This small-cap stock engaged in manufacturing and selling electrical, electronic, and home appliances, including stabilizers, inverters, water heaters, pumps, cables, and solar products, is in focus after Anand Rathi gave a target of Rs. 475, which has an upside potential of 23 percent.
With a market capitalization of Rs. 16,842.86 crore, the shares of V-Guard Industries Limited closed at Rs. 386.50 per equity share, rising nearly 1.87 percent from its previous day’s close price of Rs. 379.40.
Anand Rathi, a prominent brokerage firm, has recommended a “Buy” call on V-Guard Industries Limited with a target price of Rs. 475 per share, indicating an upside potential of 22.90.
V-Guard Industries is poised for robust growth, driven by strong electronics performance, particularly in stabilizers, inverter batteries, and solar rooftop segments. Rising copper prices have bolstered the electrical portfolio, while the battery business achieves double-digit growth. Anand Rathi’s target reflects confidence in V-Guard’s 14–15 percent revenue growth guidance and stable-to-improving margins.
The company’s strategic capacity expansion, with a Rs. 50 crore capex in batteries, supports its growth trajectory. Despite Sunflame’s underperformance, the solar rooftop business is expected to significantly contribute in 4–5 years, reinforcing Anand Rathi’s optimistic outlook for V-Guard’s sustained profitability and market leadership.
V-Guard Industries Limited was founded in 1977 by Kochouseph Chittilappilly and is a leading Indian manufacturer of electrical and home appliances. The company began as a small voltage stabilizer manufacturing unit and has since evolved into a diversified consumer goods company with a wide product portfolio and a pan-India presence.
The company offers a wide range of products like voltage stabilizers, inverters, and batteries. It also makes water heaters, pumps, motors, switchgears, and cables. The company sells kitchen and home appliances like cooktops, fans, and air coolers, along with solar power systems.
Market share: V-Guard Industries Limited’s market share in electronics like stabilizers (40-45 percent) and DUPS & batteries (5-7 percent) remains strong, while electricals such as house wiring cables (8-9 percent) and pumps (9-12 percent) show a steady presence. In appliances, solar water heaters lead with a 15-17 percent share, reflecting competitive positioning.
Coming into Financial highlights, V-Guard Industries Limited’s revenue has increased from Rs. 1,343 crore in Q4 FY24 to Rs. 1,538 crore in Q4 FY25, which has grown by 14.52 percent. The net profit has also grown by 19.74 percent, from Rs. 76 crore in Q4 FY24 to Rs. 91 crore in Q4 FY25. V-Guard Industries Limited’s revenue and net profit have grown at a CAGR of 16.81 percent and 11.26 percent, respectively, over the last three years.
In terms of return ratios, the company’s ROCE and ROE should be 19.7 percent and 16 percent, respectively. V-Guard Industries Limited has an earnings per share (EPS) of Rs. 7.20, and its debt-to-equity ratio is 0.06x.
Written By – Nikhil Naik
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