Executive Summary
Vedanta Limited operates as a diversified natural resources company in India. More Details
Rewards
Risk Analysis
Snowflake Analysis
Average dividend payer with mediocre balance sheet.
Similar Companies
Share Price & News
How has Vedanta's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: VEDL has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.7%
VEDL
-2.3%
IN Metals and Mining
1.3%
IN Market
1 Year Return
-17.6%
VEDL
4.0%
IN Metals and Mining
4.3%
IN Market
Return vs Industry: VEDL underperformed the Indian Metals and Mining industry which returned 4% over the past year.
Return vs Market: VEDL underperformed the Indian Market which returned 4.3% over the past year.
Shareholder returns
| VEDL | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.7% | -2.3% | 1.3% |
| 30 Day | 1.6% | -4.7% | 1.8% |
| 90 Day | 24.4% | 24.9% | 13.8% |
| 1 Year | -14.8%-17.6% | 7.6%4.0% | 6.3%4.3% |
| 3 Year | -48.3%-57.5% | -22.0%-29.9% | 4.4%-0.5% |
| 5 Year | 85.5%37.0% | 87.5%55.1% | 46.0%35.1% |
Price Volatility Vs. Market
How volatile is Vedanta's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 months ago | Simply Wall St
How Does Vedanta's (NSE:VEDL) P/E Compare To Its Industry, After Its Big Share Price Gain?4 months ago | Simply Wall St
Such Is Life: How Vedanta (NSE:VEDL) Shareholders Saw Their Shares Drop 67%5 months ago | Simply Wall St
Does Vedanta Limited (NSE:VEDL) Have A Place In Your Dividend Portfolio?Valuation
Is Vedanta undervalued compared to its fair value and its price relative to the market?
21.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: VEDL (₹130.95) is trading below our estimate of fair value (₹165.79)
Significantly Below Fair Value: VEDL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: VEDL is unprofitable, so we can't compare its PE Ratio to the IN Metals and Mining industry average.
PE vs Market: VEDL is unprofitable, so we can't compare its PE Ratio to the Indian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate VEDL's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: VEDL is overvalued based on its PB Ratio (0.9x) compared to the IN Metals and Mining industry average (0.8x).
Next Steps
Future Growth
How is Vedanta forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
102.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: VEDL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (7.2%).
Earnings vs Market: VEDL is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: VEDL's is expected to become profitable in the next 3 years.
Revenue vs Market: VEDL's revenue (4.1% per year) is forecast to grow slower than the Indian market (11.7% per year).
High Growth Revenue: VEDL's revenue (4.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: VEDL's Return on Equity is forecast to be low in 3 years time (12.2%).
Next Steps
Past Performance
How has Vedanta performed over the past 5 years?
53.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VEDL is currently unprofitable.
Growing Profit Margin: VEDL is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: VEDL is unprofitable, but has reduced losses over the past 5 years at a rate of 53% per year.
Accelerating Growth: Unable to compare VEDL's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: VEDL is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-35.6%).
Return on Equity
High ROE: VEDL has a negative Return on Equity (-6.61%), as it is currently unprofitable.
Next Steps
Financial Health
How is Vedanta's financial position?
Financial Position Analysis
Short Term Liabilities: VEDL's short term assets (₹575.2B) do not cover its short term liabilities (₹633.2B).
Long Term Liabilities: VEDL's short term assets (₹575.2B) exceed its long term liabilities (₹485.5B).
Debt to Equity History and Analysis
Debt Level: VEDL's debt to equity ratio (82.5%) is considered high.
Reducing Debt: VEDL's debt to equity ratio has reduced from 87% to 82.5% over the past 5 years.
Debt Coverage: VEDL's debt is well covered by operating cash flow (32.6%).
Interest Coverage: VEDL is unprofitable, therefore interest payments are not well covered by earnings.
Balance Sheet
Next Steps
Dividend
What is Vedanta current dividend yield, its reliability and sustainability?
