Vedanta Limited (IN:VEDL)
:VEDL
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Vedanta Limited
(VEDL)
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Rating:78Outperform
Price Target:
₹778.00
▲(26.38% Upside)
Action:ReiteratedDate:01/31/26
The score is driven primarily by strong underlying financial performance (profitability and cash generation) and a clear technical uptrend (price above all major moving averages with positive MACD). Valuation is supported by a high dividend yield, but the P/E is moderate, keeping the overall score in the high-70s rather than higher.
Positive Factors
Diversified commodity portfolio
Broad exposure across metals, oil & gas, steel and power provides structural revenue diversification and vertical integration benefits (captive power, smelting). This reduces single-commodity dependence and enables capturing by-product value, supporting stability across cycles.
Negative Factors
Rising leverage and declining equity ratio
A declining equity ratio and rising leverage increase refinancing and interest-rate exposure, reducing financial flexibility. In commodity downturns this elevates solvency and liquidity risk and limits the company's ability to invest or cushion operating volatility over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified commodity portfolio
Broad exposure across metals, oil & gas, steel and power provides structural revenue diversification and vertical integration benefits (captive power, smelting). This reduces single-commodity dependence and enables capturing by-product value, supporting stability across cycles.
Read all positive factors
Vedanta Limited (VEDL) vs. iShares MSCI India ETF (INDA)
Market Cap
₹2.56T
Dividend Yield8.78%
Average Volume (3M)653.91K
Price to Earnings (P/E)10.3
Beta (1Y)1.32
Revenue Growth8.87%
EPS Growth2.25%
CountryIN
Employees17,526
SectorBasic Materials
Sector Strength58
IndustryIndustrial Materials
Share Statistics
EPS (TTM)14.51
Shares Outstanding3,910,388,000
10 Day Avg. Volume582,681
30 Day Avg. Volume653,909
Financial Highlights & Ratios
PEG Ratio0.05
Price to Book (P/B)4.30
Price to Sales (P/S)1.17
P/FCF Ratio7.86
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
₹735.50Price Target Upside19.48% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)73.78
Revenue Forecast (FY)₹1.95T
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....
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 r...
Vedanta Limited Financial Statement Overview
Summary
Income Statement
85
Very Positive
Balance Sheet
75
Positive
Cash Flow
80
Positive
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.56T | 1.51T | 1.42T | 1.46T | 1.32T | 871.66B |
| Gross Profit | 734.05B | 752.54B | 701.62B | 669.65B | 719.34B | 471.31B |
| EBITDA | 422.32B | 423.11B | 356.27B | 351.66B | 451.42B | 274.07B |
| Net Income | 120.13B | 149.88B | 42.39B | 105.74B | 188.02B | 116.02B |
Balance Sheet | ||||||
| Total Assets | 2.17T | 2.03T | 1.91T | 1.95T | 1.98T | 1.86T |
| Cash, Cash Equivalents and Short-Term Investments | 218.59B | 210.54B | 174.23B | 185.15B | 324.95B | 330.31B |
| Total Debt | 1.03T | 751.86B | 727.59B | 666.28B | 535.83B | 575.63B |
| Total Liabilities | 1.62T | 1.50T | 1.49T | 1.46T | 1.16T | 1.04T |
| Stockholders Equity | 401.44B | 412.12B | 307.22B | 394.23B | 653.83B | 622.78B |
Cash Flow | ||||||
| Free Cash Flow | 59.71B | 225.57B | 189.02B | 192.78B | 243.33B | 170.94B |
| Operating Cash Flow | 162.26B | 395.62B | 356.54B | 330.65B | 349.63B | 239.80B |
| Investing Cash Flow | -104.99B | -191.90B | -136.86B | -6.93B | -22.53B | -67.50B |
| Financing Cash Flow | -50.94B | -192.23B | -260.92B | -341.42B | -289.03B | -175.65B |
Vedanta Limited Technical Analysis
Positive
615.60
Price Trends
678.46
Negative
611.01
Positive
524.41
Positive
Market Momentum
-7.85
Positive
45.12
Neutral
27.58
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 615.6 is below the 20-day moving average (MA) of 680.16, below the 50-day MA of 678.46, and above the 200-day MA of 524.41, indicating a neutral trend. The MACD of -7.85 indicates Positive momentum. The RSI at 45.12 is Neutral, neither overbought nor oversold. The STOCH value of 27.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:VEDL.
