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The BSE, founded in 1875, is Asia's oldest stock exchange — it started under a banyan tree on Dalal Street, where the bronze bull stands today.
History
The BSE, founded in 1875, is Asia's oldest stock exchange — it started under a banyan tree on Dalal Street, where the bronze bull stands today.
The BSE, founded in 1875, is Asia's oldest stock exchange — it started under a banyan tree on Dalal Street, where the bronze bull stands today.
Varun Beverages Limited is an India-based company, which is a franchisee of PepsiCo. It produces and distributes a range of carbonated soft drinks (CSDs), as well as non-carbonated beverages (NCBs), including packaged drinking water sold under trademarks owned by PepsiCo.…
Weekly engine runs — movement reflects the numbers, not analyst opinion.
A decent, fast-growing business, fully valued.
Varun Beverages is scored on the consumer / fmcg framework. It keeps a healthy 13.5% of every rupee of sales as net profit. Those profits are backed by real cash — operating cash flow runs 1.16× reported profit. Free cash flow is worth about 0.5% of its market value.
Over the last 3 years revenue compounded at 19%/yr and profit at 25%/yr. Book value itself has compounded 56%/yr — the hallmark of a genuine compounder. Return on equity is a healthy 15.5%. In the latest quarter profit fell 45% versus the prior quarter.
At 49× earnings, the stock sits at the 60th percentile of its own 3.9-year range — the middle of where it has historically traded. Today's price already implies ~22%/yr earnings growth sustained for a decade — a demanding bar. The books come through clean — a forensic grade of A, and Altman puts distress risk in the safe zone.
A plain-English restatement of the figures on this page — rules-based, for education and research context, not investment advice or a recommendation.
| Ratio | Company | Sector | Read |
|---|---|---|---|
| P/E | 52.65 | — | — |
| P/B | 8.59 | 3.48 | worse |
| EV/EBITDA | 30.02 | — | — |
| ROE | 15.51 | 6.57 | better |
| ROCE | 19.85 | 9.38 | better |
| ROA | 12.13 | 6.06 | better |
| Quick Ratio | 1.21 | 3.91 | worse |
| Peer | P/E | P/B | ROE |
|---|---|---|---|
| Hindustan Unilever | 31.1 | 9.6 | 22.9% |
| ITC | 18.4 | 5.0 | 26.4% |
| Nestle India | 60.5 | 42.7 | 70.6% |
Revenue has grown every year across all 4 financial years shown. 19% CAGR over 3 years — steady double-digit compounder. Growth is decelerating — latest year grew slower than the year before.
Net profit has risen every year — the hallmark of a compounder. Profit is growing faster than revenue (25% vs 19%) — margin expansion is at work.
Operating margin has expanded from 15% to 18% — the business is keeping more of each rupee earned.
ROE at 16% — a respectable return on shareholder capital. Capital efficiency declining — ROE down 14pp.
Profit grew faster than EPS (25% vs -8%) — share dilution is eroding per-share value. -8% EPS CAGR — this is the rate at which each share's claim on earnings is compounding.
Operating cash flow has been positive every year — the business generates real cash, not just accounting profit. Heavy investing spend every year, but operations generate enough to cover it — the business self-funds its growth.
When operating cash keeps pace with reported profit, earnings are cash-backed; a persistent shortfall is a quality flag.
Revenue fell 22% QoQ — could be seasonality or a genuine slowdown. Wide quarterly swings (50% spread) — likely seasonality, lumpy orders, or project-based revenue. Run-rate stepping up — recent quarters average 41% above earlier ones.
Profit fell 45% QoQ — one-quarter drops can be noise, but a pattern matters. Quarterly net margins are expanding (6% → 12%) — profitability per rupee of revenue is improving.
How today's P/E compares to the stock's own historical range. Dashed line = the 3.9y median.
Promoter holding at 59.4% — majority control intact. FIIs trimmed 2.8pp — foreign money is rotating out.
Produced by a rules-based engine over licensed exchange fundamentals — every sentence above is derived from the numbers shown, no analyst or AI opinion involved. Education and research context, not investment advice. We are not SEBI-registered as an Investment Adviser or Research Analyst.