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Varun Beverages (NSE:VBL) PEG Ratio : 3.38 (As of Apr. 26, 2024)


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What is Varun Beverages PEG Ratio?

PE Ratio without NRI / 5-Year EBITDA Growth Rate*

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, Varun Beverages's PE Ratio without NRI is 91.15. Varun Beverages's 5-Year EBITDA growth rate is 27.00%. Therefore, Varun Beverages's PEG Ratio for today is 3.38.

* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


The historical rank and industry rank for Varun Beverages's PEG Ratio or its related term are showing as below:

NSE:VBL' s PEG Ratio Range Over the Past 10 Years
Min: 2.28   Med: 3.06   Max: 10.11
Current: 3.26


During the past 9 years, Varun Beverages's highest PEG Ratio was 10.11. The lowest was 2.28. And the median was 3.06.


NSE:VBL's PEG Ratio is ranked worse than
66% of 50 companies
in the Beverages - Non-Alcoholic industry
Industry Median: 1.73 vs NSE:VBL: 3.26

Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.


Varun Beverages PEG Ratio Historical Data

The historical data trend for Varun Beverages's PEG Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Varun Beverages PEG Ratio Chart

Varun Beverages Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PEG Ratio
Get a 7-Day Free Trial Premium Member Only - 8.43 4.72 2.60 2.72

Varun Beverages Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PEG Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.60 2.39 2.28 2.34 2.72

Competitive Comparison of Varun Beverages's PEG Ratio

For the Beverages - Non-Alcoholic subindustry, Varun Beverages's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Varun Beverages's PEG Ratio Distribution in the Beverages - Non-Alcoholic Industry

For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Varun Beverages's PEG Ratio distribution charts can be found below:

* The bar in red indicates where Varun Beverages's PEG Ratio falls into.



Varun Beverages PEG Ratio Calculation

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The ratio we use is the 5-Year EBITDA growth rate.

Varun Beverages's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=91.147281921618/27.00
=3.38

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


Varun Beverages  (NSE:VBL) PEG Ratio Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


Varun Beverages PEG Ratio Related Terms

Thank you for viewing the detailed overview of Varun Beverages's PEG Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Varun Beverages (NSE:VBL) Business Description

Traded in Other Exchanges
Address
Plot No. 31, Institutional Area, Sector - 44, RJ Corp House, Gurugram, HR, IND, 122 002
Varun Beverages Ltd is engaged in manufacturing, selling, bottling, and distribution of beverages of Pepsi brand in geographically pre-defined territories of India, Sri Lanka, Nepal, Zambia, Morocco, and Zimbabwe. Its brands include Seven-Up, Mountain Dew, Mirinda, Nimbooz, Tropicana Slice, and other related products. The firm generates a majority of its revenue within India.

Varun Beverages (NSE:VBL) Headlines

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