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Veto Switchgears and Cables Limited (VETO) Fair Value & Analysis

Industrials · IN · Market cap ₹2.5B

VS Veto Switchgears and Cables Limited VETO · BSE
Price₹131.00
Fair Value₹175.20
Upside+33.7%
Quality60/100
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Strengths

Trades 25% below our fair value of ₹175.20
Low debt · generates free cash flow

Risks

!Expensive Growth (revenue 5y +16.4 %/yr)
!Thin margins · 6.7% net margin
!Moderate moat 45/100
Expensive Growth (revenue 5y +16.4 %/yr)
Thin margins · 6.7% net margin
Low debt · generates free cash flow
Moderate moat 45/100
Evidence: High Range ₹121.38 – ₹297.94 Share as image

Fair value as of: Aug 24, 2026

From 24 valuation models · updated today

Share price +8.6% over the past month.

A solid business, trading 25% below our fair value.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

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What matters now

  • Solid quality (60/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (₹121.38 to ₹297.94) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹190.01 ₹70.48 Fair Value ₹175.20 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 24, 2026.

How to read this chart

60‑month range ₹70.48 – ₹190.01 · fair‑value band ₹121.38 – ₹297.94 · the ₹131.00 price screens below the ₹175.20 fair value. Dashed = 300-day average. As of Aug 24, 2026.

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Analysis

Veto Switchgears and Cables Limited (VETO) currently trades at ₹131.00, while our model-based Fair Value estimate is ₹175.20, implying the stock looks roughly 33.7% undervalued today. The Quality Score stands at 60/100 (solid quality), in the Industrials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Veto Switchgears and Cables Limited generated revenue of ₹4.1B at a net margin of 6.7%. Revenue grew 37.7% year over year. It earns a return on equity of 8.8%. Net debt stands at ₹195M. Fundamentals as of Aug 24, 2026

Our scenario range runs from ₹121.38 (bear case) to ₹297.94 (bull case); at ₹131.00, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 15% below its 52-week high and 58% above its 52-week low, currently above its 200-day average. For context, the median of 10 Industrials peers we cover trades at -44% fair-value upside, at 34%, VETO screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF ₹31.65 ₹52.06 ₹83.92 80
Residual Income ₹126.57 ₹136.58 ₹163.49 76
Rev-Margin DCF ₹112.74 ₹212.37 ₹336.20 74
All 24 models by family
DCF Models
FCF DCF ₹31.73 ₹53.66 ₹88.90 38
Owner Earnings ₹149.22 ₹252.14 ₹417.61 31
5Y Revenue Exit ₹112.74 ₹216.65 ₹358.67 39
5Y EBITDA Exit ₹125.96 ₹243.12 ₹389.47 41
5Y P/E Exit ₹134.72 ₹260.64 ₹403.04 38
10Y Revenue Exit ₹78.27 ₹165.68 ₹300.30 36
10Y EBITDA Exit ₹91.77 ₹184.33 ₹324.80 37
10Y P/E Exit ₹97.37 ₹196.67 ₹335.59 35
Earnings-Based
Graham-Dodd ₹89.39 ₹373.00 ₹508.64 54
Lynch FV ₹94.41 ₹134.87 ₹175.33 50
PEG = 1.0 ₹94.41 ₹134.87 ₹175.33 46
EPV ₹111.35 ₹128.94 ₹144.12 59
Multiples
P/E Multiple ₹207.04 ₹276.05 ₹345.06 63
P/S Multiple ₹167.60 ₹223.47 ₹279.34 58
P/B Multiple ₹167.60 ₹223.47 ₹279.34 55
EV/EBIT ₹222.65 ₹296.89 ₹371.13 53
EV/EBITDA ₹192.34 ₹256.48 ₹320.62 54
EV/Revenue ₹158.89 ₹227.01 ₹295.14 43
Asset-Based
NCAV (Graham) ₹75.77 ₹101.54 ₹151.55 50
Growth DCF
Growth DCF ₹31.65 ₹52.06 ₹83.92 80
Rev-Margin DCF ₹112.74 ₹212.37 ₹336.20 74
Economic Profit
Residual Income ₹126.57 ₹136.58 ₹163.49 76
ROIC Compounder ₹111.35 ₹128.94 ₹144.12 72
Growth Earnings
Growth-Adj P/E ₹161.13 ₹230.18 ₹299.24 68

Widest divergence: Growth Earnings (₹230.18) versus Growth DCF (₹52.06). Highest evidence: Growth DCF (80).

