Hindustan Zinc joins Rs1 lakh crore market cap club


Hindustan Zinc Ltd on Monday joined the elite club of companies that have seen their market capitalization soar past Rs.1 lakh crore on the exchanges.

At 1:50pm, the Vedanta group firm saw its market capitalisation touch Rs.11,0069.56 crore with its shares trading at a record high of Rs.262.80, up 12.7% from previous close, showed data from BSE.

The stock gained in nine out of 11 trading sessions and rose over 20% in this period. So far this year it has gained 100%.

In June quarter, the company posted a net profit of Rs.1,036.86 crore, down 46.56% from Rs.1940.14 crore a year ago while total income fell 25.46% to Rs.3,140.74 crore.

Of the analysts covering the stock, 20 have a “buy” rating, five have a “hold” rating, while four have a “sell” rating, shows Bloomberg data.

On 5 August, CNBC TV reported that Vedanta may raise offer for government stake in Hindustan Zinc. As of June quarter, Vedanta holds 64.92% stake while government has 29.54% stake in the Hindustan Zinc.

Nearly two-thirds of the 30 BSE Sensex companies have a market capitalization of Rs.1 trillion, while one-third of the are valued at more than Rs.2 trillion, according to data from BSE.

TCS is India’s most valuable company with a market capitalization of Rs.4.75 trillion, followed by RIL and HDFC Bank Ltd atRs.3.55 trillion and Rs.3.27 trillion, respectively.