Varun Beverages

Why is Varun Beverages Ltd falling/rising?

As of 22-Jun, Varun Beverages Ltd's stock price is currently Rs 512.75, reflecting a 3.1% decline. Despite strong long-term fundamentals, the stock is experiencing a short-term bearish trend, underperforming against the benchmark Sensex and its sector.

As of 22-Jun, Varun Beverages Ltd's stock price is falling, currently at Rs 512.75, which reflects a decrease of Rs 16.4 or 3.1%. The stock has been underperforming compared to the benchmark Sensex, which has gained 1.09% over the past week while Varun Beverages has declined by 5.36%. Additionally, the stock has experienced a consecutive fall over the last three days, resulting in a total decline of 5.77% during this period.<BR><BR>Today's trading session saw the stock hit an intraday low of Rs 504.2, marking a decrease of 4.72%. The weighted average price indicates that more volume was traded closer to this low price, suggesting a lack of buying support at higher levels. Furthermore, despite a rise in investor participation with a delivery volume increase of 63.43% against the 5-day average, the stock's performance today has underperformed its sector by 2.05%.<BR><BR>While Varun Beverages has shown strong long-term fundamentals, including a solid return on equity and healthy growth rates, the recent price movements indicate a short-term bearish trend influenced by market conditions and investor sentiment.

Which are the latest news on Varun Beverages?

Should I buy, sell or hold Varun Beverages Ltd?

What does Varun Beverages do?

Varun Beverages Ltd is a major beverage company and the second largest global franchisee of PepsiCo, specializing in carbonated and non-carbonated drinks. As of March 2026, it reported net sales of ₹6,574 Cr and a net profit of ₹872 Cr, with a market cap of ₹181,156 Cr.

Overview:<BR>Varun Beverages Ltd is a large-cap company in the beverages industry, serving as the second largest franchisee globally (outside the US) of carbonated soft drinks and non-carbonated beverages under PepsiCo trademarks.<BR><BR>History:<BR>Varun Beverages Ltd is part of the RJ Corp group and has been operational for several years, with the latest quarterly results reported for March 2026, showcasing significant sales and profit figures.<BR><BR>Financial Snapshot:<BR>Most recent Net Sales: 6,574 Cr (Quarterly Results - Mar 2026) <BR>Most recent Net Profit: 872 Cr (Quarterly Results - Mar 2026) <BR>Market-cap value: INR 181,156 Cr (Large Cap) <BR><BR>Key Metrics:<BR>P/E: 56.00 <BR>Industry P/E: 55 <BR>Dividend Yield: 0.28% <BR>Debt-Equity: 0.03 <BR>Return on Equity: 15.51% <BR>Price to Book: 9.16 <BR><BR>Contact Details:<BR>Address: F-2/7 Okhla Industrial Area, Phase-I New Delhi New Delhi : 110020 <BR>Tel: 91-124-4643100/41706720-25 <BR>Email: complianceofficer@rjcorp.in <BR>Website: http://www.varunpepsi.com

How big is Varun Beverages?

As of 10th June, Varun Beverages Ltd has a market capitalization of 181,156.00 Cr, with net sales of 22,692.63 Cr and a net profit of 3,182.36 Cr reported in the latest four quarters.

As of 10th June, Varun Beverages Ltd has a market capitalization of 181,156.00 Cr and is classified as a Large Cap company.<BR><BR>In the latest four quarters, Varun Beverages reported net sales of 22,692.63 Cr and a net profit of 3,182.36 Cr.<BR><BR>The latest annual period for the balance sheet is December 2025, with shareholder's funds amounting to 19,578.70 Cr and total assets of 25,540.72 Cr.

Who are in the management team of Varun Beverages?

The management team of Varun Beverages includes Chairman Ravi Kant Jaipuria, Executive Vice Chairman Varun Jaipuria, and several Whole-time and Independent Directors, along with the Company Secretary Ravi Batra, all responsible for the company's strategic direction and regulatory compliance.

The management team of Varun Beverages includes the following key individuals:<BR><BR>1. **Ravi Kant Jaipuria** - Chairman (Non-Executive)<BR>2. **Varun Jaipuria** - Executive Vice Chairman<BR>3. **Raj Pal Gandhi** - Whole-time Director<BR>4. **Rajinder Jeet Singh Bagga** - Whole-time Director<BR>5. **Naresh Kumar Trehan** - Independent Director<BR>6. **Pradeep Sardana** - Independent Director<BR>7. **Sita Khosla** - Independent Director<BR>8. **Ravi Gupta** - Independent Director<BR>9. **Rashmi Dhariwal** - Independent Director<BR>10. **Abhiram Seth** - Additional Independent Director<BR>11. **Anil Kumar Sondhi** - Additional Independent Director<BR>12. **Ravi Batra** - Company Secretary & Compliance Officer<BR><BR>This team plays a crucial role in guiding the company's strategic direction and ensuring compliance with regulations.

