Vedanta Limited (VEDL) AI Stock Analysis

• Market Cap: ₹1.85T
• Dividend Yield: 10.87%
• Average Volume (3M): 653.91K
• Price to Earnings (P/E): 12.7
• Beta (1Y): 1.52
• Revenue Growth: 6.36%
• EPS Growth: 166.78%
• Country: IN
• Employees: 17,526
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): 8.09
• Shares Outstanding: 3,910,388,000
• 10 Day Avg. Volume: 582,681
• 30 Day Avg. Volume: 653,909
• PEG Ratio: 0.05
• Price to Book (P/B): 4.27
• Price to Sales (P/S): 1.17
• P/FCF Ratio: 7.80
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹490.00
• Price Target Upside: 3.38% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 79 Outperform
• Price Target: ₹492.00 ▲(3.80% Upside)

Vedanta Limited's strong financial performance and attractive valuation are the primary drivers of its overall score. The company's solid profitability and high dividend yield make it appealing, though technical indicators suggest cautious optimism due to mixed momentum signals.

Vedanta Limited Business Overview & Revenue Model

Company Description

Vedanta Limited operates as a diversified natural resources company in India. It explores for, develops, extracts, produces, processes, and sells oil and gas, zinc, lead, silver, copper, aluminum, iron ore, steel, pig iron, and metallurgical coke. The company also operates a thermal coal-based commercial power facility of 600 megawatts (MW) at Jharsuguda in the State of Odisha in eastern India; 2 units of 300 MW thermal coal based power plants at Korba; 1,980 MW thermal coal- based commercial power facilities; 274 MW of wind power plants; and a power plant situated at Mettur Dam in the state of Tamil Nadu in southern India. In addition, it manufactures and supplies billets, TMT bars, wire rods, and ductile iron pipes; mechanizes coal handling facilities and upgrades general cargo berth for handling coal at the outer harbor of Visakhapatnam Port on the east coast of India; and provides logistics and other allied services inter alia rendering stevedoring, and other allied services in ports and other allied sectors. Further, the company is involved in manufacturing glass substrates in South Korea and Taiwan. It also operates in Europe, China, the United States, Turkey, Mexico, Malaysia, South Africa, Namibia, Ireland, Australia, Liberia, and the United Arab Emirates. The company was formerly known as Sesa Sterlite Limited and changed its name to Vedanta Limited in March 2015. The company was founded in 1954 and is headquartered in Mumbai, India. Vedanta Limited operates as a subsidiary of Vedanta Resources Limited.

How the Company Makes Money

Vedanta Limited generates revenue through multiple key streams, primarily from the sale of minerals and metals extracted from its mining operations. The company produces zinc, lead, silver, copper, and aluminum, with a significant portion of its revenue coming from the sale of these products in domestic and international markets. Additionally, Vedanta has a robust oil and gas segment, contributing to its earnings through the exploration and production of hydrocarbons. The company's revenue model is supported by long-term contracts and strategic partnerships with various industrial consumers, which help stabilize its cash flows. Fluctuations in global commodity prices, operational efficiencies, and cost management strategies also play a critical role in determining the company's profitability.

Vedanta Limited Financial Statement Overview

Summary

Vedanta Limited demonstrates a solid financial footing with consistent growth across income, balance sheet, and cash flow metrics. Strong profitability and cash generation are evident, though increased leverage and fluctuating cash flow patterns require careful monitoring.

Income Statement

Vedanta Limited has shown strong revenue growth and profitability in recent years. The Gross Profit Margin has been robust with a slight upward trend, and Net Profit Margin has improved significantly, reflecting effective cost management. Revenue growth has been positive, and EBIT and EBITDA margins indicate strong operational performance.

Balance Sheet

The balance sheet reveals a stable financial position with a reasonable Debt-to-Equity Ratio reflecting manageable leverage. Although increasing, the company maintains a healthy Return on Equity, suggesting efficient use of shareholder funds. The Equity Ratio has been declining, indicating a higher reliance on debt financing, which could pose risks if not managed carefully.

Cash Flow

Cash flow analysis highlights strong operational cash flow generation relative to net income, indicating robust cash management. Free Cash Flow has grown consistently, supporting investment and debt servicing. However, fluctuations in investing and financing cash flows suggest variability in capital allocation strategies.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.53T	1.51T	1.42T	1.45T	1.31T	868.63B
Gross Profit	706.72B	791.04B	701.62B	538.89B	614.92B	233.41B
EBITDA	441.57B	480.72B	403.36B	367.19B	466.28B	300.27B
Net Income	145.67B	149.88B	42.39B	105.74B	188.02B	112.88B
Balance Sheet
Total Assets	0.00	2.03T	1.91T	1.95T	1.98T	1.86T
Cash, Cash Equivalents and Short-Term Investments	187.62B	210.54B	174.23B	185.15B	324.95B	330.31B
Total Debt	0.00	751.86B	727.59B	666.28B	535.83B	575.63B
Total Liabilities	-537.53B	1.50T	1.49T	1.46T	1.16T	1.04T
Stockholders Equity	537.53B	412.12B	307.22B	394.23B	653.83B	622.78B
Cash Flow
Free Cash Flow	0.00	225.57B	189.02B	192.78B	243.33B	170.94B
Operating Cash Flow	0.00	395.62B	356.54B	330.65B	349.63B	239.80B
Investing Cash Flow	0.00	-191.90B	-136.86B	-6.93B	-22.53B	-67.50B
Financing Cash Flow	0.00	-192.23B	-260.92B	-341.42B	-289.03B	-175.65B

Vedanta Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 474.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:VEDL, the sentiment is Positive. The current price of 474 is above the 20-day moving average (MA) of 468.01, above the 50-day MA of 446.91, and above the 200-day MA of 424.25, indicating a bullish trend. The MACD of 9.51 indicates Positive momentum. The RSI at 58.19 is Neutral, neither overbought nor oversold. The STOCH value of 55.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:VEDL.

Vedanta Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HINDALCO	81 Outperform	₹1.74T	10.13	―	0.65%	11.70%	57.14%
HINDZINC	79 Outperform	₹2.11T	20.00	―	5.80%	8.90%	20.90%
VEDL	79 Outperform	₹1.85T	12.67	―	10.87%	6.36%	166.78%
JSWSTEEL	73 Outperform	₹2.84T	47.08	―	0.24%	2.14%	20.37%
TATASTEEL	64 Neutral	₹2.15T	47.33	―	2.09%	-3.34%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
JINDALSTEL	57 Neutral	₹1.03T	34.42	―	0.20%	-5.12%	-47.40%