NTPC is the largest power generation company in India, with an overall installed capacity of more than 51 GW. NTPC group contributed 24% to all India generation during FY17.
Valuation: We factor revenue/PAT CAGR of 8%/7% over FY17-20E. While RoE is expected to decline to 10.5% in FY18E, the same is expected to bounce back to 11.3% in FY20E. However, review of regulatory tariff plan for 2019-24 will be a key to watch out for. We maintain BUY rating on the stock with a revised target price (TP) of Rs. 188 based on 1.3x FY20E book value, an upside of 15%.
Investments in equity shares, debentures, etc., are not obligations of, or guaranteed by Wealth India Financial Services Pvt. Ltd., and are subject to investment risks. Click here to read our full disclaimer.
- Discontinuation of the Systematic Investment Plan (SIP) of the Designated Schemes of MOMF
- Change in Maximum Subscription Amount of Aditya Birla Sun Life Medium Term Plan
Wealth Conversations – December 2024
Are Arbitrage Funds right for you?- Introduction Of Daily, Weekly Frequency In Sip And Changes In Default Sip Date And Minimum Investment Amount For The Groww Mutual Funds
