HFCL shares delivered their strongest single-day performance since May, surging 9% on December 31, 2025, as the stock transitioned out of the Futures & Options segment. The rally marked a significant development for the telecom equipment company, though it comes against the backdrop of a challenging year for shareholders.

Trading Activity and F&O Exit

The stock experienced exceptional trading activity on December 31, with volumes reaching unprecedented levels. Market data shows the following trading pattern:

HFCL joined three other companies—NCC, Titagarh Rail, and Cyient—in being excluded from the F&O segment. Starting from the December 31 trading session, HFCL shares will only be available for trading in the cash market, eliminating futures and options contracts for the stock.

2025 Performance Challenges

Despite Wednesday's surge, HFCL has faced significant headwinds throughout 2025. The stock's annual performance presents a stark contrast to recent gains:

The 40% decline in 2025 represents HFCL's worst calendar year performance since 2008, when the stock plummeted 78%. Historical data reveals a pattern of volatility, with the company experiencing negative returns in multiple years including 2011-2013 (three consecutive years), 2016, 2018, 2019, and 2022.

Technical Analysis and Current Levels

From a technical perspective, HFCL shares continue to face resistance from key moving averages. The stock remains below its 50-day moving average, positioned at ₹71.00. Current trading levels show:

Market Outlook

The exit from F&O trading represents a significant structural change for HFCL, potentially affecting liquidity and trading patterns going forward. With the stock trading at ₹69.00 following the 8.7% gain on December 31, shares have nearly returned to levels last observed toward the end of 2022, effectively erasing gains from the previous two positive years.

The removal from F&O segment, while creating Wednesday's surge, reflects underlying concerns about the stock's volatility and market positioning. Investors will be monitoring whether the cash-only trading environment provides more stability for the telecom equipment manufacturer in the coming period.

HFCL Limited witnessed substantial institutional trading activity with a significant block trade executed on the National Stock Exchange (NSE). The transaction represents a notable movement in the telecom equipment company's shares.

Block Trade Details

The block trade involved a substantial volume of shares with specific pricing parameters that highlight the scale of the transaction.

Market Significance

Block trades typically represent large institutional transactions that occur outside the regular market trading mechanism. These transactions often involve mutual funds, insurance companies, foreign institutional investors, or other large stakeholders making significant portfolio adjustments.

The execution of this block trade at ₹64.60 per share indicates the price level at which institutional investors were willing to transact in HFCL shares. Such transactions can provide insights into institutional sentiment and major shareholding changes in the company.

Company Context

HFCL Limited operates in the telecom equipment and infrastructure services sector, positioning itself as a key player in India's telecommunications industry. The company's shares have attracted institutional attention, as evidenced by this significant block trade activity involving 30.38 lakh shares worth ₹19.62 crores.