Varun Beverages Ltd: Rising by 5.50%: PepsiCo Franchise Player | Espresso

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Espresso Shot of the Day - Varun Beverages Ltd up by 5.50 percent

April 25, 2022
Espresso Shot of the Day - Varun Beverages Ltd up by 5.50 percent

VARUN BEVERAGES LTD 1096.95  (+5.50%) BSE – INE200M01013 | 25THAPRIL 2022


Varun Beverages Limited (VBL or Company) is a key player in the beverage industry and is one of the largest franchisees of PepsiCo in the world (outside of USA). The Company produces and distributes a wide range of carbonated soft drinks (CSDs) as well as a large selection of non-carbonated beverages (NCBs), including packaged drinking water sold under trademarks owned by PepsiCo. PepsiCo CSD brands produced and sold by VBL include Pepsi, Diet Pepsi, Seven-Up, Mirinda Orange, Mirinda Lemon, Mountain Dew, Mountain Dew Ice, Seven-Up Nimbooz Masala Soda, Evervess, Sting, Gatorade and Slice Fizzy Drinks. PepsiCo NCB brands produced and sold by the Company include Tropicana Slice, Tropicana Juices (100%, Delight, Essentials), Nimbooz, as well as packaged drinking water under the brand Aquafina. VBL has been associated with PepsiCo since the 1990s. In two and half decades, it has consolidated its business association with PepsiCo, increased the number of licensed territories and sub-territories covered by the Company, produced and distributed a wider range of PepsiCo beverages, introduced various SKUs in the portfolio, and expanded the distribution network. As on date, VBL has been granted franchises for various PepsiCo products across 27 States and 7 Union Territories in India. VBL has 31 manufacturing plants in India and 6 manufacturing plants in international geographies (two in Nepal and one each in Sri Lanka, Morocco, Zambia and Zimbabwe).


Recent Drivers

  • On Mar 03, 2022, the company approved a grant of 6,000 Stock Options to the eligible employee of the Company under the ESOS 2016.
  • On Mar 02, 2022, the company approved the proposal to enter into an agreement to manufacture 'Kurkure Puffcorn' for PepsiCo India Holdings.
  • On Feb 03, 2022, the company reported Net Sales at Rs.1, 734.34 crores in December 2021, up 30.31% from Rs.1, 330.89 crores in December 2020.
  • On Feb 03, 2022, the company reported a Quarterly Net Profit of Rs.16.49 crores in December 2021
(Sources: Moneycontrol, BSE, Business Standard)


Technical Force*

  • S&P BSE SmallCap month till date gain up by -1.56%
  • 3 months avg. NSE volume: 559,141
  • Quantity traded: 33,708 | Deliverable Quantity: 6,054 (17.96%)
  • Stock price has jumped by more than 85% from a one-year low level: 584.00 (Apr 26, 2021)
  • Daily RSI (14) is nearby Oversold territory today
  • 52-week-high: 1117.90 | 52-week-low: 584.00


Key Pivot  (Yearly)

R4

R3

R2

R1

PP /FIB PP

S1

S2

S3

S4

Pivot Point

-

1531.03

1275.52

1081.03

825.52

631.03

375.52

181.03

    -

Fibonacci Pivot

1275.52

1103.62

997.42

929.02

825.52

722.02

653.62

547.42

375.52


Today’s Close

1096.95

SMA

BSE

10 DAY

1028.39

20 DAY

989.51

50 DAY

955.03

200 DAY

889.33


Some Key Ratios (Source: BSE)

Market Cap: 47,501.56 Crores

PE: 97.04

OPM%: 8.97

ROE%: 11.13

Promoters holding%: 64.89

Prev. Close: 1039.75


*Chart and Technical Force data from the Binge desktop app
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Chandresh Khona
by Chandresh Khona

Product Offerings Head

A teacher, writer, travel buff and now Espresso's Product Offerings Head. Ten years here has allowed me to lead the digital team at Sharekhan. My true passion lies in stock market charts.