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Varun Beverages Stock Hits 52-Week Low Before Rebounding – What’s Next for VBL?

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Lilly Mwogah Fact check, Reviewer

Varun Beverages Ltd (NSE: VBL), the official PepsiCo bottler in India, has seen heightened volatility, hitting a 52-week low of ₹454.1 before rebounding to ₹477.55 during Tuesday’s session. Despite this sharp decline, the stock remains in focus following strong Q3 FY25 earnings, which showed a 36% YoY increase in net profit to ₹196 crore.

Varun Beverages Stock Drivers

Varun Beverages stock has been under pressure, recently hitting a 52-week low of ₹454.1 before rebounding to ₹477.55. Despite the decline, the company reported strong Q3 earnings, with net profit rising 36% YoY to ₹196 crore and revenue growing 38% YoY to ₹3,689 crore. The board also declared a final dividend of ₹0.5 per share, which could support investor sentiment. While the stock remains down 14% in the past month, today’s bounce suggests that buyers may be stepping in at lower levels.

Technical Analysis – Can VBL Extend Its Rebound?

  • Resistance Levels:
    • ₹511.50 – Immediate hurdle
    • ₹536.90 – Key level to confirm trend reversal
    • ₹564.75 – Major resistance zone
  • Support Levels:
    • ₹475.90 – Current support
    • ₹454.10 – 52-week low and crucial demand zone
Varun Beverages (VBL) share price Feb 19, 2025

VBL Stock Outlook – Rebound or More Downside?

If the stock holds above ₹475.90, it could extend gains toward ₹511.50 and ₹536.90 in the near term. However, a break below ₹454.10 could trigger further selling pressure.

Final Thoughts

Varun Beverages is at a turning point. The stock’s sharp decline has raised concerns, but today’s rebound and solid earnings suggest it might not be down for long. If buyers hold their ground above ₹475.90, we could see a push toward key resistance levels.

On the other hand, a break below ₹454.10 might bring more downside pressure. With strong revenue growth and a dividend in play, investors have reasons to stay engaged. The next few sessions will be crucial in determining whether this bounce turns into a full-fledged recovery.