Loading...
Back to narrative

VARROC: Electric Mobility Expansion And Steady Financials Will Signal Measured Outlook

Electric Vehicles And Energy Efficiency Will Reshape Performance

VARROC logo
VARROC
AnalystConsensusTarget
Not Invested
Published 13 Mar 2025

Update shared on 29 Nov 2025

Fair value Increased 3.36%
Previous
n/a
n/a
AnalystConsensusTarget's Fair Value
n/a
Loading
1Y
8.6%
7D
1.9%

Analysts have raised their fair value estimate for Varroc Engineering from ₹625.4 to ₹646.4, citing ongoing improvements in key financial metrics and a slightly more favorable discount rate outlook.

What's in the News

  • Varroc announced a major new business win with an electric vehicle OEM, supplying critical High Voltage electronics for e-powertrain components, including power electronics units, inverters, onboard chargers, battery management systems, and DC-DC converters. This marks a significant expansion in the electric mobility segment and will be supplied from Varroc's Romania facility over 8 years with an anticipated peak annual capacity of INR 8,000 million (Client Announcements).
  • Special/Extraordinary Shareholders Meeting is scheduled for December 13, 2025. The meeting will take place via postal ballot in India (Special/Extraordinary Shareholders Meeting).
  • Board Meeting is set for November 12, 2025. Varroc will consider and approve unaudited financial results for the quarter and half year ended September 30, 2025, along with other business matters (Board Meeting).

Valuation Changes

  • Fair Value Estimate has increased from ₹625.4 to ₹646.4, reflecting a modest upward revision in analysts' expectations.
  • Discount Rate has decreased slightly from 15.22% to 15.11%, which suggests a marginally more favorable financing outlook.
  • Revenue Growth Forecast has edged down from 11.08% to 11.07%, indicating a very small reduction in growth expectations.
  • Net Profit Margin projection has slipped slightly from 6.57% to 6.55%.
  • Future P/E Ratio estimate has risen from 19.21x to 19.84x, indicating a modestly higher valuation multiple anticipated by analysts.

Have other thoughts on Varroc Engineering?

Create your own narrative on this stock, and estimate its Fair Value using our Valuator tool.

Create Narrative

Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.