In the last month, power stocks have been in a strong bullish momentum. The BSE power index has outperformed the Nifty 50 index and is up by 23.42% as on 20th April 2022.Not just that, the stocks of Adani group have offered magnificent returns and a majority of them are rallying towards making a new all-time high. Adani green energy Ltd. has given an absolute return of 53%, Adani power Ltd. has generated an absolute return of 47% and Adani transmission Ltd. has offered a return of 15% in the last month as on 20th April 2022. So, it wouldn’t be wrong to say that power stocks are the talk of the town.But why are power stocks rallying?- As the summer season has kicked in, many states of India are experiencing a heat wave. Hence, people have increased the use of air conditioners, coolers and fans which has led to high power consumption.
- India is the third largest producer and the second largest consumer of electricity in the world. Almost 75% of power in India is generated from coal. Since September 2021, the demand for coal and power has skyrocketed in the international markets. Moreover, some of the major coal producing countries couldn’t produce enough to meet the overall coal requirement. Hence, because of less supply and high demand, power stocks are rallying.
Overview of Power Sector in India
India is the third largest producer and second largest consumer of electricity in the world. But the country is still focusing on generating more power. Hence they have increased the installed capacity from 200 GigaWatts (GWs) to 395.09 GWs as on January 2022.Out of India’s total installed capacity, the private sector contributes 46.80%. Until 2012, the contribution from the private companies was 27%. But later, the government came up with new policies to encourage private sector participation in the power generation segment.The biggest advantage for companies in the power sector is that there are high entry barriers. Transmission and distribution segments are under state monopolies. So, if a company desires to enter into the power sector then they will face multiple challenges such as obtaining a distribution license, payment guarantees, selling at a fixed cost and a lot more.So, the stocks which are currently operating in the power sector are going to stay in the game for the long term.List of Power Stocks Listed 2022
| Company | Current Market Price (CMP) | Market cap | 52 week High | 52 week low | PE ratio | PB ratio |
| Adani Green Energy | Rs. 2,811.50 | Rs. 4,39,722.61 | Rs. 3,050 | Rs. 874.8 | 2,266.61 | 173.73 |
| Adani Transmission Ltd. | Rs. 2,828.45 | Rs. 3,11,075.82 | Rs. 3,000 | Rs. 860 | 256 | 32.2 |
| Power Grid Corp | Rs. 227.25 | Rs. 1,58,517.17 | Rs. 239.9 | Rs. 150.9 | 9.58 | 2.41 |
| NTPC | Rs. 162.7 | Rs. 1,57,764.76 | Rs. 1,090 | Rs. 97.05 | 11.2 | 1.27 |
| Adani Power | Rs. 246.8 | Rs. 95,189.25 | Rs. 256.95 | Rs. 70.35 | -189.8 | 5.62 |
| Tata Power | Rs. 258.85 | Rs. 82,711.36 | Rs. 298.05 | Rs. 92.4 | 34.93 | 4.43 |
| JSW Energy | Rs. 340.1 | Rs. 55,913.52 | Rs. 408 | Rs. 99 | 111.73 | 4.33 |
| NHPC | Rs. 36.05 | Rs. 36,212.35 | Rs. 1,053.01 | Rs. 23.45 | 7.85 | 1.29 |
| Torrent Power | Rs. 557.65 | Rs. 26,801.59 | Rs. 606.55 | Rs. 375.5 | 19.85 | 2.45 |
| Indian Energy Exchange | Rs. 234.2 | Rs. 21,046.84 | Rs. 318.67 | Rs. 114.35 | 73.73 | 27.36 |
| SJVN | Rs. 29.4 | Rs. 11,553.60 | Rs. 33.75 | Rs. 24.75 | 7.23 | 0.85 |
| CESC | Rs. 84.15 | Rs. 11,154.68 | Rs. 102.45 | Rs. 5.77 | 13.49 | 1.07 |
| Jaiprakash Power Ventures Ltd | Rs. 7.7 | Rs. 5,277.16 | Rs. 11.15 | Rs. 2.85 | 11.87 | 0.49 |
| Reliance Power | Rs. 15.15 | Rs. 5,151.19 | Rs. 19.25 | Rs. 4.3 | -19.14 | 0.55 |
| Reliance Infra | Rs. 130.3 | Rs. 3,426.76 | Rs. 150 | Rs. 32.7 | -20.11 | 0.34 |
| RattanIndia Power | Rs. 5.8 | Rs. 3,114.66 | Rs. 9.7 | Rs. 2.4 | 11.37 | 0.61 |
| PTC India | Rs. 99.85 | Rs. 2,955.64 | Rs. 144.4 | Rs. 78.5 | 8.08 | 0.79 |
| Nava Bharat Ventures | Rs. 159.35 | Rs. 2,312.18 | Rs. 165.8 | Rs. 70.4 | 7.32 | 0.73 |
| Gujarat Industries Power Co Ltd | Rs. 102.9 | Rs. 1,556.37 | Rs. 105.7 | Rs. 68.4 | 9.72 | 0.52 |
| BF Utilities | Rs. 387.5 | Rs. 1,459.62 | Rs. 539 | Rs. 227.1 | -1,128.75 | 11.36 |
| India Power Corporation Ltd. | Rs. 14.55 | Rs. 1,416.86 | Rs. 31.15 | Rs. 11.75 | 154.13 | 0.89 |
| Urja Global | Rs. 17.45 | Rs. 972.32 | Rs. 33.4 | Rs. 5.1 | 755.41 | 7.03 |
| Orient Green Power Company Ltd | Rs. 12.2 | Rs. 915.88 | Rs. 28.45 | Rs. 1.8 | -77.76 | 1.22 |
