Vedanta Ltd
NSE: VEDL BSE: 500295
â‚ą226.50
-8.35 (3.56%)
Sun, 25 Oct 2026, 06:59 pm
Market Cap (in Cr)88374.77
PE Ratio4.53
Dividend15.04
Non-Energy Minerals
Aluminum
24.5KVedanta Analysis
dividend
- Dividends per share have increased over the past 10 years.
- Dividends after 3 years are expected to be covered by earnings (1.3x coverage).
- Vedanta's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
- Vedanta's dividend is above the markets top 25% of dividend payers in India (3.08%).
- The company is paying a dividend however it is incurring a loss.
- Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
future
- Vedanta's earnings are expected to grow significantly at over 20% yearly.
- Vedanta's earnings growth is expected to exceed the India market average.
- Vedanta's earnings growth is expected to exceed the low risk savings rate of 7.2%.
- Vedanta is expected to become profitable in 1 year.
- Vedanta is expected to become profitable in 3 years time.
- Vedanta is expected to become profitable in 2 years.
- An improvement in Vedanta's performance (ROE) is expected over the next 3 years.
- Cash flow for Vedanta is expected to increase but not above the 50% threshold in 2 years time.
- Vedanta is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
- Performance (ROE) is not expected to exceed the current IN Metals and Mining industry average.
- Vedanta's revenue is expected to increase but not above the 50% threshold in 2 years time.
- Vedanta's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).
- Vedanta's revenue growth is positive but not above the India market average.
health
- Vedanta has been profitable on average in the past, therefore cash runway is not a concern.
- Vedanta has been profitable on average in the past, therefore cash runway is not a concern.
- Debt is well covered by operating cash flow (38.8%, greater than 20% of total debt).
- Debt is covered by short term assets, assets are 1.2x debt.
- Vedanta's cash and other short term assets cover its long term commitments.
- The level of debt compared to net worth has been reduced over the past 5 years (87% vs 69.4% today).
- Vedanta's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
- Vedanta is making a loss, therefore interest payments are not well covered by earnings.
- Vedanta's level of debt (69.4%) compared to net worth is high (greater than 40%).
- High level of physical assets or inventory.
management
- Sunil's remuneration is lower than average for companies of similar size in India.
- The average tenure for the Vedanta board of directors is less than 3 years, this suggests a new board.
- Sunil's compensation has increased whilst company is loss making.
- The average tenure for the Vedanta management team is less than 2 years, this suggests a new team.
misc
- Vedanta has significant price volatility in the past 3 months.
past
- Unable to compare Vedanta's 1-year earnings growth to the 5-year average as it is not currently profitable.
- Vedanta does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
- It is difficult to establish if Vedanta has efficiently used its assets last year compared to the IN Metals and Mining industry average (Return on Assets) as it is loss-making.
- It is difficult to establish if Vedanta improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
- It is difficult to establish if Vedanta has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
- Unable to compare Vedanta's 1-year growth to the IN Metals and Mining industry average as it is not currently profitable.
value
- NSEI:VEDL is up 11.7% outperforming the Metals and Mining industry which returned 7.5% over the past month.
- NSEI:VEDL is up 11.7% outperforming the market in India which returned 8% over the past month.
- Vedanta's share price is below the future cash flow value, but not at a moderate discount (< 20%).
- Vedanta's share price is below the future cash flow value, but not at a substantial discount (< 40%).
- Vedanta is overvalued based on assets compared to the IN Metals and Mining industry average.
- Vedanta is loss making, we can't compare its value to the IN Metals and Mining industry average.
- Vedanta is loss making, we can't compare the value of its earnings to the India market.
- VEDL underperformed the Metals and Mining industry which returned -28.6% over the past year.
- VEDL underperformed the Market in India which returned -14.5% over the past year.
