Vedanta Shares Soar: Kotak Raises Target to ₹780, Sees ₹965 Potential

• Kotak Institutional Equities maintains a "Buy" rating on Vedanta, raising its target price to ₹780 from ₹650.
• Approximately 85% of Vedanta's FY27 EBITDA is projected to come from aluminum, zinc, and silver, all trading at high levels.
• Capacity expansion in aluminum, zinc, and power segments for FY27-28 is expected to be an additional growth driver.
• Value unlocking is anticipated from the proposed demerger, with aluminum and power businesses potentially receiving higher valuations.
• Based on current spot commodity prices, Vedanta's share target could reach ₹965, reflecting a 19% increase in next fiscal year's EBITDA estimates.

Why It Matters: Kotak is bullish on Vedanta due to high metal prices, capacity expansion, and value unlocking from demerger.