Vedanta Ltd. has received an upgraded price target from Kotak Institutional Equities, which raised its target to ₹780 from ₹650 while maintaining a 'buy' rating on the Anil Agarwal-owned mining conglomerate. The brokerage believes the company is optimally positioned to capitalize on the ongoing rally in base and precious metals.

Strong Metals Exposure Drives Optimism

Kotak's bullish stance is anchored in Vedanta's significant exposure to high-performing metals segments. The brokerage's analysis reveals that approximately 85% of the company's estimated financial year 2027 Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) will be derived from three key metals experiencing strong market conditions.

All three metals are currently trading at either record high levels or multi-year highs in global markets, providing a favorable backdrop for Vedanta's revenue generation.

Capacity Expansion and Demerger Benefits

The brokerage highlighted additional growth drivers beyond the metals rally. Vedanta's planned capacity increases across multiple business segments, including aluminium, zinc, and power, over financial years 2027 and 2028 are expected to provide further momentum for the stock price.

The company's proposed demerger exercise represents another significant catalyst. Kotak expects Vedanta to achieve all necessary clearances soon, with the demerger process anticipated to begin in the fourth quarter of the current financial year and conclude in phases by the first quarter of financial year 2027.

Revised Financial Projections

Based on these positive developments, Kotak has increased its EBITDA estimates for Vedanta:

The brokerage expects value unlocking from higher multiples in the aluminium and power divisions as a result of the demerger. At current spot prices, Kotak anticipates Vedanta's share price target could reach ₹965.

Market Performance and Analyst Sentiment

Vedanta shares demonstrated strong performance, closing 6% higher on Friday at a record high of ₹675. The stock has delivered impressive returns, gaining 55% over the past 12 months.

Analyst sentiment remains overwhelmingly positive, with none of the 14 analysts covering Vedanta maintaining a 'sell' rating. The analyst community is divided between 10 'buy' ratings and four 'hold' recommendations, reflecting broad confidence in the company's prospects.

Vedanta Limited has received a Strong category ESG (Environmental, Social, and Governance) rating of 67 from ESGRisk.ai, a SEBI-registered ESG Rating Provider. The company disclosed this development through a regulatory filing on January 15, 2026, following communication received from the rating agency on January 14, 2026.

ESG Rating Details

The ESG rating communication was received via email from ESG Risk Assessments and Insights Limited (ESGRisk.ai) on January 14, 2026, at approximately 05:15 PM IST. The rating places Vedanta in the Strong category with a numerical score of 67.

Independent Assessment

Vedanta emphasized in its disclosure that the company has not engaged ESGRisk.ai for the evaluation. The ESG rating has been issued independently by the rating provider without any direct engagement or request from the company. This independent assessment approach ensures objectivity in the rating process.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015, along with relevant SEBI circulars. The filing was signed by Prerna Halwasiya, Company Secretary and Compliance Officer, on January 15, 2026.

Rating Methodology and Access

ESGRisk.ai has made the ratings and methodology available on their website at india360.esgrisk.ai/Accounts/Ratinglist. This transparency allows stakeholders to understand the evaluation framework and access detailed information about the rating process.

The Strong category rating of 67 reflects Vedanta's performance across environmental, social, and governance parameters as assessed by the SEBI-registered rating provider. This independent evaluation provides investors and stakeholders with third-party insights into the company's ESG practices and performance.