Tag Vedanta Ltd

Vedanta Stock Analysis
Vedanta’s Growth Strategy & Market Outlook: From Metals to Green Energy

Business and Industry Overview:  

Vedanta Ltd. is a big company from India. It works with natural resources. It does many types of work. It finds, takes out, and processes minerals and oil & gas. It sells these products in India and other countries. It makes and sells many materials. These are zinc, lead, silver, copper, aluminium, iron ore, and oil & gas. These are used in buildings, machines, transport, and electronic items. These things are important for daily life and India’s growth. Vedanta also has other businesses. It makes electricity in big power plants. It makes steel in India. It runs ports in India. It also makes glass parts in South Korea and Taiwan. These glass parts are used in TVs, phones, and computers. It works in many countries. It is in India, South Africa, Namibia, Ireland, Liberia, and the UAE. Most of the company’s money comes from India. About 65% of the total money comes from India. Malaysia gives 9%, China gives 3%, UAE gives 1%, and other countries give 22%. Vedanta also makes oil and gas. These are used for fuel and energy. It makes electricity for factories and big businesses. These help machines work and vehicles run. Vedanta uses new machines and smart ideas. This helps the company work faster and better. It also helps reduce waste. This saves money. The company earns more profit this way. Vedanta follows good rules. It wants to be fair and honest in business. It wants to treat people well. But the company has a big problem. It has taken a lot of loans. This means it has a lot of debt. This is not good. It can create trouble for the future. To fix this, Vedanta has a plan. It wants to break into smaller companies. Each small company will handle one type of business. One company will do aluminium. One will do oil and gas. One will do power. This will help each company grow better. It will also bring new investors. Vedanta also wants to protect nature. It is working on green energy. This includes solar power and wind power. These do not cause pollution. Vedanta wants to stop pollution. It wants to become net-zero by 2050. This means it will not add bad gases to the air. Vedanta is very important for India. It gives raw materials to many industries. These industries make products, build things, and create jobs. Vedanta helps India grow. It helps India become strong and self-reliant.   

Latest Stock News: 

In the fourth quarter of FY25, Vedanta did well in metals but not in oil and gas. The company made more aluminium, zinc, iron ore, and steel. But it produced less oil and gas. Aluminium production was 6,03,000 tonnes. This was 1% more than the same time last year. It is a small increase but still good. In the Zinc India division, Vedanta made 3,100,000 tonnes of mined metal. This was 4% more than last year. This happened because the metal in the mines was of better quality, and the machines worked better. In the Zinc International division, Vedanta made 50,000 tonnes of mined metal. This was a big increase of 52% from last year. This shows good growth in other countries too. But oil and gas production is less, which is not a good sign. So, metal production went up, but oil and gas went down. Here is the same explanation in easier English, with small and simple sentences, and no complex words or sentences, while keeping all the important details: 

Vedanta’s chairman, Anil Agarwal, said that India is behind China in shipping. He said that China has more than 5,000 big ships. But India has less than 500 ships. These ships are used to carry goods for trade. This is a very big difference. He also said that China controls most of the world’s sea trade. About 98% of the world’s trade ships are owned by Chinese companies or are made in China. This means that China is very strong in global shipping. Anil Agarwal said that India is surrounded by the sea on three sides. India also has a rich history in sea trade. But now, India is only number 16 in the world for shipping power. India wants to improve. India wants to be in the top 10 shipbuilding countries by 2030.  India’s ports are important. They handle 95% of trade by volume and 70% by value. In the year 2024, Indian ports moved 819.22 million tonnes of goods. This is 4.45% more than last year. Anil Agarwal said that India must do better. He said that the government and private companies should work together. Everyone should help. He used a shipping phrase — “all hands on deck.” This means everyone must join and support. He said India should become strong in shipping and not depend too much on China. 

Potentials: 

Vedanta has many plans for the future. It wants to grow. It also wants to reduce its loans. Vedanta will break into smaller companies. Each small company will do one type of work. One company will do aluminium. One will do oil and gas. Others will do power, steel, or mining. This will help each company grow better. It will also help Vedanta get more money from investors. Vedanta also wants to use green energy. It will use solar and wind energy. These are clean energy sources. The company wants to stop pollution. Vedanta wants to become net-zero by 2050. This means it will not add dirty gas to the air. The company will also use better machines and smart tools. This will save money and energy. Vedanta will also put money in technology. It will invest $500 million in AvanStrate Inc. This company makes display glass. Display glass is used in phones, TVs, laptops, and car screens. Vedanta owns 98% of AvanStrate. This money will help AvanStrate grow. It will also help the company make better glass. The company will do more research. It will make new glass for many uses. These include chips (semiconductors), car screens, biotech tools, and other products. 

AvanStrate works in Taiwan, South Korea, and Japan. It wants to work with new partners. These partners will help make better glass. Vedanta says this will help it grow in future areas. These areas are energy, technology, and special materials. Vedanta also wants to use automation and clean methods. It wants to be good to people and nature. It wants to follow clean and fair business rules. AvanStrate’s head is Akarsh Hebbar. He said the company will become a top name in display glass. The market for this glass is $42 billion now. It may grow to $60 billion by 2030. Vedanta says AvanStrate is ready to meet this demand. It will be an important part of the world market. 

In short, Vedanta wants to grow in metals, green energy, and technology. It is taking many steps for a strong and clean future. 

Analyst Insights: 

  • Market capitalisation: ₹ 1,56,983 Cr. 
  • Current Price: ₹ 401 
  • 52-Week High/Low: ₹ 527 / 317 
  • P/E Ratio: 13.2 
  • Dividend Yield: 10.8%
  • Return on Capital Employed (ROCE): 20.9% 
  • Return on Equity (ROE): 10.5% 

Vedanta Ltd is a big Indian company. It works in many areas. It makes metals, oil and gas, power, and also runs ports. It makes aluminium, copper, zinc, silver, iron, and steel. These are raw materials. Many industries use them. For example, aluminium is used in cars and kitchen items. Copper is used in wires. Zinc is used to stop rust. Oil and gas are used for fuel and energy. Most of the company’s money comes from aluminium. It gives 38% of the total money. After that, zinc and oil & gas give the next highest income. Vedanta works mainly in India. But it also works in South Africa, UAE, Taiwan, and Namibia. This helps the company earn money from many places. Vedanta gives high dividends. This means it gives money to people who invest in the company. It earns good profit. It is strong in the mining and metal market. Many investors like this company. But there are some problems. Vedanta has a lot of debt. It has taken out big loans. Its parent group also has loans. The promoter group has pledged 100% shares. This means they used their shares to get money. This is risky. Also, the promoter’s share is going down. This may be a worry for some people. In short, Vedanta is a strong company. It gives good profit and money to investors. But it also has some risks like high debt and pledged shares. Investors should think about both good and bad points. 

Vedanta Ltd
Vedanta Ltd: Stock Performance, Growth Plans, and Market Challenges in 2025

Business and Industry Overview:  

Vedanta Ltd. is a big company that works with natural resources. It is involved in metals, mining, oil and gas, power, semiconductors, and glass. The company has businesses in India, South Africa, Namibia, and Liberia. It makes important materials like aluminium, zinc, iron, steel, copper, lead, silver, and ferro alloys. These materials are used in buildings, machines, electronics, and transport. Vedanta also produces oil and gas, which are needed for energy. It also makes electricity for factories and businesses. 

Vedanta wants to keep costs low and work more efficiently. It uses new technology to improve its work and reduce waste. The company follows good business rules to ensure fair and honest work. It invests in better machines and smarter ways to increase profits. Even though Vedanta earns good money, it also has a lot of debt, which is a problem. 

To solve this, Vedanta is planning to split into smaller companies. This will help each business grow better. The company is also working on green energy to reduce pollution and protect nature. Since Vedanta provides important raw materials, it helps India grow and become self-reliant. Many industries need these materials to build things, make products, and produce energy. 

Latest Stock News: 

Vedanta Ltd’s stock price has gone down. On April 3, 2025, the stock fell by 4% on the BSE. In the last five days, it has dropped by 7%. This happened because Vedanta delayed its demerger plan. The company wanted to split into smaller companies by March 31, 2025. But now, it has pushed the date to September 30, 2025. The delay is because the government has not yet approved. Vedanta Limited asked its shareholders to vote on an important decision. This voting was done online through e-voting instead of a physical meeting. 

