SEBI Reg. Investment Advisor

Download App
Help Center Pricing
Money Works 4 Me Logo MoneyWorks4Me
Login Get Free Account
Sign Up

MoneyWorks4Me

Log In Sign Up Schedule Free 15‑min Call
Login Get Free Account
Sign Up

INVESTMENT INSIGHTS

Check Before You Invest : Vedanta Ltd

BSE: 500295 NSE: VEDL ISIN: INE205A01025
  |   Sector:  Metals & Mining   |   Industry:  Metal - Non Ferrous

Snapshot

Q.1 Which industry/sub-sector does Vedanta Ltd belong to?
Vedanta Ltd belongs to the Metals & Mining sector, operating specifically within the Metal - Non Ferrous segment.
Q.2 Is Vedanta Ltd a good quality company?
Vedanta Ltd is a good quality company, based on a consistently good 10 year financial track record.
Q.3 Is Vedanta Ltd undervalued or overvalued?
Vedanta Ltd appears Overvalued, as its key valuation ratios are above with their past averages.
Q.4 Is Vedanta Ltd a good buy now?
Vedanta Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Vedanta Ltd?
Vedanta Ltd revenue growth is 6.4% for FY-2025 , which is below its 5 year CAGR of 12.6% , indicating slower growth.
Q.2 Gross Profit margin of Vedanta Ltd?
Vedanta Ltd Gross profit margin which is the profit after deduction of direct costs, is 23.6% for FY-2025 , which is in line with its 5 year median of 23.6% , indicating stable margins.
Q.3 Operating Profit Margin of Vedanta Ltd?
Vedanta Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 27.76% for FY-2025 , which is in line with its 5 year median of 27.76% indicating stable margins.
Q.4 Net Profit Margin of Vedanta Ltd?
Vedanta Ltd Net Profit Margin is 13.42% for FY-2025 , is in line with with its 5 year median of 13.42%, indicating stable margins.
Current Level Historic Median
Gross Profit Margin 23.6 23.6
Operating Profit Margin 27.76 27.76
Net Profit Margin 13.42 13.42
Q.5 Return on Asset of Vedanta Ltd?
Vedanta Ltd Return on Asset is 10.58%, which is above its 5 year historical median of 8.43%, indicating improved asset utilization efficiency.
Q.6 Return on Equity (ROE) of Vedanta Ltd?
Vedanta Ltd Return on equity is 57.42% for FY-2025 , which is above its historical median of 27.76%, indicating the business is making better use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Vedanta Ltd?
Vedanta Ltd Return on capital employed is 29.58% for FY-2025 , which is above its estimated weighted average cost of capital(WACC) 11.25%, indicating value creation.
Q.8 Cash conversion cycle of Vedanta Ltd?
Vedanta Ltd Cash conversion cycle is 8 days, below its historical median of 9 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 0.79 0.76
ROE 57.42 27.76
ROCE 29.58 25.2
Cash Conversion Cycle 8 days 9 days
Q.9 Debt to Equity ratio of Vedanta Ltd?
Vedanta Ltd Debt-to-Equity ratio is 2.20 , which is above with the industry average of 0.67 , indicating higher debt levels in the industry.
Q.10 Debt to cash flow from operations of Vedanta Ltd?
Vedanta Ltd Debt to cash flow from operations is 2.28 , which is at a moderate level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Vedanta Ltd?
Promoters hold 56.38% of the Vedanta Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Vedanta Ltd vs industry peers?
Vedanta Ltd revenue CAGR is 12.62% , compared to the industry median CAGR of 12.85% , indicating slower growth and losing its market share.
Profit Metrics
Current Level Industry Median
Revenue 1,52,968 1,43,727
Gross Profit 36,100.5 21,596.2
Operating Profit 42,343 23,382
Net Profit 20,535 10,155
Operating Efficiency
Current Level Industry Median
Asset Turnover 0.79 0.83
ROE 57.42 27.76
ROCE 29.58 25.2
Cash Conversion Cycle (days) 7.74 9

Valuation & price assessment

Q.1 Stock return of Vedanta Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 23.7% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price 23.7% 27.7% 41.4% 97%
Q.3 Valuation ratios of Vedanta Ltd vs historical?
The current P/E is higher that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 21.59 0.00 24.79
Price to Book 6.99 0.85 2.38
Price to Sales 2.2 0.61 0.58
EV to EBITDA 8.91 4.57 11.82

Check more companies

1. Vedanta
2. Hindustan Zinc
3. Hindalco
2026 ©The Alchemists Ark Pvt. Ltd. All rights reserved. MoneyWorks4Me® is a registered trademark of The Alchemists Ark Pvt. Ltd.

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×