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VST Industries

NSEI:VSTIND
Snowflake Description

Flawless balance sheet 6 star dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
VSTIND
NSEI
₹53B
Market Cap
  1. Home
  2. IN
  3. Food, Beverage & Tobacco
Company description

VST Industries Limited manufactures and sells tobacco and its related products in India and internationally. The last earnings update was 20 days ago. More info.


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VSTIND Share Price and Events
7 Day Returns
-1.7%
NSEI:VSTIND
0.7%
Global Tobacco
4.3%
IN Market
1 Year Returns
13.7%
NSEI:VSTIND
-10.8%
Global Tobacco
0.3%
IN Market
VSTIND Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
VST Industries (VSTIND) -1.7% 3.7% 7.7% 13.7% 106.4% 88.9%
Global Tobacco 0.7% -4.4% 1.9% -10.8% -19.3% 5.1%
IN Market 4.3% -1.1% 6.7% 0.3% 36.5% 45.2%
1 Year Return vs Industry and Market
  • VSTIND outperformed the Tobacco industry which returned -10.8% over the past year.
  • VSTIND outperformed the Market in India which returned 0.3% over the past year.
Price Volatility
VSTIND
Industry
5yr Volatility vs Market

Value

 Is VST Industries undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of VST Industries to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for VST Industries.

NSEI:VSTIND Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.4%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NSEI:VSTIND
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 8.6%
Tobacco Unlevered Beta Simply Wall St/ S&P Global 0.34
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.338 (1 + (1- 35%) (0%))
0.557
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (0.8 * 8.6%)
14.43%

Discounted Cash Flow Calculation for NSEI:VSTIND using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for VST Industries is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NSEI:VSTIND DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 14.43%)
2019 3,923.30 Est @ 4.73% 3,428.56
2020 4,142.06 Est @ 5.58% 3,163.27
2021 4,397.55 Est @ 6.17% 2,934.88
2022 4,687.03 Est @ 6.58% 2,733.62
2023 5,009.16 Est @ 6.87% 2,553.09
2024 5,363.61 Est @ 7.08% 2,389.01
2025 5,750.77 Est @ 7.22% 2,238.45
2026 6,171.59 Est @ 7.32% 2,099.32
2027 6,627.52 Est @ 7.39% 1,970.12
2028 7,120.35 Est @ 7.44% 1,849.71
Present value of next 10 years cash flows ₹25,360.01
NSEI:VSTIND DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ₹7,120.35 × (1 + 7.55%) ÷ (14.43% – 7.55%)
₹111,307.25
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹111,307.25 ÷ (1 + 14.43%)10
₹28,915.09
NSEI:VSTIND Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹25,360.01 + ₹28,915.09
₹54,275.10
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹54,275.10 / 15.44
₹3514.79
NSEI:VSTIND Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in NSEI:VSTIND represents 0.99337x of BSE:509966
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.99337x
Value per Share
(Listing Adjusted, INR)
= Value per Share (INR) x Listing Adjustment Factor
= ₹ 3,514.79 x 0.99337
₹3,491.50
Value per share (INR) From above. ₹3,491.50
Current discount Discount to share price of ₹3,450.45
= -1 x (₹3,450.45 - ₹3,491.50) / ₹3,491.50
1.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price VST Industries is available for.
Intrinsic value
1%
Share price is ₹3450.45 vs Future cash flow value of ₹3491.5
Current Discount Checks
For VST Industries to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • VST Industries's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • VST Industries's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for VST Industries's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are VST Industries's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NSEI:VSTIND PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in INR ₹146.90
BSE:509966 Share Price ** BSE (2019-05-23) in INR ₹3473.45
Global Tobacco Industry PE Ratio Median Figure of 11 Publicly-Listed Tobacco Companies 14.26x
India Market PE Ratio Median Figure of 2,766 Publicly-Listed Companies 15.4x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of VST Industries.

NSEI:VSTIND PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:509966 Share Price ÷ EPS (both in INR)

= 3473.45 ÷ 146.90

23.64x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • VST Industries is overvalued based on earnings compared to the Global Tobacco industry average.
  • VST Industries is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does VST Industries's expected growth come at a high price?
Raw Data
NSEI:VSTIND PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 23.64x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
9.9%per year
Global Tobacco Industry PEG Ratio Median Figure of 7 Publicly-Listed Tobacco Companies 2.17x
India Market PEG Ratio Median Figure of 558 Publicly-Listed Companies 1.3x

*Line of best fit is calculated by linear regression .

NSEI:VSTIND PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 23.64x ÷ 9.9%

2.38x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • VST Industries is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on VST Industries's assets?
Raw Data
NSEI:VSTIND PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in INR ₹430.00
BSE:509966 Share Price * BSE (2019-05-23) in INR ₹3473.45
Global Tobacco Industry PB Ratio Median Figure of 17 Publicly-Listed Tobacco Companies 2.94x
India Market PB Ratio Median Figure of 3,639 Publicly-Listed Companies 1.04x
NSEI:VSTIND PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:509966 Share Price ÷ Book Value per Share (both in INR)

= 3473.45 ÷ 430.00

8.08x

* Primary Listing of VST Industries.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • VST Industries is overvalued based on assets compared to the Global Tobacco industry average.
X
Value checks
We assess VST Industries's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Tobacco industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Tobacco industry average (and greater than 0)? (1 check)
  5. VST Industries has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is VST Industries expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
9.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is VST Industries expected to grow at an attractive rate?
  • VST Industries's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • VST Industries's earnings growth is positive but not above the India market average.
  • VST Industries's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
Raw Data
NSEI:VSTIND Future Growth Rates Data Sources
Data Point Source Value (per year)
NSEI:VSTIND Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 9.9%
NSEI:VSTIND Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 12.9%
Global Tobacco Industry Earnings Growth Rate Market Cap Weighted Average 8.2%
Global Tobacco Industry Revenue Growth Rate Market Cap Weighted Average 3.5%
India Market Earnings Growth Rate Market Cap Weighted Average 17.1%
India Market Revenue Growth Rate Market Cap Weighted Average 10.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NSEI:VSTIND Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NSEI:VSTIND Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 14,268 2,784 2,769 2
2020-03-31 12,961 2,649 2,517 2
NSEI:VSTIND Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2019-03-31 10,990 2,268
2018-12-31 11,055 2,221
2018-09-30 10,515 2,165
2018-06-30 9,812 2,033
2018-03-31 9,476 4,201 1,819
2017-12-31 8,955 1,787
2017-09-30 8,998 1,765
2017-06-30 9,045 1,633
2017-03-31 9,224 1,457 1,515
2016-12-31 9,863 1,714
2016-09-30 9,687 1,673
2016-06-30 9,422 1,638

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • VST Industries's earnings are expected to grow by 9.9% yearly, however this is not considered high growth (20% yearly).
  • VST Industries's revenue is expected to grow by 12.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NSEI:VSTIND Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from VST Industries Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:VSTIND Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 179.39 179.97 178.80 2.00
2020-03-31 163.00 164.40 161.59 2.00
NSEI:VSTIND Past Financials Data
Date (Data in INR Millions) EPS *
2019-03-31 146.90
2018-12-31 143.86
2018-09-30 140.17
2018-06-30 131.68
2018-03-31 117.79
2017-12-31 116.03
2017-09-30 114.36
2017-06-30 105.96
2017-03-31 98.13
2016-12-31 111.00
2016-09-30 108.34
2016-06-30 106.07

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • VST Industries is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess VST Industries's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Global market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Global market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
VST Industries has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has VST Industries performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare VST Industries's growth in the last year to its industry (Tobacco).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • VST Industries's year on year earnings growth rate has been positive over the past 5 years.
  • VST Industries's 1-year earnings growth exceeds its 5-year average (24.7% vs 7.6%)
  • VST Industries's earnings growth has exceeded the Global Tobacco industry average in the past year (24.7% vs 15.9%).
Earnings and Revenue History
VST Industries's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from VST Industries Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:VSTIND Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 10,990.10 2,268.40 922.60
2018-12-31 11,055.11 2,221.43 1,062.73
2018-09-30 10,514.91 2,164.63 1,033.63
2018-06-30 9,811.81 2,033.43 1,008.63
2018-03-31 9,475.71 1,818.93 991.83
2017-12-31 8,954.69 1,786.59 1,283.00
2017-09-30 8,998.09 1,765.09 1,283.80
2017-06-30 9,044.79 1,632.79 1,311.70
2017-03-31 9,223.83 1,515.27 1,032.43
2016-12-31 9,862.93 1,714.12 1,280.87
2016-09-30 9,687.33 1,673.12 1,273.77
2016-06-30 9,422.13 1,638.02 1,219.87
2016-03-31 8,789.33 1,531.12 1,217.67
2015-12-31 8,276.95 1,444.98 1,377.22
2015-09-30 8,077.75 1,337.58 1,362.62
2015-06-30 8,073.55 1,399.18 1,365.02
2015-03-31 8,299.85 1,522.08 1,080.27
2014-12-31 8,010.10 1,634.13 1,295.40
2014-09-30 8,153.50 1,717.53 1,277.30
2014-06-30 8,216.00 1,662.53 1,267.40
2014-03-31 7,846.90 1,501.53 1,240.70
2013-12-31 7,556.98 1,329.98 1,251.70
2013-09-30 7,199.18 1,276.98 1,229.80
2013-06-30 6,856.58 1,228.48 1,210.10
2013-03-31 6,636.98 1,262.48 1,215.70
2012-12-31 6,992.98 1,282.39 1,195.96
2012-09-30 6,972.58 1,328.09 1,192.06
2012-06-30 6,877.48 1,387.99 1,180.16

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • VST Industries has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • VST Industries used its assets more efficiently than the Global Tobacco industry average last year based on Return on Assets.
  • VST Industries's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess VST Industries's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Tobacco industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
VST Industries has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is VST Industries's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up VST Industries's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • VST Industries is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • VST Industries's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of VST Industries's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • VST Industries has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from VST Industries Company Filings, last reported 1 month ago.

NSEI:VSTIND Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 6,640.30 0.00 6,111.30
2018-12-31 5,553.20 0.00 5,338.90
2018-09-30 5,553.20 0.00 5,338.90
2018-06-30 5,820.91 0.00 4,426.17
2018-03-31 5,820.91 0.00 4,426.17
2017-12-31 4,835.50 0.00 2,299.20
2017-09-30 4,835.50 0.00 2,299.20
2017-06-30 5,370.73 0.00 1,899.42
2017-03-31 5,389.71 0.00 1,837.40
2016-12-31 4,474.00 0.00 2,501.20
2016-09-30 4,474.00 0.00 2,501.20
2016-06-30 3,704.34 0.00 1,811.94
2016-03-31 3,704.34 0.00 1,811.94
2015-12-31 4,090.20 0.00 2,640.50
2015-09-30 4,090.20 0.00 2,640.50
2015-06-30 3,466.75 0.00 2,110.51
2015-03-31 3,466.75 0.00 2,110.51
2014-12-31 4,066.40 0.00 2,364.70
2014-09-30 4,066.40 0.00 2,364.70
2014-06-30 3,282.36 0.00 2,248.95
2014-03-31 3,282.36 0.00 2,248.95
2013-12-31 3,617.60 0.00 2,254.20
2013-09-30 3,617.60 0.00 2,254.20
2013-06-30 3,041.08 0.00 2,427.57
2013-03-31 3,041.08 0.00 2,427.57
2012-12-31 3,496.10 0.00 2,113.00
2012-09-30 3,496.10 0.00 2,113.00
2012-06-30 2,901.92 0.00 2,379.75
  • VST Industries has no debt.
  • VST Industries has not taken on any debt in the past 5 years.
  • VST Industries has no debt, it does not need to be covered by operating cash flow.
  • VST Industries has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess VST Industries's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. VST Industries has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is VST Industries's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.74%
Current annual income from VST Industries dividends. Estimated to be 3.45% next year.
If you bought ₹2,000 of VST Industries shares you are expected to receive ₹55 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • VST Industries's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.54%).
  • VST Industries's dividend is above the markets top 25% of dividend payers in India (2%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NSEI:VSTIND Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
Global Tobacco Industry Average Dividend Yield Market Cap Weighted Average of 10 Stocks 5.7%
India Market Average Dividend Yield Market Cap Weighted Average of 1409 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
India Top 25% Dividend Yield 75th Percentile 2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NSEI:VSTIND Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 130.00 1.00
2020-03-31 110.00 1.00
NSEI:VSTIND Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2019-05-03 95.000 2.734
2018-07-23 77.500 2.484
2018-04-12 77.500 2.599
2017-04-18 75.000 2.418
2016-04-20 70.000 3.254
2015-04-21 70.000 4.300
2014-04-22 70.000 4.027
2013-04-18 62.500 3.951
2012-06-11 65.000 3.762
2012-04-17 65.000 3.465
2011-07-26 45.000 3.592
2010-04-15 30.000 4.700
2009-06-12 30.000 6.560

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of VST Industries's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.4x coverage).
X
Income/ dividend checks
We assess VST Industries's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can VST Industries afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. VST Industries has a total score of 6/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of VST Industries's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Devraj Lahiri
COMPENSATION ₹18,003,481
AGE 45
TENURE AS CEO 1.5 years
CEO Bio

Mr. Devraj Lahiri, B.Com., M.B.A. has been Managing Director of VST Industries Limited since November 28, 2017. Mr. Lahiri served as Deputy Managing Director of VST Industries Ltd until November 28, 2017 and served as its Vice President of Brands. Mr. Lahiri has been a Whole Time Director of VST Industries Limited since August 1, 2011. He is a Commerce graduate from Calcutta University and Masters in Business Administration from Indian Institute of Social Welfare and Business Management, Kolkata.

CEO Compensation
  • Devraj's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Devraj's remuneration is about average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the VST Industries management team in years:

2.3
Average Tenure
51.5
Average Age
  • The tenure for the VST Industries management team is about average.
Management Team

Devraj Lahiri

TITLE
MD & Whole Time Director
COMPENSATION
₹18M
AGE
45
TENURE
1.5 yrs

Anish Gupta

TITLE
Chief Financial Officer
COMPENSATION
₹7M
AGE
46
TENURE
5.1 yrs

Phani Mangipudi

TITLE
Head of Legal & Secretarial
COMPENSATION
₹4M
AGE
38
TENURE
2.3 yrs

Gopi A.

TITLE
Vice President of Technical
AGE
55

Sriram S.

TITLE
Vice President of Human Resource
AGE
51

Y. Reddy

TITLE
Vice President of Leaf
COMPENSATION
₹6M
AGE
65

Sanjay Khanna

TITLE
Corporate General Counsel
COMPENSATION
₹3M
AGE
62

T. Narasaiah

TITLE
Vice President of Leaf
COMPENSATION
₹2M
AGE
52

Rohit Sahni

TITLE
Vice President of Marketing
COMPENSATION
₹3M
Board of Directors Tenure

Average tenure and age of the VST Industries board of directors in years:

3.2
Average Tenure
61
Average Age
  • The tenure for the VST Industries board of directors is about average.
Board of Directors

Pradeep Bhide

TITLE
Chairman of the Board
AGE
68
TENURE
1 yrs

Devraj Lahiri

TITLE
MD & Whole Time Director
COMPENSATION
₹18M
AGE
45
TENURE
7.8 yrs

S. Thirumalai

TITLE
Independent Non Executive Director
COMPENSATION
₹3M
AGE
69
TENURE
13.6 yrs

Mubeen Rafat

TITLE
Independent Non-Executive Director
COMPENSATION
₹3M
TENURE
5.3 yrs

Naresh Sethi

TITLE
Nominee Director
AGE
52
TENURE
0.4 yrs

Rama Bijapurkar

TITLE
Independent Non Executive Director
AGE
61
TENURE
0.1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
X
Management checks
We assess VST Industries's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. VST Industries has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

VST Industries Limited (NSE:VSTIND) Delivered A Better ROE Than Its Industry

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for VST Industries: 34% = ₹2.3b ÷ ₹6.6b (Based on the trailing twelve months to March 2019.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. … Combining VST Industries's Debt And Its 34% Return On Equity Shareholders will be pleased to learn that VST Industries has not one iota of net debt!

Simply Wall St -

Here's Why We Think VST Industries (NSE:VSTIND) Is Well Worth Watching

VST Industries's Earnings Per Share Are Growing. … Careful consideration of revenue growth and earnings before interest and taxation (EBIT) margins can help inform a view on the sustainability of the recent profit growth. … I note that VST Industries's revenue from operations was lower than its revenue in the last twelve months, so that could distort my analysis of its margins.

Simply Wall St -

VST Industries Limited (NSE:VSTIND) Is Employing Capital Very Effectively

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … What is Return On Capital Employed (ROCE)? … ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business.

Simply Wall St -

Does VST Industries Limited's (NSE:VSTIND) 24% Earnings Growth Reflect The Long-Term Trend?

After looking at VST Industries Limited's (NSE:VSTIND) latest earnings announcement (31 December 2018), I found it useful to revisit the company's performance in the past couple of years and assess this against the most recent figures. … Commentary On VSTIND's Past Performance. … VSTIND's trailing twelve-month earnings (from 31 December 2018) of ₹2.2b has

Simply Wall St -

VST Industries (NSE:VSTIND) Shareholders Have Enjoyed An Impressive 117% Share Price Gain

For instance the VST Industries Limited (NSE:VSTIND) share price is 117% higher than it was three years ago. … During three years of share price growth, VST Industries achieved compound earnings per share growth of 15% per year. … This EPS growth is lower than the 29% average annual increase in the share price.

Simply Wall St -

Don't Sell VST Industries Limited (NSE:VSTIND) Before You Read This

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … We'll show how you can use VST Industries Limited's (NSE:VSTIND) P/E ratio to inform your assessment of the investment opportunity. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Should You Be Impressed By VST Industries Limited's (NSE:VSTIND) ROE?

This article is for those who would like to learn about Return On Equity (ROE). … One way to conceptualize this, is that for each ₹1 of shareholders' equity it has, the company made ₹0.40 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Do Institutions Own Shares In VST Industries Limited (NSE:VSTIND)?

Every investor in VST Industries Limited (NSE:VSTIND) should be aware of the most powerful shareholder groups. … Institutions will often hold stock in bigger companies, and we expect to see insiders owning a noticeable percentage of the smaller ones. … With a market capitalization of ₹47b, VST Industries is a small cap stock, so it might not be well known by many institutional investors.

Simply Wall St -

Did VST Industries Limited's (NSE:VSTIND) Recent Earnings Growth Beat The Trend?

Today I will assess VSTIND's recent performance announced on 30 September 2018 and evaluate these figures to its long-term trend and industry movements. … Could VSTIND beat the long-term trend and outperform its industry. … Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of 6.6%, indicating the rate at which VSTIND is growing has accelerated

Simply Wall St -

Should VST Industries Limited (NSE:VSTIND) Be Your Next Stock Pick?

As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook.

Simply Wall St -

Company Info

Description

VST Industries Limited manufactures and sells tobacco and its related products in India and internationally. It also offers leaf and unmanufactured tobacco, and cigarettes that contain tobacco. The company was formerly known as Vazir Sultan Tobacco Company Limited and changed its name to VST Industries Limited in April 1983. VST Industries Limited was incorporated in 1930 and is based in Hyderabad, India.

Details
Name: VST Industries Limited
VSTIND
Exchange: NSEI
Founded: 1930
₹53,339,480,064
15,441,920
Website: http://www.vsthyd.com
Address: VST Industries Limited
1-7-1063/1065, Azamabad,
Hyderabad,
Andhra Pradesh, 500020,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 509966 Ordinary Shares Mumbai Stock Exchange IN INR 20. Feb 1995
NSEI VSTIND Ordinary Shares National Stock Exchange of India IN INR 20. Feb 1995
Number of employees
Current staff
Staff numbers
786
VST Industries employees.
Industry
Tobacco
Food, Beverage & Tobacco
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/23 12:51
End of day share price update: 2019/05/23 00:00
Last estimates confirmation: 2019/05/07
Last earnings filing: 2019/05/03
Last earnings reported: 2019/03/31
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.