The company wanted approval to appoint Mr. Rajarangamani Gopalan as an Independent Director for two years (from February 5, 2025, to February 4, 2027). 

An expert, Mr. Upendra C. Shukla, was chosen to check and manage the voting process. The voting ended on April 2, 2025. The shareholders agreed with the decision, and the appointment was approved. The company has shared the results and the official report on its website. The results are also available at the company’s office and on the website of KFin Technologies Limited, which handled the e-voting. 

Vedanta’s stock was ₹527 per share on December 16, 2024. But now, it has fallen by 16%. On April 3, it was ₹440.9 per share. The company is worth ₹1,72,409.01 crore. Many people are buying and selling the stock. On April 3, trading was 1.38 times more than usual. On April 1, it was 1.22 times more. Vedanta wants to expand its business. It is looking for global partners. The company plans to invest $20 billion. It will spend $2 to $2.5 billion to grow Hindustan Zinc. Other metal companies like JSW Steel are also struggling. This is because of new U.S. trade rules. The U.S. may put more taxes on metal imports. This can reduce demand and hurt Vedanta’s business. 

Potentials: 

Vedanta will invest $20 billion in India over four years. It will focus on technology, electronics, and glass production. The company wants to build a semiconductor plant in Gujarat. It already has land for the project. Now, it is looking for a strong and reliable partner. Semiconductors are used in smartphones, laptops, and other electronics. Right now, India imports most of them. Vedanta wants to make India self-sufficient in this field. 

Vedanta also plans to make glass in India. Glass is used in smartphone and laptop screens. The company already makes glass in other countries. Now, it wants to set up production in India. This will reduce imports and boost India’s economy.Vedanta may sell its steel business. However, it will only sell if it gets a good price. If the price is low, it will continue running the business. The steel business is profitable and has a strong team. Vedanta has $12 billion in debt. The company says the debt is under control. It has never missed a loan payment. It believes that every big business needs large investments. Anil Agarwal, the chairman of Vedanta, wants to help Bihar grow. He says Bihar has a lot of potential. But government policies need to support businesses. Vedanta is also helping villages through Nand Ghar centers. These centers help children and women. Right now, there are 6,000 centers in India. The company will increase them to 25,000 in two years. This will help 7 crore children and 2 crore women. The centers provide food, education, and healthcare. Vedanta is thinking about investing in entertainment. But it has no fixed plan yet. The company believes entertainment should promote good cultural values. Vedanta’s plans will help India grow. It will reduce imports and create jobs. It will also support rural communities. 

Analyst Insights: 

  • Market capitalization: ₹ 1,72,013 Cr. 
  • Current Price: ₹ 440 
  • 52-Week High/Low: ₹ 527 / 302 
  • P/E Ratio: 14.5 
  • Dividend Yield: 9.90%
  • Return on Capital Employed (ROCE): 20.9%
  • Return on Equity (ROE): 10.5%

Vedanta made good profits in Q3 FY25. The company’s total sales went up by 10.06% from last year. It earned ₹34,968 crore in sales. The net profit increased by 76.20% to ₹3,471 crore. This means the company made much more money compared to last year. The EBITDA margin is 28%, which shows that the company is keeping a good part of its earnings as profit. 

It is one of the biggest metal companies in India. It controls 46% of the aluminum market. It also works in zinc, oil & gas, and power. This helps the company because it does not depend on just one business. The demand for metals is increasing in India and around the world. This is good for Vedanta. It also gives high dividends to its investors. The dividend yield is 9.90%. This means people who hold this stock get good extra income. Vedanta has very high debt of ₹87,706 crore. This is a big problem. If the company cannot manage its debt, it may face trouble. Another issue is that promoters have pledged all their shares. This means they have used all their shares to get loans. This is risky. Also, promoters’ shareholding has fallen by 13.3% in the last three years. This is not a good sign because it shows that owners are selling or losing control over the company. Vedanta is a strong company with good profits. But it has too much debt and promoter problems. Investors should not buy at a high price. It is better to wait for the price to fall before buying. Also, keep an eye on the company’s debt and what the promoters are doing.