Nuvama reiterates ‘Buy’ on Vedanta, raises target to ₹806

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Nuvama Institutional Equities has maintained its ‘buy’ rating on Vedanta while raising its target price to ₹806 from ₹686, citing improving fundamentals and value-unlocking catalysts.

The brokerage highlighted that Vedanta is in the final stages of securing statutory approvals for its proposed five-way demerger, a move expected to unlock significant shareholder value. Nuvama believes the current market price does not fully reflect the underlying worth of the company’s aluminium and zinc businesses.

Strong commodity prices, ongoing cost-reduction initiatives, and volume growth across key segments continue to strengthen the investment case. Reflecting this, Nuvama has revised its EBITDA estimates upward by 17% for FY27 and 8% for FY28, and expects EBITDA to grow at a 20% CAGR over FY25–FY28.

Vedanta shares were trading at ₹669.55, up 5.09%, after hitting a fresh 52-week high of ₹673 during the session.

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