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Check Before You Invest : V-Guard Industries Ltd

BSE: 532953 NSE: VGUARD ISIN: INE951I01027
  |   Sector:  Capital Goods & Industrial Consumables   |   Industry:  Electric Equipment

Snapshot

Q.1 Which industry/sub-sector does V-Guard Industries Ltd belong to?
V-Guard Industries Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Electric Equipment segment.
Q.2 Is V-Guard Industries Ltd a good quality company?
V-Guard Industries Ltd is a good quality company, based on a consistently good 10 year financial track record.
Q.3 Is V-Guard Industries Ltd undervalued or overvalued?
V-Guard Industries Ltd appears Undervalued, as its key valuation ratios are below with their past averages.
Q.4 Is V-Guard Industries Ltd a good buy now?
V-Guard Industries Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of V-Guard Industries Ltd?
V-Guard Industries Ltd revenue growth is 16.4% for FY-2025 , which is in line with its 5 year CAGR of 16.4% , indicating stable growth.
Q.2 Gross Profit margin of V-Guard Industries Ltd?
V-Guard Industries Ltd Gross profit margin which is the profit after deduction of direct costs, is 7.4% for FY-2025 , which is below its 5 year median of 7.5% , indicating decreasing margins.
Q.3 Operating Profit Margin of V-Guard Industries Ltd?
V-Guard Industries Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 7.98% for FY-2025 , which is in line with its 5 year median of 7.98% indicating stable margins.
Q.4 Net Profit Margin of V-Guard Industries Ltd?
V-Guard Industries Ltd Net Profit Margin is 4.9% for FY-2025 , is below with its 5 year median of 5.06%, indicating decreasing margins.
Current Level Historic Median
Gross Profit Margin 7.4 7.5
Operating Profit Margin 7.98 7.98
Net Profit Margin 4.9 5.06
Q.5 Return on Asset of V-Guard Industries Ltd?
V-Guard Industries Ltd Return on Asset is 8.81%, which is in line with its 5 year historical median of 8.81%, indicating stable asset utilization efficiency.
Q.6 Return on Equity (ROE) of V-Guard Industries Ltd?
V-Guard Industries Ltd Return on equity is 14.12% for FY-2025 , which is below its historical median of 14.2%, indicating the business is making worse use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of V-Guard Industries Ltd?
V-Guard Industries Ltd Return on capital employed is 18.07% for FY-2025 , which is above its estimated weighted average cost of capital(WACC) 13.5%, indicating value creation.
Q.8 Cash conversion cycle of V-Guard Industries Ltd?
V-Guard Industries Ltd Cash conversion cycle is 43 days, below its historical median of 56 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 1.93 1.8
ROE 14.12 14.2
ROCE 18.07 18.07
Cash Conversion Cycle 43 days 56 days
Q.9 Debt to Equity ratio of V-Guard Industries Ltd?
V-Guard Industries Ltd Debt-to-Equity ratio is 0.01 , which is lower with the industry average of 0.34 , indicating lower debt levels in the industry.
Q.10 Debt to cash flow from operations of V-Guard Industries Ltd?
V-Guard Industries Ltd Debt to cash flow from operations is 0.02 , which is at a healthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of V-Guard Industries Ltd?
Promoters hold 53.28% of the V-Guard Industries Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of V-Guard Industries Ltd vs industry peers?
V-Guard Industries Ltd revenue CAGR is 16.42% , compared to the industry median CAGR of 13.21% , indicating faster growth and gaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 5,308.9 143.5
Gross Profit 392.9 14
Operating Profit 422 13
Net Profit 260 8
Operating Efficiency
Current Level Industry Median
Asset Turnover 1.93 1.05
ROE 14.12 9.8
ROCE 18.07 13.56
Cash Conversion Cycle (days) 42.72 102

Valuation & price assessment

Q.1 Stock return of V-Guard Industries Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 17.3% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price 17.3% 6.9% 8.3% -6.7%
Q.3 Valuation ratios of V-Guard Industries Ltd vs historical?
The current P/E is higher that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 58.67 55.19 50.19
Price to Book 6.71 7.77 3.60
Price to Sales 2.59 3.44 2.68
EV to EBITDA 33.14 34.78 19.22

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