Investment Shastra

Company Shastra – Hindustan Zinc Ltd

Hindustan Zinc Ltd. (HZL), a Sterlite Group company, is India’s largest and world’s second largest integrated zinc-lead producer. It has about 90% production share and around 80% market share in the domestic market. HZL is also the only lead producer in India. It is one of the lowest cost zinc producers in the world. It is a backward integrated company with its captive mines, supplying 100% of its concentrate requirement. Its operations span through the entire value chain – right from lead and zinc ore mining to smelting and refining. HZL has an exclusive control over lead and zinc production in the country thus giving it a competitive advantage.

  • So, how does this advantage help Hindustan Zinc to remain a class apart?
  • At its current price, what should be your investment decision?

Team-MoneyWorks4me

1 comment

Search

Archives

MoneyWorks4ME

  • @sanjaysoni_k9 Hi. You're right. It can be in Fixed Income products. For simplicity sake assumed just 12% return and booked annually.
  • @hemanthd1981 Hi. Thanks. I thought of simplifying. Hence avoided brokerage/tax/asset class.