Varun Beverages share: On Thursday, September 12, 2024, Varun Beverages Ltd. saw its stock rise by 5% as it started trading post-stock split. The stock opened at ₹640.15 on the BSE, up from the previous close of ₹627.60, and continued to climb, reaching an intraday high of ₹665.65—a gain of over 5%. Investor attention is focused on Varun Beverages due to its stock split, which reduced the face value of shares from ₹5 to ₹2. The company’s board, in an announcement on September 2, 2024, set the record date for the stock split as September 12, 2024, determining which shareholders would be eligible for the split. This move had been approved earlier by shareholders via postal ballot on August 30, 2024. Varun Beverages, one of the largest global franchisees for PepsiCo, had already seen its stock price rise by nearly 5% following the stock split announcement. The 5% increase on Thursday further added to the gains.
Varun Beverages share price for stock split 2024
Mirae Resource Capital Markets has highlighted Varun Beverages as one of its best picks,
with a pre-split target cost of ₹1,734, anticipating a 10% potential return from current levels.
The company posted strong Q2CY24 results, with a 28.7% year-over-year revenue growth,
bringing total revenue to ₹73.3 billion. Volumes were up by 28.1%, and gross margins
improved to 53.7%, while EBITDA margins hit 27.2%. Mirae Asset noted the company’s
strong performance in both domestic and international markets.
VBL Stock Split
Motilal Oswal Financial Services (MOFSL) also maintained a positive outlook on the stock,
setting a post-split target price of ₹1,850. After the Q2FY24 results, the company’s
management projected double-digit volume growth in India and a recovery in international
markets, especially Zimbabwe, by Q3 2024. MOFSL maintained its earnings estimates for
Varun Beverages for CY24, CY25, and CY26.
Disclaimer: The views and recommendations mentioned are those of individual analysts and
brokerage firms. Investors must consult certified/authorized financial advisors before making
any investment decisions.
