Axis Direct's research report on Tata Power
Q3FY17 adjusted PAT at Rs 6.5 bn was driven by Coal mining vertical (EBITDA of Rs 8 bn; up 30% QoQ on account of 18% increase in realization). However, higher coal cost dented profitability of Mundra (Rs 0.3 bn EBITDA vs. Rs 2.8 bn in Q2).
Outlook
Major one-offs in Q3 were exchange loss of Rs 2.1 bn, tax reversal of Rs 1.8 bn and revaluation of some unquoted investments (Rs 0.4 bn). We adjust the same in our calculation of adjusted PAT. We marginally change our estimates in line with 9MFY17 and maintain our TP (Rs 83). Post the run up in stock price, we now have a HOLD rating (BUY earlier).
For all recommendations, click here Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
