SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : Hindustan Copper Ltd

BSE: 513599 NSE: HINDCOPPER ISIN: INE531E01026
  |   Sector:  Metals & Mining   |   Industry:  Metal - Non Ferrous

Snapshot

Q.1 Which industry/sub-sector does Hindustan Copper Ltd belong to?
Hindustan Copper Ltd belongs to the Metals & Mining sector, operating specifically within the Metal - Non Ferrous segment.
Q.2 Is Hindustan Copper Ltd a good quality company?
Hindustan Copper Ltd is a average quality company, based on a somewhat consistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is Hindustan Copper Ltd undervalued or overvalued?
Hindustan Copper Ltd appears Overvalued, as its key valuation ratios are higher than their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios Current 5-year
Historic Median
Price to Earnings 82.48 57.41
Price to Book 17.5 9.66
Price to Sales 20.74 9.13
EV to EBITDA 50.32 29.17
Q.4 Is Hindustan Copper Ltd a good buy now?
Hindustan Copper Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of Hindustan Copper Ltd?
Hindustan Copper Ltd revenue growth is 20.6% for FY-2025, which is in line with its 5-year CAGR of 20.01%, indicating stable growth.

Q.2 Gross Profit margin of Hindustan Copper Ltd?
Hindustan Copper Ltd Gross profit margin which is the profit after deduction of direct costs, is 39.1% for FY-2025, which is above its 5-year median of 34%, indicating increasing margins.

Q.3 Operating Profit Margin of Hindustan Copper Ltd?
Hindustan Copper Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 35.67% for FY-2025, which is above its 5-year median of 29.92% indicating increasing margins.

Q.4 Net Profit Margin of Hindustan Copper Ltd?
Hindustan Copper Ltd Net Profit Margin is 22.62% for FY-2025, is above its 5-year median of 17.61%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 39.1 34
Operating Profit Margin (%) 35.67 29.92
Net Profit Margin (%) 22.62 17.61

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Hindustan Copper Ltd?
Hindustan Copper Ltd Return on Asset is 13.05%, which is above its 5-year historical median of 9.91%, indicating improved asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of Hindustan Copper Ltd?
Hindustan Copper Ltd Return on capital employed is 24.03% for FY-2025, which is above its 5-year historical median of 18.12%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 13.5%, indicating value creation.

Q.7 Return on Equity (ROE) of Hindustan Copper Ltd?
Hindustan Copper Ltd Return on equity is 18.93% for FY-2025, which is above its 5-year historical median of 14.79%, indicating the business is making better use of its shareholders capital.

Q.8 Cash conversion cycle of Hindustan Copper Ltd?
Hindustan Copper Ltd Cash conversion cycle is 48 days, above its 5-year historical median of 32 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level 5-year
Historic Median
Asset Turnover (x) 0.58 0.58
ROE (%) 18.93 14.79
ROCE (%) 24.03 18.12
Cash Conversion Cycle 48 days 32 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of Hindustan Copper Ltd?
Hindustan Copper Ltd Debt-to-Equity ratio is 0.06, which is lower the industry average of 0.39, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of Hindustan Copper Ltd?
Hindustan Copper Ltd Debt to cash flow from operations is 0.31, which is at a healthy level.

Ownership & governance

D: Promoter shareholding and pledge status of Hindustan Copper Ltd?

Q.1 Promoter shareholding and pledge status of Hindustan Copper Ltd?
Promoters hold 66.14% of the Hindustan Copper Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does Hindustan Copper Ltd performance compare with that of its Peers?

Q.1 Revenue growth of Hindustan Copper Ltd vs industry peers?
Hindustan Copper Ltd revenue CAGR is 20.01%, compared to the industry median CAGR of 20.01%, indicating stable growth and maintaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 20.6 20
Gross Profit Growth (%) 38.3 -
Operating Profit Growth (%) 35.1 -
Net Profit Growth (%) 59 -
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 0.58 0.58
ROE (%) 18.93 14.79
ROCE (%) 24.03 18.12
Cash Conversion Cycle (days) 47.66 32

Valuation & price assessment

Q.1 Stock return of Hindustan Copper Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 27.2% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
27.2% 27% 75.2% 177.4%
Q.2 Valuation ratios of Hindustan Copper Ltd vs historical?
The current P/E ratio of 82.48 is higher than its historical median of 57.41, indicating that the stock is trading above its historical average valuation.
Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?
Valuation Ratios Current 5-year
Historic Median
5-year
Industry Median
Price to Earnings 82.48 57.41 27.16
Price to Book 17.5 9.66 2.29
Price to Sales 20.74 9.13 0.62
EV to EBITDA 50.32 29.17 12.16

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×