Vedanta Stock Soars: Kotak Raises Target to ₹780, Citing Metal Rally & Demerger

• Kotak Institutional Equities upgraded Vedanta Ltd.'s target price from ₹650 to ₹780, maintaining a 'BUY' rating.
• The brokerage firm believes Vedanta is well-positioned to benefit from the rally in base and precious metals, which are trading at record or multi-year highs.
• Approximately 85% of Vedanta's estimated FY27 EBITDA is expected from aluminum (50%), zinc (20%), and silver (15%).
• Capacity expansion and the proposed demerger are seen as additional triggers, with the demerger expected to unlock value and complete by Q1 FY27.
• Kotak increased Vedanta's EBITDA estimates for FY27 by 8.7% and FY28 by 6.9%; a target of ₹965 is possible if next year's EBITDA rises by 19%.

Why It Matters: Vedanta's stock is poised for further growth due to strong metal prices, capacity expansion, and a value-unlocking demerger.