Who are the peers of the Varun Beverages?

Varun Beverages' peers include United Spirits, Radico Khaitan, United Breweries, and others. Varun Beverages shows excellent management and growth, with a 1-year return of 10.79%, while Radico Khaitan leads with a 35.33% return.

Peers: Varun Beverages, United Spirits, Radico Khaitan, United Breweries, Allied Blenders, Tilaknagar Inds., Globus Spirits, G M Breweries, Assoc.Alcohols, Som Distilleries.<BR><BR>Quality Snapshot: Excellent management risk is observed at Varun Beverages, while Good management risk is found at United Spirits, Radico Khaitan, United Breweries, Allied Blenders, and Globus Spirits. Average management risk is noted at Tilaknagar Inds., G M Breweries, Assoc.Alcohols, Som Distilleries, and Sula Vineyards. For Growth, Excellent growth is seen at Varun Beverages, United Breweries, and Tilaknagar Inds., while Good growth is observed at United Spirits, Radico Khaitan, Allied Blenders, and Globus Spirits. Below Average growth is noted at Globus Spirits and Assoc.Alcohols, while Average growth is found at G M Breweries and Som Distilleries. Excellent capital structure is present at Varun Beverages, United Spirits, Radico Khaitan, United Breweries, G M Breweries, and Assoc.Alcohols, while Average capital structure is seen at Allied Blenders, Tilaknagar Inds., and Sula Vineyards.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Radico Khaitan at 35.33%, while the lowest is Som Distilleries at -54.44%. Varun Beverages has a 1-year return of 10.79%, which is higher than that of United Spirits, United Breweries, Globus Spirits, Assoc.Alcohols, and Som Distilleries, all of which have negative six-month returns.

Has Varun Beverages Ltd declared dividend?

Yes, Varun Beverages Ltd has declared a dividend of 25% (0.5 per share) with an ex-date of April 30, 2026. The company has demonstrated strong total returns over the long term, particularly with a 272.27% return over the last 4 years and 547.4% over the last 5 years.

Varun Beverages Ltd has declared a dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 25%<BR>- Amount per share: 0.5<BR>- Ex-date: 30 Apr 26<BR><BR>Dividend Yield: 0.29%<BR><BR>Total Returns by Period:<BR>In the last 3 months, the price return was 11.87%, the dividend return was 0.21%, resulting in a total return of 12.08%.<BR><BR>Over the past 6 months, the price return was 5.61%, the dividend return was 0.21%, leading to a total return of 5.82%.<BR><BR>In the 1-year period, the price return was -1.08%, the dividend return was 0.37%, resulting in a total return of -0.71%.<BR><BR>For the 2-year period, the price return was -11.96%, the dividend return was 0.65%, culminating in a total return of -11.31%.<BR><BR>In the last 3 years, the price return was 81.21%, the dividend return was 2.00%, resulting in a total return of 83.21%.<BR><BR>Over the past 4 years, the price return was 265.57%, the dividend return was 6.70%, leading to a total return of 272.27%.<BR><BR>In the 5-year period, the price return was 533.83%, the dividend return was 13.57%, culminating in a total return of 547.4%.<BR><BR>Overall, Varun Beverages Ltd has declared a dividend and has shown significant total returns over longer periods, particularly in the 4 and 5-year spans, indicating strong performance and shareholder value.

Are Varun Beverages Ltd latest results good or bad?

Varun Beverages Ltd's Q4 FY26 results are strong, with a net profit increase of 246.46% quarter-on-quarter and revenue growth of 56.36%. However, the stock's high P/E ratio of 55 suggests it may be overvalued, leading to a cautious "HOLD" investment rating.

Varun Beverages Ltd's latest results for Q4 FY26 can be considered quite strong overall. The company reported a net profit of ₹872.36 crore, which is a remarkable increase of 246.46% quarter-on-quarter and 20.08% year-on-year. Revenue also saw significant growth, reaching ₹6,574.19 crore, up 56.36% from the previous quarter and 18.09% compared to the same quarter last year.<BR><BR>Additionally, the operating margin improved to 23.26%, reflecting strong operational efficiency and a better product mix. The company's return on equity (ROE) stands at a solid 21.43%, indicating effective capital utilization.<BR><BR>However, there are some concerns regarding the stock's valuation. It is currently trading at a high P/E ratio of 55 times trailing earnings, which raises questions about whether the stock is overvalued. Despite the strong financial performance, the stock is categorized as "very expensive," and the investment rating is a cautious "HOLD."<BR><BR>In summary, while the financial results are impressive and showcase the company's operational strength, the high valuation may pose risks for potential investors.

When is the next results date for Varun Beverages Ltd?

The next results date for Varun Beverages Ltd is April 27, 2026.

The next results date for Varun Beverages Ltd is scheduled for April 27, 2026.

Is Varun Beverages technically bullish or bearish?

