HFCL Q4FY26 rally: profit turns, stock jumps 98% in month

HFCL back in focus after a fast one-month run-up

HFCL Ltd has moved into the spotlight after a steep run in its share price, supported by a turnaround in Q4FY26 earnings and a steady stream of optical fibre cable (OFC) order announcements. The stock has nearly doubled over the past month, and recent sessions have seen strong follow-through buying. Market attention has also been shaped by the broader shift towards telecom infrastructure, fibre connectivity, and 5G-linked businesses.

While HFCL has been the core momentum counter in this basket, the session also saw action across other names in the market. Multi Commodity Exchange (MCX) shares surged more than 3% to a record high, while Steel Authority of India (SAIL) rallied sharply amid a derivative-led short squeeze. Separately, gold financiers such as Manappuram Finance, Muthoot Finance and IIFL Finance rose after the government raised the import duty on gold to 15%, lifting domestic gold prices.

HFCL share price: latest levels and day move

HFCL’s share price was reported at ₹148.45, after moving up 4.73% from its previous close of ₹141.75. In another update during the same rally phase, HFCL was also seen hitting an intraday high of ₹146.79 after rising as much as 3.7% in a session. The stock also touched a fresh 52-week high of ₹147.20 on the NSE during a five-session winning streak.

The pace of gains has been notable. HFCL surged from nearly ₹82 to around ₹153 in roughly one month, translating into a gain of nearly 87% during the period. In the same broader window, the counter has been described as up nearly 98% over the past one month.

Q4FY26 earnings: from loss to profit

A key trigger behind the move has been HFCL’s Q4FY26 performance, which was described as a major turnaround. The company returned to profitability, and reports highlighted a sharp jump in both revenue and profit.

For the March quarter of FY2026, HFCL’s consolidated net profit was reported at ₹178.50 crore, compared with a loss of ₹81.44 crore in the year-ago period. Profit also rose 82% sequentially from ₹97.62 crore in the previous quarter. Separately, another update described the quarter as delivering HFCL’s “highest-ever consolidated profit” of ₹184.45 crore.

Revenue jump in Q4 and improved business mix

The top line performance in the quarter was also strong. Net sales were reported at ₹1,824.12 crore in March 2026, a 127.8% increase from ₹800.72 crore in the corresponding quarter last year. Sequentially, revenue rose nearly 51% from ₹1,210.79 crore.

HFCL attributed the improvement in financial performance to a favourable shift in revenue mix towards products, a rising share of exports, and improved realisations in high fibre-count OFC. The company’s profitability and operating margins were described as improving sharply in FY26, a factor that helped sentiment.

A separate performance snapshot noted that HFCL’s annual revenue growth of 21.64% outperformed its 3-year CAGR of 1.52%.

Fresh orders: domestic OFC deal and export wins

Order flow has been a consistent theme through the rally.

On May 4, HFCL informed exchanges that it, along with subsidiary HTL Limited, secured purchase orders worth ₹84.23 crore from a leading private telecom operator for supplying OFC. Execution is expected by August 2026.

Investor sentiment also improved after HFCL announced export orders worth around $19.3 million (approximately ₹184 crore) for OFC supplies to international customers, with execution also expected by August 2026.

In another earlier update focused on HTL Limited, the subsidiary was reported to have secured domestic orders worth ₹1,366 crore for OFC supply. HFCL also entered into a five-year supply agreement with a global multinational corporation, valued at a potential $1.10 billion (approximately ₹10,159 crore), to supply high-fibre-count OFC through its overseas wholly-owned subsidiary.

Order book visibility: sharp step-up in reported backlog

HFCL’s reported order book levels have been another anchor for the rerating narrative. One update stated HFCL recorded its highest-ever order book of ₹21,206 crore, more than double the ₹9,967 crore reported at the end of FY2025.

Separately, an earlier data point put HFCL’s order book at ₹11,125 crore as of December 31, 2025. The company has also been described as benefiting from “strong order book visibility,” which has supported momentum buying.

Why the telecom infrastructure theme is supporting HFCL

HFCL’s rally has been framed as part of a broader move towards telecom infrastructure and fibre manufacturing, alongside optimism on India’s 5G and broadband expansion. The sector tailwinds cited include rapid 5G rollout, rising mobile data consumption, BharatNet broadband expansion, growth in AI data traffic, and increasing fibre network requirements.

Trading activity in HFCL has also been described as rising sharply in recent sessions, pointing to strong participation from retail and institutional investors.

Technical picture: overbought signals alongside strong trend

Despite strong gains, technical indicators have started to signal overheating. HFCL’s RSI-14 was reported at 91, well above the 80 mark often considered strongly overbought, suggesting the possibility of near-term pullback or profit booking.

At the same time, bullish trend signals were also highlighted, with the stock trading above all eight key simple moving averages (SMAs). In one instance, HFCL shares saw a 2% dip after a significant 92% surge in a month, attributed to profit booking. Even after that, the stock was reported to be up nearly 147% year-to-date.

Timeline snapshots: April breakout and volume spikes

HFCL’s late-April move was marked by multiple 52-week highs and unusually strong trading activity. Reported milestones included:

• 27 Apr: New 52-week high of ₹107.88 with exceptional volume surge; close at ₹106.75 (up 6.51%)
• 28 Apr: Reached ₹108.76 52-week high amid mixed price action
• 30 Apr: Intraday surge to ₹112.80 and a new 52-week high of ₹109.51; traded value near ₹199 crore; close at ₹116.04 (up 8.24%)

The stock’s 15.77% weekly gain during this period was also noted as far ahead of the Sensex’s 0.47% rise.

Key numbers at a glance

Wider market context: MCX, SAIL, gold financiers, Vodafone Idea

HFCL’s move came alongside several sharp stock-specific rallies in the market.

MCX shares rose more than 3% to a record high, extending gains after strong Q4 results and rising gold and silver prices. SAIL shares surged 19% in two sessions, including a 14% jump on Wednesday, as a heavy build-up of bearish derivative positions triggered a short squeeze.

Gold financiers including Manappuram Finance, Muthoot Finance and IIFL Finance rallied after the government raised the import duty on gold to 15%, pushing domestic gold prices higher. Vodafone Idea shares were reported to have surged 30% in a month, supported by a reduction in AGR dues and the return of Kumar Mangalam Birla as chairman, along with reports of Vodafone Plc considering a share transfer.

Conclusion

HFCL’s sharp rerating has been driven by a combination of Q4FY26 earnings turnaround, a steep jump in quarterly revenue, and multiple OFC order announcements across domestic and export markets. Alongside improved order book visibility, the stock’s rapid gains have also pushed technical indicators into strongly overbought territory, keeping near-term volatility in focus. The next key checkpoints for investors, based on the company’s disclosures, include order execution progress through August 2026 and any further updates on telecom and export-led order inflows.