Hindustan Zinc Soars as Government Rules Out Stake Sale

Hindustan Zinc shares surged 5.1% to Rs 623 after the government clarified that it was not looking to sell a stake in the company at present, easing concerns of a potential offer for sale (OFS).

The bullish call from Jefferies, which raised its target price on Hindustan Zinc amid stronger zinc and silver prices, provided another positive trigger.

Jefferies maintained its 'Buy' call on Hindustan Zinc and raised its target price to Rs 750 per share, implying an upside of around 27% from Tuesday's closing price.

The brokerage cited a favourable divergence in metal prices, with spot zinc prices around 15% above their June-quarter average and silver having recovered 23% from its July lows.