Overall Fundamental outlook

Business Operations:

Sector: Consumer Defensive
Industry: Beverages - Non-Alcoholic

Varun Beverages Limited, together with its subsidiaries, manufactures, bottles, sells, and distributes beverages and value-added products under the PepsiCo brands. It offers carbonated soft drinks under the Pepsi, Pepsi Zero, Mountain Dew, Mirinda, and 7UP brands, as well as Refreshhh, Coo-ee, and Jive brands; fruit pulp/juice-based drinks under the Tropicana, Tropicana Delight, Slice, and Nimbooz brands; club sodas under the Evervess and Dukes brands; and energy drinks under the Sting and Rockstar brands. The company also provides sports drinks under the Gatorade brand; carbonated juice-based drinks under the 7UP Nimbooz Masala Soda brand; ice-tea under the Lipton brand; packaged drinking water under the Aquafina and Aquavess brands, as well as Refreshhh and Aquaclear brand names; and snacks under the FritoLay, Cheetos, Doritos, Simba, and Kurkure brands. In addition, it offers energy drink under the Reboost Energy brand name; and value-added dairy-based beverages under the Cream bell brand name. The company operates in India, Sri Lanka, Nepal, Zambia, Morocco, Zimbabwe, RDC, Mozambique, South Africa, Lesotho, Eswatini, Namibiam, and Botswana. The company was incorporated in 1995 and is based in Gurugram, India.

Revenue projections:

Revenue projections for VBL
Revenue projections for VBL

VBL's projected revenue decline from last year is likely to make investors cautious. Lower revenues often hurt a company's bottom line, leading investors to be concerned about the company's ability to maintain profitability and deliver strong financial results in the future.

Financial Ratios:

currentRatio 1.938000
forwardPE 42.118237
debtToEquity 12.705000
earningsGrowth 0.333000
revenueGrowth 0.140000
grossMargins 0.551980
operatingMargins 0.013400
trailingEps 8.980000
forwardEps 11.644600

VBL's current ratio, being 1.938, demonstrates that the company has the liquidity necessary to service its short-term debt. With strong cash reserves and current assets, VBL is well-equipped to meet its immediate financial obligations without any difficulties.
VBL's Debt-to-Equity ratio is low, indicating the company is not over-leveraged. This suggests a prudent approach to financing, with minimal dependence on debt, reducing the financial risk associated with high leverage, and signaling a stable financial outlook.
VBL's positive earnings and revenue growth reflect an optimistic outlook for the company's future. The growth in these key areas indicates that VBL is expected to continue expanding its business and boosting its financial performance in the coming periods.
VBL's forward EPS surpassing its trailing EPS signals that the company is anticipated to be more profitable this year than last. This growth expectation highlights VBL's potential for increased earnings and a stronger financial performance in the upcoming year.

Price projections:

Price projections for VBL
Price projections for VBL

Varun Beverages Limited's current price shows alignment with projections, offering no clear risks or opportunities. This neutral stance indicates a stable market environment, where investors may prefer to maintain their positions until more compelling information surfaces.

Recommendation changes over time:

Recommendations trend for VBL
Recommendations trend for VBL


The recent buy bias from analysts suggests VBL is seen as a strong investment, encouraging more investors to consider it. With this favorable sentiment, VBL appears to be a reliable option for parking money, offering stability and long-term growth potential in the stock market.