Vedanta Limited (VEDL) AI Stock Analysis

• Market Cap: ₹1.67T
• Dividend Yield: 12.03%
• Average Volume (3M): 364.69K
• Price to Earnings (P/E): 11.4
• Beta (1Y): 1.51
• Revenue Growth: 6.36%
• EPS Growth: 166.78%
• Country: IN
• Employees: 17,526
• Sector: Basic Materials
• Sector Strength: 66
• Industry: Industrial Materials
• EPS (TTM): 8.09
• Shares Outstanding: 3,910,388,000
• 10 Day Avg. Volume: 634,856
• 30 Day Avg. Volume: 364,695
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹490.25
• Price Target Upside: 14.48% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 74 Outperform
• Price Target: ₹491.00 ▲(14.65% Upside)

Vedanta Limited's strong financial performance and attractive valuation are the primary drivers of its overall score. While the technical analysis indicates neutral momentum, the company's solid profitability and high dividend yield make it appealing. However, the increased leverage and fluctuating cash flows are risks that need to be managed.

Vedanta Limited Business Overview & Revenue Model

Company Description

Vedanta Limited (VEDL) is a diversified natural resources company operating primarily in India. The company is engaged in the exploration, extraction, and processing of minerals and oil & gas. Its core sectors include zinc, lead, silver, aluminum, copper, iron ore, oil & gas, and power. As a major player in the mining and metals industry, Vedanta Limited is committed to sustainable practices and is focused on delivering high-quality resources to its global clientele.

How the Company Makes Money

Vedanta Limited generates revenue through the extraction and sale of various natural resources. The company's primary revenue streams include the production and sale of zinc-lead-silver, aluminum, copper, iron ore, and oil & gas. Each of these sectors contributes significantly to Vedanta's earnings. The company also owns and operates power generation facilities, which provide an additional income stream. Key partnerships with global and regional companies in the extraction and production processes, as well as strategic investments, play a crucial role in enhancing Vedanta's operational capabilities and market reach. Additionally, fluctuations in global commodity prices, demand-supply dynamics, and regulatory policies are significant factors influencing the company's revenue and profitability.

Vedanta Limited Financial Statement Overview

Summary

Vedanta Limited demonstrates strong financial performance with robust revenue growth and profitability. The company shows effective cost management and strong operational cash flow generation. However, 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 2020
Income Statement
Total Revenue	1.51T	1.51T	1.42T	1.45T	1.31T	835.45B
Gross Profit	706.20B	791.04B	701.62B	538.89B	614.92B	5.99B
EBITDA	442.61B	480.72B	403.36B	367.19B	466.28B	57.90B
Net Income	149.88B	149.88B	42.39B	105.74B	188.02B	-66.64B
Balance Sheet
Total Assets	2.03T	2.03T	1.91T	1.95T	1.98T	1.84T
Cash, Cash Equivalents and Short-Term Investments	274.76B	274.76B	125.24B	185.15B	314.26B	366.12B
Total Debt	751.86B	751.86B	727.59B	666.28B	535.83B	586.07B
Total Liabilities	1.50T	1.50T	1.49T	1.46T	1.16T	1.12T
Stockholders Equity	412.12B	412.12B	307.22B	394.23B	653.83B	546.35B
Cash Flow
Free Cash Flow	0.00	225.57B	189.02B	192.78B	243.33B	114.84B
Operating Cash Flow	0.00	395.62B	356.54B	330.65B	349.63B	193.00B
Investing Cash Flow	0.00	-191.90B	-136.86B	-6.93B	-22.53B	-58.94B
Financing Cash Flow	0.00	-192.23B	-260.92B	-341.42B	-289.03B	-155.47B

Vedanta Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 428.25
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

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 428.25 is above the 20-day moving average (MA) of 422.16, below the 50-day MA of 429.24, and above the 200-day MA of 421.15, indicating a neutral trend. The MACD of 0.82 indicates Negative momentum. The RSI at 51.71 is Neutral, neither overbought nor oversold. The STOCH value of 11.49 is Positive, 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	₹1.58T	9.39		0.71%	11.70%	57.14%
VEDL	74 Outperform	₹1.67T	11.44		12.03%	6.36%	166.78%
JSWSTEEL	73 Outperform	₹2.56T	53.28		0.27%	-3.82%	-34.04%
HINDZINC	70 Outperform	₹1.82T	17.94		6.74%	13.24%	25.82%
JINDALSTEL	63 Neutral	₹993.36B	33.26		0.21%	-5.12%	-47.40%
TATASTEEL	62 Neutral	₹1.93T	42.59		2.32%	-3.34%	―
Sector *	61 Neutral	$10.31B	6.18	0.76%	2.94%	3.30%	-36.34%