Shares of the largecap diversified metals company traded lower as home brokerage ICICI Securities resumed coverage on the stock. The stock at last close was down over 1 percent at Rs 503.25 per share on the BSE.
The consumer company believes that the company’s growth will be fueled by its zinc business. Also, cost reduction in the aluminum segment will bode well for the company.
Moreover, ICICI Securities is optimistic about another phase of the company and sees them showing decent growth going forward.
Additionally, the company treads its growth path around two ‘V’s’ and one ‘C’ i.e. Volume, value, and cost reduction – across all segments.
Vedanta stock hit a 52-week high last week.
Things that look good in stock
Vedanta Resources’ sharp deleveraging and further expectation of Rs 21,000 crore deleveraging over three years will keep the stock’s dividend yield high.
Additionally, the company’s plans are on track for volume-led growth in other segments.
The oil and gas segment is seen as the heir to the ever-growing share of RSC blocks.
Vedanta sales revenue
The stock in the last one year has delivered a multibagger return of 125 percent, with 52-week low and high prices of Rs 211.2 and Rs 523.6 per share, respectively.