Citi has reiterated its ‘Buy’ rating on Vedanta, setting a target price of ₹500, implying a potential upside of up to 18% from the current market price of ₹424.35.
The brokerage highlights that the capacity expansion at Balco is expected to be completed in Q1FY26, boosting production capabilities. Additionally, alumina backward integration at the Lanjigarh refinery is expected to be finalized by FY26, which could enhance operational efficiencies.
Vedanta is also targeting a cost saving of $200 per ton, which could contribute to improved margins. The company expects to maintain its cost of production at $1,200-1,300 per ton for its international zinc business, ensuring stability in global operations.
Furthermore, Citi notes that interest costs are expected to decline further over the next 6-9 months, which could support the company’s financial position.
Disclaimer: The above stock update is based on brokerage reports and company announcements. Investors are advised to conduct their own research and consult with a financial advisor before making any investment decisions.
