HSBC initiates on Indian miners Hindalco, NALCO and Tata Steel with 'buy'

Steel Authority of India

20/11/2025 07:29

** Brokerage HSBC begins coverage with mixed ratings on Indian miners

Company
RIC
HSBC initiation ratings
Target Price
Hindalco Industries
HALC.NS
Buy
980 rupees
NALCO
NALU.NS
Buy
291 rupees
Tata Steel
TISC.NS
Buy
215 rupees
Hindustan Zinc
HZNC.NS
Hold
470 rupees
Coal India
COAL.NS
Hold
374 rupees
SAIl
SAIL.NS
Reduce
114 rupees
NMDC
NMDC.NS
Reduce
59 rupees

** Says troubles for HALC's U.S. unit Novelis will likely fade by FY27, India business outlook remains strong

** NALCO's diversified aluminum operations position it well in current demand scenario; its rising coal production will help lower costs - HSBC

** Adds TISC's domestic business "remains very profitable," will benefit from steel price hikes

** Outlook for HZNC's zinc and silver are key positives; lower costs will also aid growth; sees co's valuation as "rich" - HSBC

** Says e-auction premiums for COAL to remain under pressure as auctioned coal block supply is high

** Adds that SAIL's new capex programme will likely drive debt higher, while earnings to remain range-bound over FY26-28

** HSBC sees global iron prices under pressure due to lower Chinese steel production, while local prices to remain range-bound - key negatives for NMDC

 (Reporting by Manvi Pant in Bengaluru)

 ((Manvi.Pant@thomsonreuters.com; +918447554364;))