Vedanta shares drop 26% in two months, erase all post-demerger gains. Time to buy or better to avoid?

Vedanta shares have fallen 26 percent over two months to close at around Rs 265, erasing all post-demerger gains and trading below the adjusted opening price after a brief rally to Rs 360. Despite CRISIL upgrading the company's long-term rating to CRISIL AA+/Stable citing improved financial risk profile from Hindustan Zinc consolidation and lower leverage, technical charts remain bearish with the stock trading below key moving averages. Analysts attribute the decline to profit-booking after post-listing euphoria and a holding-company discount, while flagging Hindustan Zinc's Q1 earnings on July 24 as the next catalyst.