2.98%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: VEDL's dividend (2.98%) is higher than the bottom 25% of dividend payers in the Indian market (0.55%).
High Dividend: VEDL's dividend (2.98%) is in the top 25% of dividend payers in the Indian market (2.23%)
Stability and Growth of Payments
Stable Dividend: VEDL's dividend payments have been volatile in the past 10 years.
Growing Dividend: VEDL's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: VEDL is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: VEDL's dividends in 3 years are forecast to be covered by earnings (70.9% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Sunil Duggal (58 yo)
0.42
Tenure
₹55,000,000
Compensation
Mr. Sunil Duggal serves as the Chief Executive Officer at Vedanta Limited since August 2020. He had been Interim Chief Executive Officer of Vedanta Limited since April 6, 2020 until August 2020. Mr. Duggal ...
CEO Compensation Analysis
Compensation vs Market: Sunil's total compensation ($USD0.00) is below average for companies of similar size in the Indian market ($USD1.02M).
Compensation vs Earnings: Sunil's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Vice Chairman | 0.42yr | ₹170.62m | no data | |
| CFO & Whole Time Director | 3.83yrs | ₹58.10m | 0.00022% ₹ 1.1m | |
| Company Secretary & Compliance Officer | 2.17yrs | ₹4.64m | no data | |
| Chief Executive Officer | 0.42yr | ₹55.00m | no data | |
| Assistant Vice President of Corporate Finance | no data | ₹6.10m | no data | |
| Senior Vice President of Corporate Finance | 2.5yrs | ₹17.00m | 0.000010% ₹ 48.5k | |
| Head of Investor Relations | 0.92yr | no data | no data | |
| Corporate Counsel | 0.92yr | no data | no data | |
| Director of Communications & Brand | 0.92yr | ₹40.00m | no data | |
| Group Chief Human Resources Officer | 1.75yrs | no data | 0.000090% ₹ 436.4k | |
| Head of Iron Ore - Karnataka | no data | ₹6.10m | no data | |
| Chief Executive Officer of Iron Ore Business | no data | no data | no data |
1.3yrs
Average Tenure
48yo
Average Age
Experienced Management: VEDL's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Vice Chairman | 0.42yr | ₹170.62m | no data | |
| CFO & Whole Time Director | 3.83yrs | ₹58.10m | 0.00022% ₹ 1.1m | |
| Non-Executive Chairman | 0.50yr | no data | no data | |
| Non-Executive Independent Director | 6.5yrs | ₹8.55m | no data | |
| Non-Executive Independent Director | 1.25yrs | ₹7.10m | no data | |
| Non-Executive Independent Director | 3.42yrs | ₹8.05m | no data | |
| Non-Executive Director | 3.33yrs | ₹7.90m | no data | |
| Non-Executive Independent Director | 2.5yrs | ₹8.40m | no data |
2.9yrs
Average Tenure
68yo
Average Age
Experienced Board: VEDL's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Vedanta Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Vedanta Limited
- Ticker: VEDL
- Exchange: NSEI
- Founded: 1965
- Industry: Diversified Metals and Mining
- Sector: Materials
- Market Cap: ₹484.884b
- Shares outstanding: 3.70b
- Website: https://www.vedantalimited.com
Number of Employees
Location
- Vedanta Limited
- Unit 103, Corporate Avenue
- 1st Floor, C wing
- Mumbai
- Maharashtra
- 400093
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 500295 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | May 1998 |
| VEDL | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | May 1998 |
| VEDL | NYSE (New York Stock Exchange) | SPONSORED ADR | US | USD | Sep 2013 | |
| 17SA | DB (Deutsche Boerse AG) | SPONSORED ADR | DE | EUR | Sep 2013 |
Biography
Vedanta Limited operates as a diversified natural resources company in India. The company explores for, develops, produces, processes, and sells zinc, lead, silver, oil and gas, aluminum, power, iron ore, ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/09/19 19:22 |
| End of Day Share Price | 2020/09/18 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2020/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.