HFCL, Sterlite Tech shares jump 5%: What's driving the stks?
Shares of optical fibre manufacturers HFCL and Sterlite Technologies jumped 5% each to hit the upper circuit on Tuesday, extending sharp gains as strong business updates boosted investor sentiment for the two multibagger stocks.
HFCL shares remained locked in the 5% upper circuit at Rs 255.16 apiece on NSE. The stock has rallied more than 267% in 2026 so far, even as the broader Nifty 500 index has dropped 3%. The shares of the company have jumped 7% in one week and 22% in a month.
Sterlite Tech’s returns are even more impressive, as the stock has delivered a whopping 705% return in 2026 so far. The stock which remained locked in the 5% upper circuit at Rs 825.60 apiece on NSE on Tuesday morning, has jumped over 29% in a month and 19% in a week.
Also read | HFCL's FY26 order book surges 113% to Rs 21,206 crore
Why are HFCL shares rallying?
HFCL on Saturday released its annual report for FY26, reporting a sharp expansion in its order book and strong financial performance. The company’s FY26 order book stood at Rs 21,206 crore, marking a sharp 113% year-on-year increase and signalling robust business momentum across its key segments.
The annual report also highlighted strong growth across HFCL’s financials. Its revenue from operations increased nearly 22% year-on-year to Rs 4,949 crore, while EBITDA surged more than 63% YoY to Rs 827 crore. Profit after tax sharply surged more than 90% YoY to Rs 329 crore, while earnings per share (EPS) rose 73% YoY to Rs 2.13, reflecting the company’s improved profitability during the year.
HFCL shares have hit the 5% upper circuit for the third consecutive session today. The company has a market capitalisation of around Rs 38,695 crore.
Why are Sterlite Tech shares rallying?
Sterlite Technologies last week outlined its long-term growth plans, including a target of becoming one of the top five players globally in optical connectivity solutions and achieving revenue of Rs 20,000 crore by FY29.
Also read | Sterlite Tech targets Rs 20,000 crore revenue by FY29 amid booming AI demand
The company identified optical TAM expansion, customer co-development, integrated connectivity solutions and tech-led differentiation as key growth drivers. It also plans to expand its capacity to 1.5 times to support the next phase of growth.
The company has also approved a Rs 3,000 crore capital expenditure plan to expand capacity at its existing manufacturing facility. The proposed expansion will increase its existing installed manufacturing capacity by approximately 50%, with the additional capacity expected to be operational by the end of FY29.
Sterlite Tech shares have also hit the 5% upper circuit for the third consecutive session today. The company has a market capitalisation of more than Rs 42,428 crore.
Disclosure: "This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The EconomicTimes Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment."
HFCL shares remained locked in the 5% upper circuit at Rs 255.16 apiece on NSE. The stock has rallied more than 267% in 2026 so far, even as the broader Nifty 500 index has dropped 3%. The shares of the company have jumped 7% in one week and 22% in a month.
Sterlite Tech’s returns are even more impressive, as the stock has delivered a whopping 705% return in 2026 so far. The stock which remained locked in the 5% upper circuit at Rs 825.60 apiece on NSE on Tuesday morning, has jumped over 29% in a month and 19% in a week.
Also read | HFCL's FY26 order book surges 113% to Rs 21,206 crore
Why are HFCL shares rallying?
HFCL on Saturday released its annual report for FY26, reporting a sharp expansion in its order book and strong financial performance. The company’s FY26 order book stood at Rs 21,206 crore, marking a sharp 113% year-on-year increase and signalling robust business momentum across its key segments.
The annual report also highlighted strong growth across HFCL’s financials. Its revenue from operations increased nearly 22% year-on-year to Rs 4,949 crore, while EBITDA surged more than 63% YoY to Rs 827 crore. Profit after tax sharply surged more than 90% YoY to Rs 329 crore, while earnings per share (EPS) rose 73% YoY to Rs 2.13, reflecting the company’s improved profitability during the year.
HFCL shares have hit the 5% upper circuit for the third consecutive session today. The company has a market capitalisation of around Rs 38,695 crore.
Why are Sterlite Tech shares rallying?
Sterlite Technologies last week outlined its long-term growth plans, including a target of becoming one of the top five players globally in optical connectivity solutions and achieving revenue of Rs 20,000 crore by FY29.
Also read | Sterlite Tech targets Rs 20,000 crore revenue by FY29 amid booming AI demand
The company identified optical TAM expansion, customer co-development, integrated connectivity solutions and tech-led differentiation as key growth drivers. It also plans to expand its capacity to 1.5 times to support the next phase of growth.
The company has also approved a Rs 3,000 crore capital expenditure plan to expand capacity at its existing manufacturing facility. The proposed expansion will increase its existing installed manufacturing capacity by approximately 50%, with the additional capacity expected to be operational by the end of FY29.
Sterlite Tech shares have also hit the 5% upper circuit for the third consecutive session today. The company has a market capitalisation of more than Rs 42,428 crore.
Disclosure: "This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The EconomicTimes Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment."
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