As of November 26, 2025, Varun Beverages shows a mildly bearish trend, supported by mixed MACD signals, bearish KST and OBV indicators, and Bollinger Bands indicating weak bearish sentiment.

As of 26 November 2025, the technical trend for Varun Beverages has changed from bearish to mildly bearish. The current stance is mildly bearish, driven by several key indicators. The MACD on a weekly basis is mildly bullish, but the monthly MACD is mildly bearish, indicating mixed signals. The moving averages are also showing a mildly bearish trend on the daily timeframe. Additionally, both the KST and OBV indicators are bearish on a weekly basis, further supporting the mildly bearish outlook. Bollinger Bands reflect a mildly bearish stance on the weekly and bearish on the monthly. Overall, the combination of these indicators suggests a weak bearish sentiment in the current market environment.

How has been the historical performance of Varun Beverages?

Varun Beverages has exhibited significant growth from December 2020 to December 2024, with net sales increasing from 6,450.14 crore to 20,007.65 crore, and profit after tax rising from 357.27 crore to 2,635.77 crore, indicating strong operational performance and financial health. Total assets also grew substantially, from 8,375.59 crore to 23,124.28 crore during the same period.

Answer:<BR>The historical performance of Varun Beverages shows significant growth in net sales and profitability over the years, culminating in a strong performance in December 2024.<BR><BR>Breakdown:<BR>Varun Beverages has demonstrated a consistent upward trend in net sales, increasing from 6,450.14 crore in December 2020 to 20,007.65 crore in December 2024. This growth is reflected in the total operating income, which rose from 8,823.23 crore in December 2021 to 20,007.65 crore in December 2024. The company's operating profit (PBDIT) also saw a substantial increase, reaching 4,832.34 crore in December 2024, up from 1,238.83 crore in December 2020. Profit before tax followed a similar trajectory, growing from 362.51 crore in December 2020 to 3,434.57 crore in December 2024, while profit after tax increased from 357.27 crore to 2,635.77 crore in the same period. The company's total assets rose significantly from 8,375.59 crore in December 2019 to 23,124.28 crore in December 2024, indicating robust growth in its financial position. Additionally, cash flow from operating activities improved from 1,011 crore in December 2020 to 3,381 crore in December 2024, contributing to a closing cash and cash equivalent of 2,266 crore in December 2024, up from 242 crore in December 2023. Overall, Varun Beverages has shown remarkable growth in sales, profits, and cash flow, reflecting its strong operational performance and financial health.

Is Varun Beverages overvalued or undervalued?

As of June 20, 2023, Varun Beverages is considered very expensive with a PE ratio of 57.96 and a year-to-date return of -25.44%, indicating it is overvalued compared to its peers in the beverage sector.

As of 20 June 2023, Varun Beverages' valuation grade has moved from expensive to very expensive, indicating a significant shift in its perceived market value. The company is currently overvalued, with a PE ratio of 57.96, a Price to Book Value of 9.71, and an EV to EBITDA ratio of 32.43. These figures suggest that the stock is trading at a premium compared to its earnings and book value.<BR><BR>In comparison to its peers, Varun Beverages stands out with a PE ratio of 57.96, while similar companies in the beverage sector exhibit lower valuations, reinforcing the notion of overvaluation. Additionally, the company's recent performance has been underwhelming, with a year-to-date return of -25.44%, contrasting sharply with the Sensex's gain of 5.61% during the same period. This further underscores the disconnect between its high valuation and actual market performance.

Who are the top shareholders of the Varun Beverages?

The top shareholders of Varun Beverages include Rj Corp Limited with 25.69%, foreign institutional investors owning 22.98%, mutual funds at 5.77%, and individual investors at 5.81%, with the Government Pension Fund Global as the largest public shareholder at 2.16%. The ownership structure shows a strong presence of promoters and significant institutional investment.

The top shareholders of Varun Beverages include several key players. The majority shareholders are the promoters, with Rj Corp Limited holding the largest share at 25.69%. Additionally, foreign institutional investors (FIIs) have a significant presence, owning 22.98% of the shares through 959 different entities. Mutual funds hold 5.77% across 37 schemes, while individual investors account for 5.81%. The highest public shareholder is the Government Pension Fund Global, which holds 2.16%. Overall, the ownership structure reflects a strong promoter presence along with substantial institutional investment.

What is the bonus history of the Varun Beverages?

Varun Beverages has issued bonuses in a 1:2 ratio, with the most recent on June 6, 2022, and prior bonuses on June 10, 2021, and July 25, 2019. This consistent practice demonstrates the company's commitment to rewarding shareholders.

Varun Beverages has a history of issuing bonuses in a 1:2 ratio. The most recent bonus was announced on June 6, 2022, with a record date of June 7, 2022. Prior to that, the company issued a similar bonus on June 10, 2021, with a record date of June 12, 2021. Additionally, there was another 1:2 bonus issued on July 25, 2019, with a record date of July 27, 2019. This consistent bonus issuance reflects the company's strategy to reward its shareholders.