Bhubaneswar : Fresh off an exceptionally strong first-quarter performance, Vedanta AluminiumMetal Limited(NSE: VAML) has received a broad-based endorsement from leading domestic and global brokerages, with target prices ranging from ₹520 to ₹600 against the current market price of around ₹445-457, implying a potential upside of 17% to 35%.
Analysts believe the company’s combination of capacity expansion, industry-leading cost improvements, backward integration, and strong cash generation due to increasing quantum of value-added products, positions it for a multi-year earnings up cycle. Among the most bullish is ICICI Direct, which has set a target price of ₹600, implying nearly 35% upside. The brokerage believes the company is well positioned to capitalise on India’s structural aluminium demand growth, supported by capacity expansion, higher value-added products and improving profitability. It described Vedanta Aluminium as a “Hidden Gem” with significant long-term earnings potential.
Kotak Institutional Equities has also given a Buy rating on Vedanta Aluminium with a target price of ₹585.
Nuvama Institutional Equities also maintains a Buy rating with a target price of ₹540.
Motilal Oswal Financial Services, which has also initiated coverage with a Buy recommendation and a ₹540 target price, believes Vedanta Aluminium is approaching a significant inflection point.
Global brokerage Citi has reiterated its Buy rating with a ₹525 target price, citing a combination of structural cost improvements and visible growth catalysts.
Following the company’s Q1FY27 results, Emkay noted: “We believe the structural cost reduction story is intact…supported by higher captive alumina integration, commencement of captive bauxite and coal mines, and the BALCO expansion, which should drive margin expansion.”
Across all four brokerages, the common threads are clear: Record quarterly Revenue and Profit margins, expanding per-tonne margins on the back of cost discipline, a credible medium-term de-leveraging and growth story anchored in the BALCO expansion and captive raw material integration.With every major brokerage reiterating a Buy rating and assigning target prices between ₹520 and ₹600, the Street’s message is clear: Vedanta Aluminium’s record quarter is viewed not as the peak, but as the furtherance of a structurally stronger growth and earnings trajectory, underpinned by industry-leading costs, integrated operations and significant expansion runway.
