Shares of Vedanta Limited hit a new high of Rs 642.50 on the back of an extended rally in commodity prices that has taken the market capitalization of the company at Rs 2.5 lakh crore in the trading session of January. The shares have gained nearly 5.25% on a year-to-date basis.

The stock delivered a return of over 54% over the past twelve months (January 13, 2025 to January 13, 2026) on the National Stock Exchange, significantly outperforming the benchmark indices. On a total return basis, including dividends, Vedanta’s stock delivered an even higher return of around 60% during the period. This performance is approximately five times that of the flagship indices Sensex & Nifty 50 and 1.5 times the Nifty Metals index. The shares closed at Rs 637.20 on Tuesday.

As of the end of December, Vedanta is the 23rd most valuable listed company in India, excluding BFSI and PSU companies.

Vedanta’s stock price has been buoyed by potential medium-term upside in aluminium on the London Metal Exchange (LME), volume growth, likely lower costs, and expectations that the demerger will unlock value across the company’s sprawling portfolio. Copper prices also crossed the $13,000-a-ton mark for the first time, extending the recent rally.

Adding to the gains is the order by the NCLT’s Mumbai bench on December 16 approving Vedanta’s demerger into five independent, pure-play businesses. As per Vedanta, the demerger will result in five separate listed companies (including the already listed Vedanta Limited), each with a clear strategic mandate, focused management teams, and dedicated capital structures. According to the company, the demerger is designed to unlock long-term value for shareholders and provide investors with exposure to assets aligned with India’s growth and global energy transition trends.

Vedanta’s subsidiary, Hindustan Zinc, is also benefiting from a rally in silver prices, which has lifted its market cap above Rs 2.66 lakh crore as of January 13 (NSE). The company’s stock has delivered nearly 50% returns over the past year (January 13, 2025, to January 13, 2026). In December, global research firm Jefferies initiated coverage on Hindustan Zinc, emphasizing the company’s positioning as the world’s largest integrated zinc producer and among the top five global silver producers.