Vedanta share price edges lower following weak Indian stock market bias

Vedanta share price dropped by more than one per cent during Monday's trading session, reflecting a weak trend in the market. The Indian stock market is encountering challenges due to ongoing selling by foreign institutional investors and global uncertainties associated with Trump tariffs. Experts suggest that the trend of ‘Sell India, Buy China’ may persist for a while, as Chinese stocks remain appealing.

Vedanta announced on Friday that it has been chosen as the preferred bidder for a diamond mine located in Madhya Pradesh. The company stated that its final bid offers 1.10 per cent, making it the highest bidder for Kauhari Diamond Block.

The mine is currently at the G4 exploration level, covering a total area of 643.4169 hectares for the designated block.

The G4 exploration stage represents the reconnaissance phase, aimed at pinpointing possible mineral deposits on a broader scale. This phase is a preliminary exploration that incorporates organised geological mapping and airborne geophysical surveys.

The issuance of a composite license by the government for the specified block will depend on the payment of a performance bank guarantee, fulfillment of other requirements outlined in the tender document, obtaining necessary approvals from various government agencies, and the execution of relevant agreements, stated the company.

The government of Madhya Pradesh called for tenders to engage in an auction for the composite license of the diamond block. The company took part in the bidding process for the assignment of the mine's composite license.

Vedanta Shares: Tech View

Riyank Arora, Technical Analyst, Mehta Equities Ltd explained that Vedanta's share price is having bullish formation on technical charts. 

“Resistance is placed at 440 odd levels above which the next resistance is placed near 450 mark. A strict stoploss should be kept at 425 level for all existing longs as the overall outlook on metal stocks remains positive,” said Arora.

Vedanta Q3 Results

Vedanta announced a 76.2% increase in consolidated net profit, reaching ₹3,547 crore for the quarter ending December 31, 2024, attributed to a rise in revenue. The profit recorded in the same quarter last year was ₹2,013 crore, as stated by Vedanta Ltd in a filing with the BSE.

The company's consolidated income rose by 9.5%, amounting to ₹39,795 crore, compared to ₹36,320 crore for the corresponding quarter of the previous fiscal year. Vedanta's consolidated revenue for the third quarter was ₹38,526 crore, reflecting a four percent increase quarter-on-quarter and a ten percent increase year-on-year, driven by favourable market prices and higher premiums.

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