Vedanta Intrinsic Value
Vedanta (VEDL) median intrinsic value is ₹1374.76 from 9 valuation models (range ₹226–₹1881), vs current price ₹752.55 — +82.7% upside (Trading Below Calculated Value), margin of safety 45.3%. For current market price and key ratios, visit VEDL company profile.
VEDL Valuation Methods Summary — DCF, Graham Number & P/E
Vedanta intrinsic value across 9 models vs current price ₹752.55 — upside/downside and value range per method. Browse Vedanta annual reports for revenue, profit, balance sheet and cash flow data.
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹225.76 | ₹180.61 - ₹270.91 | -70.0% | EPS: ₹18.44, Sector P/E: 12x |
| Book Value Method | asset | ₹1374.76 | ₹1237.28 - ₹1512.24 | +82.7% | Book Value/Share: ₹1374.76, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹1505.10 | ₹1354.59 - ₹1655.61 | +100.0% | Revenue/Share: ₹2226.50, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹1505.10 | ₹1354.59 - ₹1655.61 | +100.0% | EBITDA: ₹23460.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹1881.38 | ₹1505.10 - ₹2257.66 | +150.0% | CF Growth: 13.3%, Discount: 15% |
| PEG Ratio Method | growth | ₹225.76 | ₹203.18 - ₹248.34 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹225.76 | ₹203.18 - ₹248.34 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹1505.10 | ₹1354.59 - ₹1655.61 | +100.0% | ROE: 25.9%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹755.24 | ₹679.72 - ₹830.76 | +0.4% | EPS: ₹18.44, BVPS: ₹1374.76 |
VEDL Intrinsic Value vs Market Price — All Valuation Models
Vedanta fair value range ₹226–₹1881 vs current market price ₹752.55 across 9 valuation models. Compare with VEDL stock valuation models to assess whether the stock is under or overvalued.
VEDL Intrinsic Value Analysis — Undervalued or Overvalued?
Vedanta median intrinsic value ₹1374.76, current price ₹752.55 — Trading Below Calculated Value by 82.7%, margin of safety 45.3%.
What is the intrinsic value of VEDL?
Based on our comprehensive analysis using 9 different valuation methods, the estimated intrinsic value of Vedanta (VEDL) is ₹1374.76 (median value). With the current market price of ₹752.55, this represents a +82.7% variance from our estimated fair value.
The valuation range spans from ₹225.76 to ₹1881.38, indicating ₹225.76 - ₹1881.38.
Is VEDL undervalued or overvalued?
Based on our multi-method analysis, Vedanta (VEDL) appears to be trading below calculated value by approximately 82.7%.
VEDL Financial Health — Key Ratios vs Industry Benchmarks
Vedanta financial ratios — ROE, debt-to-equity, profit margins and liquidity vs industry benchmarks and their impact on intrinsic value.
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Current Ratio | 0.68 | Industry Standard: 2.0+ | Below 1.5 | Measures short-term liquidity capacity |
| Return on Equity | 25.9% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 14.0% | Industry Standard: 20%+ | Above 10% | Indicates operational efficiency level |
| Asset Turnover Ratio | 0.43x | Industry Standard: 1.0x+ | Below 0.5x | Measures asset utilization efficiency |
VEDL Cash Flow Quality — Operating & Free Cash Flow
Vedanta operating cash flow, free cash flow, quality rating and sustainability score by period — key inputs to DCF intrinsic value calculation.
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2025 | ₹39,562 Cr | ₹29,983 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹35,654 Cr | ₹28,816 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹33,065 Cr | ₹32,731 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹34,963 Cr | ₹33,842 Cr | Positive Free Cash Flow | 8/10 |
| March 2021 | ₹23,980 Cr | ₹20,641 Cr | Positive Free Cash Flow | 8/10 |