Shares of Vedanta, a major Indian metal company, surged 4.2% to reach a new high of ₹316.90 on the Bombay Stock Exchange (BSE) amid heavy trading volumes, marking a 17% increase over three days. This rally follows the company's demerger, which became effective on May 1, 2026, resulting in the creation of five independent entities: Vedanta Aluminium, Vedanta Power, Vedanta Oil & Gas, Vedanta Iron & Steel, and a residual Vedanta entity. The stock bounced back from a post-demerger low of ₹268.70. Analysts at ICICI Securities suggest that Vedanta's stock could trade between ₹300-325 as the market adjusts to the new structure, with the residual entity primarily benefiting from its stake in Hindustan Zinc. Among the demerged entities, Vedanta Aluminium is highlighted as the most promising, with an expected valuation exceeding ₹400 per share due to favorable market conditions and strong revenue contributions. Furthermore, Vedanta has laid out ambitious expansion plans across its sectors, aiming to double its aluminium production capacity to 6 million tonnes per annum. Meanwhile, Crisil Ratings has withdrawn its rating on ₹6,089 crore in Non-Convertible Debentures due to their transfer to Vedanta Aluminium post-demerger.