Vedanta Share Price Reaches Record High Following ICRA Credit Rating Upgrade

Vedanta Share Price Hits Record High After Receiving Highest Domestic Credit Rating in Over a Decade

Vedanta's share price surged over 1% to reach a new record high following the company's announcement that it had received its highest domestic credit rating in more than a decade. The rating agency ICRA, a Moody's affiliate, upgraded the long-term ratings of key Vedanta Group entities to AA+ with a Stable outlook.

According to ICRA, the ratings of Vedanta Land Vedanta Aluminium Metal Ltd (VAML) were upgraded to AA+/Stable, while Talwandi Sabo Power Ltd (TSPL) was upgraded to AA-/Stable from A+/Watch Developing. The agency also reaffirmed the group's short-term rating at the highest level of A1+.

This marks Vedanta Group's strongest domestic credit profile since 2014 and is a significant milestone as two of the largest businesses emerging from the demerger framework have now secured AA+ ratings. These businesses together account for more than 75% of the group's long-term debt.

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ICRA cited stronger profitability, robust operational performance, improved liquidity, and enhanced financial flexibility across key businesses as the reasons for the upgrade. The agency also expects Vedanta's positive momentum to continue through FY27, supported by favourable commodity prices, improving cost structures, and strong earnings visibility across its aluminium, zinc, and oil & gas businesses.

ICRA highlighted the group's improving refinancing profile, driven by lower borrowing costs, proactive debt repayments, and debt maturity extensions. According to ICRA, Vedanta's average interest costs declined by 200 basis points in FY26, significantly strengthening its debt-servicing capability and reducing refinancing risks at the promoter level.

The improved financial position positions the company well to complete its final refinancing phase with lower borrowing costs and longer debt tenures. The agency also assigned a Stable outlook and removed the "Watch" status on the ratings following the completion of the demerger process, which became effective from 1 May.

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Vedanta operates across a diverse portfolio that includes zinc, silver, aluminium, copper, nickel, iron ore, oil & gas, and power generation. ICRA noted that the Group's size, diversity, and cost-effective operations are significant advantages that support its long-term credit profile.

Vedanta's share price today opened at an intraday high of ₹360.70 per share and touched an intraday low of ₹353.40 per share on the BSE. According to Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities, Vedanta has broken out of the ₹321–₹341 consolidation range and has been trending higher since then.

Shah noted that the breakout was supported by a healthy increase in trading volumes, indicating strong buying interest in the stock. He added that trend strength has improved further, as reflected in the rising ADX indicator. The RSI has also shown resilience by rebounding after approaching the 60 mark on two occasions, signalling sustained bullish momentum.

He further highlighted that Vedanta is outperforming the broader market, which is evident from the rising Vedanta/Nifty ratio chart. According to Shah, the stock is likely to maintain its bullish trend as long as it holds above the ₹340–₹335 support zone.