Vedanta Limited Risk Analysis
Vedanta Limited disclosed 59 risk factors in its most recent earnings report. Vedanta Limited reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Vedanta Limited Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | ₹2.56T | 10.33 | ― | 8.78% | 8.87% | 2.25% | |
76 Outperform | ₹2.12T | 16.52 | ― | 4.64% | 8.90% | 20.90% | |
75 Outperform | ₹1.99T | 24.02 | ― | 0.58% | 13.19% | 42.27% | |
69 Neutral | ₹2.39T | 20.88 | ― | 2.11% | -0.42% | 132.70% | |
66 Neutral | ₹2.75T | 33.24 | ― | 0.26% | 2.14% | 20.37% | |
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
57 Neutral | ₹1.13T | 140.76 | ― | 0.20% | -2.21% | -46.30% |
* Basic Materials Sector Average
IN:VEDL
Vedanta Limited
654.85
227.84
53.36%
IN:HINDALCO
Hindalco Industries Limited
884.55
225.83
34.28%
IN:HINDZINC
Hindustan Zinc Limited
502.20
57.30
12.88%
IN:JINDALSTEL
Jindal Steel & Power Ltd.
1,112.60
213.33
23.72%
IN:JSWSTEEL
JSW Steel Limited
1,122.75
69.69
6.62%
IN:TATASTEEL
Tata Steel Limited
191.80
42.19
28.20%
Vedanta Limited Corporate Events
Vedanta Secures NCLT Sanction Order for Multi-Entity Restructuring Scheme
Jan 21, 2026
Vedanta Limited has received a certified copy of the National Company Law Tribunal (NCLT) Mumbai Bench order dated 16 December 2025, formally sanctioning its composite scheme of arrangement involving Vedanta Limited and group entities Vedanta Alum...
Vedanta Subsidiary ESL Steel Disputes ₹1,255 Crore Odisha Mining Demand
Jan 18, 2026
Vedanta Limited has disclosed that its subsidiary ESL Steel Limited has received two demand notices from the Deputy Director of Mines, Koira Circle, Odisha, alleging a shortfall in meeting minimum production and dispatch targets for the fourth yea...
Vedanta Discloses Promoter Group Financing Pact Under SEBI Disclosure Norms
Jan 2, 2026
Vedanta Limited has disclosed that it received an intimation under Regulation 30A of the SEBI Listing Regulations from its promoter group entities—Vedanta Resources Limited, Twin Star Holdings Limited, Vedanta Holdings Mauritius II Limited a...
Vedanta Subsidiary Hindustan Zinc Faces Regulatory Penalty
Dec 17, 2025
Vedanta Limited has disclosed that its subsidiary, Hindustan Zinc Limited (HZL), received a penalty from the Ministry of Corporate Affairs, specifically by the Regional Director of the North Western Region in Ahmedabad, under regulatory provisions...
Vedanta Limited Secures NCLT Approval for Strategic Demerger
Dec 16, 2025
Vedanta Limited has received approval from the National Company Law Tribunal (NCLT) for its Scheme of Arrangement to demerge into four independent, pure-play companies. This strategic move aims to unlock long-term value for shareholders by creatin...
Vedanta Limited Expands with Acquisition of Incab Industries
Dec 3, 2025
Vedanta Limited has received approval from the National Company Law Tribunal Kolkata for its acquisition of Incab Industries Limited, a company specializing in the manufacturing of power cables and industrial wires using copper and aluminum. This ...
Vedanta Limited Releases Q2 and Half-Year Financial Results
Nov 1, 2025
Vedanta Limited has published its unaudited financial results for the second quarter and half-year ending September 30, 2025. The results were announced through newspaper advertisements in Financial Express and Loksatta, and are also available on ...
Vedanta Limited Announces Stock Option Vesting and Granting to Boost Employee Engagement
Oct 31, 2025
Vedanta Limited has announced the vesting and granting of stock options under its Employee Stock Option Scheme. The Nomination and Remuneration Committee approved the vesting of 46,91,300 options from the 2022 grants and the grant of 97,80,400 new...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.