Vedanta share price drops below Rs 500, finds support at moving average; Dividend update inside

Vedanta’s Share Price Movement

Vedanta’s share price witnessed a significant surge in September 2024, hitting a 52-week high of Rs 523.65. However, the stock experienced a correction, dropping below the key psychological level of Rs 500. As of October 16, 2024, Vedanta’s share price has retraced 38.2% of its sharp rally from the September low of Rs 424.55 to the September high.

The stock’s recent retracement has been slower than its rapid 23% rise in just 13 trading sessions. This slower correction, taking 11 trading sessions to retrace, suggests it could be a routine adjustment after a swift upward movement. Vedanta’s share price is currently hovering around its 20-day moving average (20-DMA), a crucial technical indicator for traders.

Vedanta Dividend Announcement 

Initially, Vedanta had planned to hold a board meeting on October 8, 2024, to recommend its fourth interim dividend for FY25. However, the meeting was rescheduled to October 9 and then eventually cancelled. On October 11, 2024, Vedanta further announced that the record date for the fourth interim dividend, which was set for October 16, was also cancelled.

Despite these cancellations, investors remain eager to see if Vedanta will announce the fourth interim dividend in the coming months of FY25. As of now, Vedanta has already paid a total of Rs 35 per share in interim dividends for FY25. The company declared a third interim dividend of Rs 20 per share in September 2024, a second interim dividend of Rs 4 per share in July, and a first interim dividend of Rs 11 per share in May 2024.

Vedanta Limited Overview

Vedanta Limited (VEDL), established in June 1965 by Mr. Anil Agarwal, is a subsidiary of Vedanta Resources Limited and is headquartered in Mumbai, India. The company holds a diverse portfolio, encompassing metals, minerals, oil, gas, and power segments. Its key business verticals include zinc, silver, lead, aluminium, copper, and iron ore. Additionally, Vedanta has ventured into the semiconductor and display glass manufacturing sector, further diversifying its operations. Vedanta is one of the largest producers of aluminium and zinc in India, commanding a significant market share in these segments.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.