc Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 4,4924,7855,4715,5316,4517,5889,8008,7816,62110,56712,69115,133
Cash from Investing Activity -3,499-3,269-3,955-3,807-3,23612,0072,396-1,092-2,648-2,4358466,558
Cash from Financing Activity -1,242-1,255-1,577-1,902-3,214-11,266-18,612-9,630-2,098-9,697-12,258-23,224
Net Cash Flow-248261-62-17818,329-6,416-1,9411,875-1,5651,279-1,533

Hindustan Zinc Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days1112111633337794
Inventory Days620
Days Payable225
Cash Conversion Cycle11407111633337794
Working Capital Days711-1-14-347-208-67-54-44-56-27-37
ROCE %26%23%20%25%20%26%33%28%22%26%37%50%

Hindustan Zinc Ltd Financial Efficiency Indicators Chart

Hindustan Zinc Ltd Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters64.92%64.92%64.92%64.92%64.92%64.92%64.92%64.92%64.92%64.92%64.92%64.92%
FIIs1.10%0.96%0.83%0.70%0.79%0.86%0.81%0.87%0.80%0.81%0.75%0.69%
DIIs2.55%2.63%2.74%2.90%2.95%2.95%2.95%3.03%2.94%2.95%2.98%2.97%
Government29.59%29.58%29.58%29.58%29.58%29.58%29.54%29.54%29.54%29.54%29.54%29.54%
Public1.83%1.91%1.93%1.90%1.76%1.69%1.78%1.65%1.79%1.77%1.81%1.88%
No. of Shareholders1,71,7652,12,4282,14,6262,55,9572,65,5782,72,2353,03,3892,86,1583,21,0163,42,5393,75,8334,01,985

Hindustan Zinc Ltd Shareholding Pattern Chart

No. of Hindustan Zinc Ltd Shareholders

Hindustan Zinc Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
DSP Natural Resources and New Energy Fund5482912.2316.2
Motilal Oswal Nifty Midcap 150 Index Fund1179770.343.49
DSP Nifty Midcap 150 Quality 50 Index1105661.823.27
Nippon India ETF Nifty Midcap 1501066340.343.15
Nippon India Nifty Midcap 150 Index Fund988860.342.92
Edelweiss Large Cap Fund830270.442.45
Edelweiss Large Cap Fund - Plan B830270.442.45
Edelweiss Large Cap Fund - Plan C830270.442.45
Mirae Asset Nifty Midcap 150 ETF592250.341.75
LIC MF Dividend Yield Fund511751.741.51

Hindustan Zinc Ltd ROCE Trend

Hindustan Zinc Ltd EPS Trend

Hindustan Zinc Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21
FaceValue2.002.002.00
Basic EPS (Rs.)24.8822.7918.89
Diluted EPS (Rs.)24.8822.7918.89
Cash EPS (Rs.)32.6029.6924.88
Book Value[Excl.RevalReserv]/Share (Rs.)30.6181.1476.48
Book Value[Incl.RevalReserv]/Share (Rs.)30.6181.1476.48
Revenue From Operations / Share (Rs.)80.7169.6853.56
PBDIT / Share (Rs.)44.7041.2831.93
PBIT / Share (Rs.)36.9734.3825.94
PBT / Share (Rs.)36.1833.3725.03
Net Profit / Share (Rs.)24.8822.7918.89
NP After MI And SOA / Share (Rs.)24.8822.7918.89
PBDIT Margin (%)55.3859.2459.61
PBIT Margin (%)45.8149.3348.43
PBT Margin (%)44.8347.8946.72
Net Profit Margin (%)30.8232.7035.26
NP After MI And SOA Margin (%)30.8232.7035.26
Return on Networth / Equity (%)81.2728.0824.69
Return on Capital Employeed (%)86.7137.6528.95
Return On Assets (%)29.6321.5517.45
Long Term Debt / Equity (X)0.110.060.13
Total Debt / Equity (X)0.910.080.22
Asset Turnover Ratio (%)0.850.000.48
Current Ratio (X)0.843.943.12
Quick Ratio (X)0.743.612.94
Dividend Payout Ratio (NP) (%)303.5078.990.00
Dividend Payout Ratio (CP) (%)231.5860.620.00
Earning Retention Ratio (%)-203.5021.010.00
Cash Earning Retention Ratio (%)-131.5839.380.00
Interest Coverage Ratio (X)56.7160.1434.95
Interest Coverage Ratio (Post Tax) (X)32.5634.6721.67
Enterprise Value (Cr.)134390.50127908.25113083.00
EV / Net Operating Revenue (X)3.944.345.00
EV / EBITDA (X)7.127.338.38
MarketCap / Net Operating Revenue (X)3.644.445.09
Retention Ratios (%)-203.5021.000.00
Price / BV (X)9.593.823.57
Price / Net Operating Revenue (X)3.644.445.09
EarningsYield0.080.070.06

Hindustan Zinc Ltd Profitability Ratios (%)

Hindustan Zinc Ltd Liquidity Ratios

Hindustan Zinc Ltd Liquidity Ratios (%)

Hindustan Zinc Ltd Interest Coverage Ratios (%)

Hindustan Zinc Ltd Valuation Ratios

Fair Value of Hindustan Zinc Ltd Stock

Fair Value: ₹283.16

The stock is overvalued by 8.95% compared to the current price ₹311

*Investments are subject to market risks

Strength and Weakness of Hindustan Zinc Ltd Stock

StrengthWeakness
  1. The stock has a high average ROCE of 28.00%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -69.75, which is a positive sign.
  3. The company has higher reserves (30,784.23 cr) compared to borrowings (3,424.92 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (19.77 cr) and profit (9.77 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 32.43 and average Dividend Yield of 47.86%.
  2. The stock has a high average Cash Conversion Cycle of 40.33, which may not be favorable.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Hindustan Zinc Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE