There is whole lot of action happening in tobacco related companies .One among them is VST industries. Board of directors of VST Industries has approved the issuance of bonus shares at 10:1 ratio.
VST industries stock news-Big move ahead? this is the hot topic now as per budget 2024, tobacco gets no change in tax. So these factors may effect the companies.The company will issue ten additional bonus equity shares for existing equity shares and has set Friday, August 30,2024.
As per Up stock the board has fixed August 30, 2024 as the record date to determine the eligibility of members to receive bonus shares. The company said that free reserves of ₹154.41 crore will be used to implement the bonus issue and over 15.44 crore equity shares will be issued. The firm’s aggregate number of reserves including capital redemption reserve stands at ₹1,233.90 crore.
VST industries stock news-Big move ahead?
This company’s shares are listed in BSE (Bombay Stock Exchange) and NSE (National Stock Exchange) in India.
As per companies’ site they are mainly into manufacturing and sale of cigarettes and unmanufactured tobacco.
Because of 2024 union budget which stated that there is no change in tobacco rates, this helps vst companies to grow and show profits in upcoming quarter.
RK Damani effect:
Radhakishna Damani’s firm Derive Trading sold a portion of its ownership in tobacco company VST Industries in bulk transactions on Wednesday. VST Industries shares gained up to 7.41% to Rs 4290, opening at the high point of the day against the previous close of Rs 3993.75.
VST Fundamentals and History
VST Industries Ltd is an Indian publicly listed company manufactures and distributes cigarettes, Tobacco and Tobacco products. companies headquarter is in Hyderabad. The company has its registered office in azamabad and Hyderabad VST Industries started by Vazir Sultan Tobacco company, incorporated in 10 November 1930, holds the position of the third-largest player in the domestic market with a market share of the company. The company operates with 2 factories and 6 regionals officess.it consumes 4955 tons of tobacco as raw materials.
Company fundamentals:
| Market Cap | 6.70KCr |
| P/E Ratio | 24.77
|
| 52 weeks high | 4,849.75 |
| 52 weeks low | 3,159.00
|
| Net Profit (2024) | 54cr |
| Current market price | 4339.75Rs |
| Return in 1 year | 14.56% |
| Return in 5 years | 30.78% |
VST Industries Dividend:
VST Industries announced 24 dividends since May 28, 2001. In last 1-year, This Industries announced an equity dividend amounting to Rs 150.00 per share. According to the BSE filing of VST Industries as on April 26, 2024, “recommended a final dividend of Rs.150/- per equity share of Rs. 10/- each. It fixed June 14 as record date.
. On April 15, 2024, Radhakishan Damani had bought 233,766 shares, or 1.5 per cent stake, in VST for Rs 86.26 crore.19 Jul 2024
Radhakishan Damani held 3.47 per cent stake in VST at the end of June quarter. He has increased its holding in the company by 1.52 percentage points during the quarter.
ITC Ltd. vs VST Industries Ltd.
We did check fundamentals of both companies in screener.com and ITC seems to be consistent.
Parameters checked are:
a. Revenue Growth Qtr YoY %
b. Revenue QoQ Growth %
c. Compounded Sales Growth
d. Compounded Profit Growth
e. Stock Price CAGR
f. Return on Equity
Kindly check numbers mentioned below. And also there are other parameters mentioned by Trendlyne website which you can read.
Conclusion:
After union budget of 2024 , tobacco companies are in focus and many brokerage firms are bullish on this sector.
VST industries stock news-Big move ahead? this article tries to provide light on company and its fundamentals. So this stock is not for Buy and sell recommendation you do your own research before going to invest in any of the stocks.
FAQ
- What is the product of VST Industries?
VST Industries Ltd manufactures and distributes cigarettes and tobacco products. The Company’s cigarette brands include “Charminar Specials,” “Shah-I- Deccan,” “Charms Virginia Filter Kings,” “Vazir,” “Qila” and “Ambassador.”
- What is the full form of VST Industries?
The Vazir Sultan Tobacco Company Limited was incorporated on 10th November, 1930, Its headquarter is in Hyderabad The name of the Company was subsequently changed to VST Industries Limited on 30th April, 1983.
- Which cigarette is less harmful in India?
In Indian market ITC is the leader in cigarettes and the less harmful brand, apart from ITC brand u may consider Benson & Hedges light, Insignia, INDIA kings, Dunhill, Marlboro, Camel, Parliament and Davidoff.