Copper Rally Lifts Hindustan Copper Shares 20% in 15 Sessions

Hindustan Copper shares have rebounded by 20% in just 15 trading sessions, and analysts point to higher international copper prices as a key driver of this uptrend. With significant ore reserves, the company is well-positioned for growth, especially considering that domestic demand may double in the next decade due to rising copper prices and expanding applications.

Brokerage firm Anand Rathi expects Hindustan Copper to benefit from the recent rally in copper prices, supported by the company's dollar-denominated LME-linked revenue and a weaker Indian rupee. The brokerage noted that the company is poised for growth beyond its targeted 12.2 million tonnes of ore production.

The current supply crunch in the global copper market is being fueled by a surge in shipments to the U.S. in anticipation of potential import tariffs, as well as tightness in China. This has led to stockpiles across the LME's global warehousing network shrinking by almost half since mid-May.