| Inox Wind Energy | Rs. 699.8 | Rs. 768.73 | Rs. 154.45 | 67.8 | 6.44 | 0.83 |
| Ravindra Energy | Rs. 56.7 | Rs. 761.08 | Rs. 78.00 | 26.25 | 257.96 | 1.92 |
| Surana Telecom and power Ltd. | Rs. 14.55 | Rs. 197.53 | Rs. 17.95 | 4 | 61.13 | 1.82 |
| Indowind Energy | Rs. 18.45 | Rs. 165.57 | Rs. 44.25 | 3.25 | 98.14 | 0.72 |
| S.E. Power | Rs. 26.35 | Rs. 107.01 | Rs. 63.45 | 3.40 | -36.27 | 19.5 |
| Energy Development | Rs. 21.75 | Rs. 103.31 | Rs. 42.30 | 8.20 | 33.19 | 0.62 |
| Gita Renewable | Rs. 169 | Rs. 69.5 | Rs. 328.35 | 31.10 | -53.38 | 33.9 |
| WAA Solar | Rs. 52.1 | Rs. 69.12 | Rs. 62.30 | 21.75 | 20.91 | 0.4 |
| Karma Energy | Rs. 32.5 | Rs. 37.6 | Rs. 42.35 | 12.3 | -7.52 | 1.14 |
| Suryachakra Power | Rs. 1.53 | Rs. 22.89 | Rs. 1.89 | 0.38 | -0.4 | -0.32 |
| Veer Energy & Infra | Rs. 14.5 | Rs. 16.69 | Rs. 22.90 | 7.62 | 75.88 | 0.26 |
| Amalgaated Elecy. Co | Rs. 17.6 | Rs. 4.89 | Rs. 26.00 | 12.26 | -44.83 | -164.03 |
Adani Green Energy Limited
Adani Green Energy is a part of the Adani group. It is one of the largest renewable energy companies in India. The company is engaged in the business of power generation. It has a current project portfolio of 20,284 MegaWatt (MW). The company also develops, builds, owns, operates and maintains solar and wind farm projects. This generated energy is then supplied to central and state government entities and government-backed corporations.Let’s take a look at the key financial ratios of Adani Green Energy Limited.| Market Cap (Cr): Rs. 450,460 | Face Value: Rs. 10 | EPS: Rs. 3.02 |
| Book Value: Rs. 15.8 | Roce (%): 11 | Debt to Equity: 17.6 |
| Stock PE: 1,107 | ROE (%): 25.9 | Dividend Yield (%): 0 |
| Total Debt (Cr): Rs. 43,545 | Promoter’s Holdings (%): 61.27 |
Adani Transmission Ltd
Adani Transmission is an electric power transmission company. It is also a part of the Adani group. The company is headquartered in Ahmedabad, India. Currently, it is one of the largest private sector power transmission companies in India.Adani transmissions own and operate transmission lines across various states of Gujarat, Rajasthan, Bihar, Jharkhand, Uttar Pradesh, Maharashtra, and a lot more.Let’s take a look at the key financial ratios of Adani Transmission Limited.| Market Cap (Cr): Rs. 302,734 | Face Value: Rs. 10 | EPS: Rs. 11 |
| Book Value: Rs. 87.7 | Roce (%): 12 | Debt to Equity: 2.99 |
| Stock PE: 249 | ROE (%): 21.6 | Dividend Yield (%): 0 |
| Total Debt (Cr): Rs. 28,848 | Promoter’s Holdings (%): 74.92 |
Power Grid Corporation of India
Power Grid Corporation is India’s largest electric power transmission company. It is a public sector undertaking, owned and managed by the Ministry of Power. The government of India holds a 51.34% stake in the company as on March 2021.It has set up power transmission lines which are 1,72,437 circuits KM long and has a power generation capacity of 4,74,457 Mega Volt Ampere (MVA). The company has over 150 domestic clients and more than 25 international clients.The company has also listed its Infrastructure Investment Trust (InvIT) named Powergrid Infrastructure Investment Trust. By doing so they have monetized 5 InvIT assets worth Rs. 7,700 crore.Let’s take a look at the key financial ratios of Power Grid Corporation of India| Market Cap (Cr): Rs. 161,865 | Face Value: Rs. 10 | EPS: Rs. 23.2 |
| Book Value: Rs. 111 | Roce (%): 11.4 | Debt to Equity: 1.74 |
| Stock PE: 11.7 | ROE (%): 18.7 | Dividend Yield (%): 4.24 |
| Total Debt (Cr): Rs. 1,35,034 | Promoter’s Holdings (%): 51.34 |
National Thermal Power Corporation
NTPC is involved in generation of bulk power to state power utilities. Apart from this, the company also provides consultancy services, project management and supervision service, energy trading, oil and gas exploration and coal mining.Currently, the company has 70 power plants which have an energy generation capacity of 63,000 Megawatts (MV) as on June 2020.In 2020, NTPC acquired the entire government stake in Tehri Hydro Development Corporation Limited (THDC) and North Eastern Electric Power Corporation Ltd (NEEPCO). Both of these companies have an installed capacity of 3,300 MW which is an additional benefit to NTPC.Let’s take a look at the key financial ratios of NTPC| Market Cap (Cr): Rs. 1,51,026 | Face Value: Rs. 10 | EPS: Rs. 16.6 |
| Book Value: Rs. 134 | Roce (%): 8.57 | Debt to Equity: 1.61 |
| