Vedanta Shares (VEDL) Soar 6.86%, Hitting 52Wk Highs on CLSA Upgrade

Vedanta shares (NSE: VEDL) have increased by 6.86% today, closing out the day at 361.20 INR. The Indian multinational mining conglomerate, surged 7.7% to hit a 52 week high of 369.65 following a substantial upgrade from brokerage firm CLSA. Despite fading slightly in the afternoon to end the day, Wednesday was definitely a good day for the miner.

Analysts at CLSA raised their price target on Vedanta's shares to 390 rupees, prompting a bullish response from investors. This impressive rally contributed to the stock outperforming the sector benchmark, with Vedanta shares climbing 40.46% year-to-date on the National Stock Exchange of India (NSE).

Other analysts on file with targets on VEDL shares include Nuvama, and Philip Capital, with both going down as bullish. Having recently upgraded their own price target from 371 up to a mark of 394, Nuvama has set significant upside expectations on the stock. Philip Capital hold a ‘buy' rating on Vedanta shares, but retain have not changed their price target in recent moves from their own mark of 350.

Vedanta's ascent comes on the heels of a strategic manoeuvre to restructure the company following a significant 16.2% drop in share values the previous year. The initiative to split into six separate businesses announced towards the latter part of 2023 is aimed at unlocking value and improving operational efficiencies within the mining and resources giant.

Vedanta's significant stock rally underscores investor confidence in the company's restructuring while highlighting broader market concerns over inflation, interest rates, and financial stability across different sectors.

In other news on the day in India, the Nifty 50 closed out the day green, up by 0.49%, as the Nifty Metal Index added 1.18%.