Va Tech Wabag Ltd
NSE: WABAG BSE: 533269
₹1854.60
+60 (3.34%)
Sat, 07 Nov 2026, 09:16 pm
Market Cap (in Cr)11218.6
PE Ratio29.51
Dividend0.28
Va Tech Wabag Analysis
dividend
Pros
- Dividends paid are well covered by earnings (4.6x coverage).
- Dividends after 3 years are expected to be well covered by earnings (3.3x coverage).
- VA Tech Wabag's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
- VA Tech Wabag's dividend is above the markets top 25% of dividend payers in India (3.08%).
Cons
- Dividend payments have increased, but VA Tech Wabag only paid a dividend in the past 9 years.
- Whilst dividend payments have been stable, VA Tech Wabag has been paying a dividend for less than 10 years.
future
Pros
- Cash flow for VA Tech Wabag is expected to increase by more than 50% in 2 years time.
- VA Tech Wabag's earnings growth is expected to exceed the India market average.
- VA Tech Wabag's earnings growth is expected to exceed the low risk savings rate of 7.2%.
- Performance (ROE) is expected to be above the current Asia Water Utilities industry average.
- An improvement in VA Tech Wabag's performance (ROE) is expected over the next 3 years.
- VA Tech Wabag's revenue growth is expected to exceed the India market average.
Cons
- VA Tech Wabag's earnings are expected to grow by 19.3% yearly, however this is not considered high growth (20% yearly).
- VA Tech Wabag's earnings are expected to increase but not above the low risk growth rate next year.
- VA Tech Wabag's net income is expected to increase but not above the 50% threshold in 2 years time.
- VA Tech Wabag is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
- VA Tech Wabag's revenue is expected to increase but not above the 50% threshold in 2 years time.
- VA Tech Wabag's revenue is expected to grow by 15.2% yearly, however this is not considered high growth (20% yearly).
health
Pros
- VA Tech Wabag is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- VA Tech Wabag is profitable, therefore cash runway is not a concern.
- VA Tech Wabag is profitable, therefore cash runway is not a concern.
- Debt is covered by short term assets, assets are 5.3x debt.
- VA Tech Wabag's cash and other short term assets cover its long term commitments.
- Interest payments on debt are well covered by earnings (EBIT is 3.1x coverage).
- Low level of unsold assets.
Cons
- Debt is not well covered by operating cash flow (10.1%, less than 20% of total debt).
- The level of debt compared to net worth has increased over the past 5 years (29.4% vs 51.6% today).
- VA Tech Wabag's level of debt (51.6%) compared to net worth is high (greater than 40%).
management
Pros
- The tenure for the VA Tech Wabag board of directors is about average.
- Rajiv's compensation has been consistent with company performance over the past year, both up more than 20%.
- The tenure for the VA Tech Wabag management team is about average.
Cons
- Rajiv's remuneration is higher than average for companies of similar size in India.
misc
Pros
Cons
- VA Tech Wabag has significant price volatility in the past 3 months.
past
Pros
- VA Tech Wabag's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
Cons
- VA Tech Wabag's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- VA Tech Wabag used its assets less efficiently than the Asia Water Utilities industry average last year based on Return on Assets.
- VA Tech Wabag's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
- VA Tech Wabag has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- VA Tech Wabag's 1-year earnings growth is negative, it can't be compared to the Asia Water Utilities industry average.
value
Pros
- VA Tech Wabag's share price is below the future cash flow value, and at a moderate discount (> 20%).
- VA Tech Wabag's share price is below the future cash flow value, and at a substantial discount (> 40%).
- VA Tech Wabag is good value based on assets compared to the Asia Water Utilities industry average.
- VA Tech Wabag is good value based on expected growth next year.
- VA Tech Wabag is good value based on earnings compared to the Asia Water Utilities industry average.
- VA Tech Wabag is good value based on earnings compared to the India market.
- BSE:533269 is up 2.8% outperforming the Water Utilities industry which returned -4.6% over the past month.
Cons
- 533269 underperformed the Water Utilities industry which returned -10.9% over the past year.
- 533269 underperformed the Market in India which returned -14.5% over the past year.
- BSE:533269 is up 2.8% underperforming the market in India which returned 8% over the past month.