Geojit has given Buy recommendation for Vedanta with a target price of Rs. 374 in its research report issued on Nov 08, 2021
Geojit’s research report on Vedanta
Vedanta Limited is a diversified resources company with interests in Zinc-lead-silver, oil and gas, aluminum, power, steel, copper and iron ore. It is also one of the largest resources company in India. Revenue grew 44.4% YoY to Rs. 30,048cr due to higher demand and supported by rise in prices of major commodities. Growth was witnessed across all segments, with Aluminum revenue rising +89.5% YoY, Zinc & Lead – India +15.7% YoY and Oil & Gas +73.6% YoY. EBITDA recorded was the highest at Rs. 10,363cr, driven by improved commodity pricing and higher volumes. Increase in volumes and prices along with cost optimization measures should help the company in achieving strong operational performance in the long-term.
We reiterate our BUY rating on the stock with a revised target price of Rs. 374 based on 4.5x FY23E EV/EBITDA.