New Delhi, Aug. 28 -- Varun Beverages share price could offer an upside of around 31%, according to Choice Broking, which has initiated coverage on the PepsiCo bottler with a 'Buy' rating and a target price of Rs.550.

The brokerage believes the company is well placed to deliver sustained growth, supported by deeper penetration in India, rapid international expansion, portfolio diversification and continued margin strength. Choice Broking expects Varun Beverages to clock a Revenue/EBITDA/PAT CAGR of 15%/16%/17% over CY25-CY28E.

According to Choice Broking, Varun Beverages has two key growth engines operating simultaneously. In India, the company has reached around 4 million of an estimated 12 million FMCG outlets, leaving significant roo...