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NTPC Share Price: Brokerages suggested that NTPC's capacity ramp-up, along with medium-term double-digit EPS CAGR remain the key drivers for re-rating.
NTPC's net profit for the three months ended December 2024 saw a 3.1 percent increase on-year, rising to Rs 4,711.4 crore.
According to a Moneycontrol poll of five brokerages, NTPC is likely to see an increase in revenue 9 percent to Rs 43,014 crore compared to Rs 39,455 crore reported in the same quarter last year.
Capex programme and diversification strategy of the power utility well on track
A combination of strong growth, backed by a robust pipeline of projects, and relatively higher return ratios mean better value unlocking
The company’s profitability is improving and it has a healthy project pipeline that can support increasing power demand
Recent correction offers a good entry point as earnings visibility remains strong
The core business of thermal power is thriving while the power utility is plugging into clean energy
Earlier this month, a Jefferies report said that momentum will likely continue in the power sector if monthly power stays at 7 percent or higher
The power generator is riding on the back of stable earnings and better demand along with its increasing footprint in the renewable space
Net Sales are expected to increase by 36.5 percent Y-o-Y (down 5.3 percent Q-o-Q) to Rs. 38,490.3 crore, according to HDFC Securities.
Second half of the current fiscal looks to be better in terms of earnings for NTPC
According to a poll of brokerages conducted by Moneycontrol.com, the standalone PAT for India’s largest power utility company is expected to be around Rs 3,560 crore, a YoY growth of 11 percent.
For the quarter, growth in hydropower generation stood at 14 percent while that in thermal and renewable energy stood at 2.5 percent and 8.5 percent, respectively, on an annualised basis.
NTPC’s revenue from operations is likely to rise 15.2 percent on a year-on-year basis
Net Sales are expected to increase by 15.7 percent Y-o-Y (up 2.2 percent Q-o-Q) to Rs. 27,140.5 crore, according to ICICI Direct.
Earnings recovery coupled with attractive valuation to keep the NTPC stock high
Once the inflation cycle sets in, the cost of power production through fossil fuels will rise with every passing year, with the energy switchover to renewables becoming a viable and attractive option.
Plant load factor (PLF) for coal during Q3FY20 is 63.48 percent as against 77.7 percent in Q3FY19 and 64.28 percent in Q2FY20.
Net Sales are expected to increase by 4 percent Y-o-Y (down 4.3 percent Q-o-Q) to Rs. 23,158.6 crore, according to Kotak.
Net Sales are expected to decrease by 5.8 percent Y-o-Y (down 13.3 percent Q-o-Q) to Rs. 20,977.7 crore, according to ICICI Direct.
Net Sales are expected to decrease by 3.6 percent Y-o-Y (up 3.1 percent Q-o-Q) to Rs. 21,880.6 crore, according to Kotak.
Net Sales are expected to increase by 5.9 percent Y-o-Y (up 1.4 percent Q-o-Q) to Rs. 24,462.3 crore, according to Kotak.
Input cost pressure is being increasingly absorbed by companies as the demand environment in weakening
Net Sales are expected to increase by 10.6 percent Y-o-Y (down 4.8 percent Q-o-Q) to Rs. 21,984.4 crore, according to Kotak.