Copper prices have shown wide fluctuations since the start of calendar year 2026, on account of the Middle East crisis and fears of a slowdown in demand from user industries.
The above trend has brought increased attention of readers to the valuations of government-controlled Kolkata-based Hindustan Copper, one of the only pure-play domestic companies focused on copper mining and producing related copper products.
Hindustan Copper ended Friday’s trade 2.2% higher at Rs 510, and it had reached a 52-week high of Rs 759 on 29 January, 2026.
Hindustan Copper trades at a consolidated P/E of 49.9 times, according to Screener.in.
In contrast, the leading global producers of copper like Australia-based BHP Group, USA-based Freeport-McMoRan and USA-based Southern Copper Corporation trade at valuations much lower than Hindustan Copper (view table below).
Valuations of Hindustan Copper versus global players
| Copper producers | P/E (x) |
| Hindustan Copper | 49.9 |
| BHP Group | 22.0 |
| Freeport-McMoRan | 36.2 |
| Southern Copper Corporation | 31.9 |
For perspective on the level of over-valuation of the Hindustan Copper stock as compared to its global counterparts, we looked at comparative production volumes.
Hindustan Copper has not given its production data for FY26, and in its annual report for FY25, the company has highlighted ore production of 34.74 lakh in FY25, a fall of nearly 8% y-o-y.
With regard to products, metal in concentrate production of 25,241 tonnes in FY25, a fall of nearly 8% y-o-y, while CC wire rod – tolling production of 15,218 tonnes, a fall of 45% y-o-y during that financial year.
The above production highlights the very small scale of copper mining and finished copper products made in the country. India has very limited copper ore reserves, contributing about 0.2% of world copper reserves.
Mine production in the country is only 0.12% of the world’s production, whereas refined copper production is about 2% of world’s production. As a result, India imports 98% of its copper needs
Meanwhile, Australia-based BHP Group, one of the biggest miners and producers of copper products worldwide, its production of this non-ferrous metal for the nine-months ended 31 March, 2026, was 1.46 million tonnes, a decline of 3% y-o-y basis.
And Hindustan Copper trades at nearly 127% premium to the BHP Group.
Fluctuations in international copper prices
On the London Metal Exchange, the global hub for trading of copper, there has been wide fluctuations in prices of this non-ferrous metal. For instance, copper prices were at nearly $ 5.75 per 0.45 kg at the start of the current calendar year, and weakened to $ 5.35 on 20 March 2026.
Copper prices peaked at $ 6.64 in early June 2026, and they ended Friday’s trade at $6.41.
Copper Prices YTD
Demand for copper on a global basis has been driven by a shift towards clean energy technology, digital infrastructure, electric mobility, AI data centres and advanced manufacturing sectors, amongst other industries.
Hindustan Copper’s performance in the March 2026 quarter
Hindustan Copper has not given its production and sales volumes for Q4FY26 and for FY26. Also, the Kolkata-based PSU has not yet published its annual report for FY26.
Its consolidated revenue from operations for the March 2026 quarter grew 58.1% y-o-y to Rs 1,156.1 crore, and net profit grew 137.4% y-o-y to Rs 444 crore in the quarter.
For FY26, Hindustan Copper’s consolidated net profit grew 97% y-o-y to Rs 920.7 crore.
Expansion plans of Hindustan Copper
Hindustan Copper in late April 2026, as part of its ‘Vision 2030’ had announced a capital expenditure of Rs 7,188.6 crore up to FY30.
This would result in its ore production reaching 12.2 million tonnes by FY30, and its net profit would reach Rs 1,568 crore in FY30, from Rs 920.7 crore in FY26.
Assuming the company reaches its FY30 targets and there is also no dilution in its equity capital, the stock would trade FY30 earnings at a P/E of 16.
Production trends at Hindustan Copper
| FY24 | FY25 | |
| Ore (lakh tonnes) | 37.8 | 34.7 |
| Metal in concentrate (tonnes) | 27,404 | 25,241 |
| CC Wire rod – tolling production (tonnes) | 27,833 | 15,218 |
No doubt, Hindustan Copper is attempting to scale up its mining activities and production of finished copper products over the next few years. However, it will still only be a small fraction of the production volumes of global heavyweights like BHP Group and Freeport-McMoRan.
Valuations – do they make sense?
Copper prices, like other metals, tend to be very volatile and they respond almost instantly to any changes in the growth outlook of the global economy. Demand for copper from user industries like clean energy and AI data centres is expected to remain strong over the next few years.
However, Hindustan Copper trades at a P/E 49.9, and the future growth over the next few years has already been factored in.
Disclaimer:
Amriteshwar Mathur is a financial journalist with over 20 years of experience.
The writer and his family have no shareholding in any of the stocks mentioned in the article.
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