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VETO

Veto Switchgears and Cables NSEI:VETO Stock Report

Last Price

₹82.10

Market Cap

₹1.6b

7D

0.06%

1Y

-36.2%

Updated

24 Jun, 2022

Data

Company Financials
VETO fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance2/6
Financial Health5/6
Dividends2/6

VETO Stock Overview

Veto Switchgears and Cables Limited, together with its subsidiaries, manufactures and sells wires and cables, and electrical accessories in India and internationally.

Veto Switchgears and Cables Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Veto Switchgears and Cables
Historical stock prices
Current Share Price₹82.10
52 Week High₹172.00
52 Week Low₹77.00
Beta1.27
1 Month Change-10.86%
3 Month Change-11.67%
1 Year Change-36.21%
3 Year Change30.63%
5 Year Change-53.95%
Change since IPO5.19%

Recent News & Updates

Jun 17
Veto Switchgears and Cables (NSE:VETO) Has A Pretty Healthy Balance Sheet

Veto Switchgears and Cables (NSE:VETO) Has A Pretty Healthy Balance Sheet

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

May 13
Here's Why I Think Veto Switchgears and Cables (NSE:VETO) Might Deserve Your Attention Today

Here's Why I Think Veto Switchgears and Cables (NSE:VETO) Might Deserve Your Attention Today

Some have more dollars than sense, they say, so even companies that have no revenue, no profit, and a record of falling...

Shareholder Returns

VETOIN ElectricalIN Market
7D0.06%3.8%2.3%
1Y-36.2%12.1%-0.9%

Return vs Industry: VETO underperformed the Indian Electrical industry which returned 11.4% over the past year.

Return vs Market: VETO underperformed the Indian Market which returned -1.7% over the past year.

Price Volatility

Is VETO's price volatile compared to industry and market?
VETO volatility
VETO Average Weekly Movement6.1%
Electrical Industry Average Movement6.6%
Market Average Movement6.9%
10% most volatile stocks in IN Market9.9%
10% least volatile stocks in IN Market4.5%

Stable Share Price: VETO is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: VETO's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1967403Akshay Gurnanihttps://www.vetoswitchgears.com

Veto Switchgears and Cables Limited, together with its subsidiaries, manufactures and sells wires and cables, and electrical accessories in India and internationally. The company operates through Wire and Cables, Lighting & Fittings, and Accessories & Others segments. It provides electrical accessories, including vyoma, carino, and power modular switches, as well as PUF and ZAC switches; and MCBs/isolators/distribution boxes, and bells and extension cords.

Veto Switchgears and Cables Fundamentals Summary

How do Veto Switchgears and Cables's earnings and revenue compare to its market cap?
VETO fundamental statistics
Market Cap₹1.57b
Earnings (TTM)₹201.90m
Revenue (TTM)₹2.68b

7.8x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VETO income statement (TTM)
Revenue₹2.68b
Cost of Revenue₹1.93b
Gross Profit₹745.82m
Other Expenses₹543.92m
Earnings₹201.90m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)10.56
Gross Margin27.85%
Net Profit Margin7.54%
Debt/Equity Ratio19.8%

How did VETO perform over the long term?

See historical performance and comparison

Dividends

1.2%

Current Dividend Yield

9%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is VETO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for VETO?

Other financial metrics that can be useful for relative valuation.

VETO key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.7x
Enterprise Value/EBITDA6.7x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does VETO's PE Ratio compare to its peers?

VETO PE Ratio vs Peers
The above table shows the PE ratio for VETO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average10.4x

Price-To-Earnings vs Peers: VETO is good value based on its Price-To-Earnings Ratio (7.8x) compared to the peer average (10.4x).


Price to Earnings Ratio vs Industry

How does VETO's PE Ratio compare vs other companies in the Indian Electrical Industry?

Price-To-Earnings vs Industry: VETO is good value based on its Price-To-Earnings Ratio (7.8x) compared to the Indian Electrical industry average (19.1x)


Price to Earnings Ratio vs Fair Ratio

What is VETO's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

VETO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.8x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate VETO's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of VETO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: VETO (₹82.1) is trading above our estimate of fair value (₹10.41)

Significantly Below Fair Value: VETO is trading above our estimate of fair value.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate VETO's PEG Ratio to determine if it is good value.


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Future Growth

How is Veto Switchgears and Cables forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


16.7%

Forecasted Capital Goods industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Veto Switchgears and Cables has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


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  • Examine Veto Switchgears and Cables's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
  • Veto Switchgears and Cables competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Veto Switchgears and Cables performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-11.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: VETO has high quality earnings.

Growing Profit Margin: VETO's current net profit margins (7.5%) are lower than last year (8.2%).


Past Earnings Growth Analysis

Earnings Trend: VETO's earnings have declined by 11.7% per year over the past 5 years.

Accelerating Growth: VETO's earnings growth over the past year (36.5%) exceeds its 5-year average (-11.7% per year).

Earnings vs Industry: VETO earnings growth over the past year (36.5%) underperformed the Electrical industry 47.6%.


Return on Equity

High ROE: VETO's Return on Equity (9.5%) is considered low.


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Financial Health

How is Veto Switchgears and Cables's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: VETO's short term assets (₹2.6B) exceed its short term liabilities (₹836.7M).

Long Term Liabilities: VETO's short term assets (₹2.6B) exceed its long term liabilities (₹116.3M).


Debt to Equity History and Analysis

Debt Level: VETO's net debt to equity ratio (15.3%) is considered satisfactory.

Reducing Debt: VETO's debt to equity ratio has reduced from 30.1% to 19.8% over the past 5 years.

Debt Coverage: VETO's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: VETO earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Veto Switchgears and Cables's current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.22%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: VETO's dividend (1.22%) is higher than the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: VETO's dividend (1.22%) is low compared to the top 25% of dividend payers in the Indian market (1.9%).


Stability and Growth of Payments

Stable Dividend: VETO has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: VETO has only been paying a dividend for 6 years, and since then payments have fallen.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (9.5%), VETO's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: VETO is paying a dividend but the company has no free cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

6.1yrs

Average management tenure


CEO

Akshay Gurnani (28 yo)

7.83yrs

Tenure

₹2,400,000

Compensation

Mr. Akshay Kumar Gurnani serves as the Chairman and Chief Executive Officer of Veto Switchgears and Cables Limited and has been its Managing Director since August 27, 2014. He also serves as the Director o...


Leadership Team

Experienced Management: VETO's management team is seasoned and experienced (6.1 years average tenure).


Board Members

Experienced Board: VETO's board of directors are considered experienced (6.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Veto Switchgears and Cables Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Veto Switchgears and Cables Limited
  • Ticker: VETO
  • Exchange: NSEI
  • Founded: 1967
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Implied Market Cap: ₹1.569b
  • Shares outstanding: 19.11m
  • Website: https://www.vetoswitchgears.com

Number of Employees


Location

  • Veto Switchgears and Cables Limited
  • Plot No. 10, Days Hotel
  • 4th Floor, Airport Plaza Scheme
  • Jaipur
  • Rajasthan
  • 302018
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/24 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.