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Key figures & financial health

P/E ratio 9.2
P/S ratio 0.60 TTM
Net margin 6.7% TTM
Return on equity 8.8% TTM
Return on assets 6.1% TTM
Operating margin 10.0% TTM
More key figures
Profitability
EPS (TTM) ₹14.31
Growth
Revenue (TTM) ₹4.1B TTM
Revenue growth (YoY) +37.7% 3y avg +9.9%
EPS growth (YoY) +72.2%
Balance sheet & cash flow
Free cash flow ₹51.6M FY2025
Net debt ₹195M FY2025 · ≈ 3.8 yrs of FCF

Figures from reported company fundamentals · as of Aug 24, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 58 · Market factors (momentum, volatility) 64

Profitability 48
Margins and returns on capital today
Quality Growth 63
Are margins and returns improving?
Cashflow 17
Earnings quality: real cash, not paper profit
Fin. Strength 80
Balance sheet, leverage, solvency risk
Investment 75
Disciplined investing over empire-building
Low Volatility 76
Calm price path (market factor)
Momentum 57
Price trend over the last 3–12 months (market factor)
52W Momentum 60
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Veto Switchgears and Cables Limited, together with its subsidiaries, engages in the manufacture and sale of wires and cables, and electrical accessories in India and internationally. It operates through Wire and Cables, Accessories & Others, and Lighting and Fittings, and segments.

Full company description

Veto Switchgears and Cables Limited, together with its subsidiaries, engages in the manufacture and sale of wires and cables, and electrical accessories in India and internationally. It operates through Wire and Cables, Accessories & Others, and Lighting and Fittings, and segments. The company offers electrical accessories, including vyoma and power modular switches; and MCBs, circuit breakers, distribution panel, isolator, AC box, and bells and extension cords. It also provides wires and cables, such as multi strand and flexible wires; ceiling, wall, pedesital and table fans; and slim LED panels, concealed light, deep light, spot light, flood light, street light, strip light, rope light, LED bulb and tube light, wall and track light, and surface panels. In addition, the company offers other electrical accessories, such as switch socket, MCB, bell, and all other electrical accessories. The company markets its products under the VETO and VIMAL POWER brand names through a network of dealers and distributors. Veto Switchgears and Cables Limited was founded in 1967 and is based in Jaipur, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Veto Switchgears and Cables Limited reported revenue of ₹3.9B in FY2025 versus ₹2.7B in FY2021, a compound +9.6%/yr. Reported net income was ₹251M in FY2025, compounding +5.8%/yr from FY2021.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
₹3.9B
Latest YoY
+28.7%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.9%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+16.4%
Avg. revenue growth/yr (9Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+5.5%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+11.2% (11.2 + 0.0)
Revenue +9.6%/yr
FY21 ₹2.7B
FY22 ₹2.9B
FY23 ₹3.0B
FY24 ₹3.0B
FY25 ₹3.9B
Net income +5.8%/yr
FY21 ₹200M
FY22 ₹202M
FY23 ₹180M
FY24 ₹221M
FY25 ₹251M

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Cite: Fair Value Calculator (2026). "Veto Switchgears and Cables Limited Fair Value". https://www.fairvalue-calculator.com/stock/VETO.BSE

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

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Frequently asked questions

Is Veto Switchgears and Cables Limited (VETO) overvalued or undervalued?
As of Aug 24, 2026, our model estimates a fair value of ₹175.20 versus a price of ₹131.00, about +34% (undervalued).
What is the fair value of VETO?
Our model-based fair value for Veto Switchgears and Cables Limited is ₹175.20 (as of Aug 24, 2026), built from audited fundamentals. The current price: ₹131.00.
What is the quality score of VETO?
Veto Switchgears and Cables Limited has a Quality Score of 60/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Veto Switchgears and Cables Limited (VETO)?
Veto Switchgears and Cables Limited reported trailing-twelve-month revenue of about ₹4.1B (latest available figure, as of Aug 24, 2026).
What is the net profit margin of VETO?
The net profit margin of Veto Switchgears and Cables Limited is about 6.7%, meaning it keeps roughly 6.7% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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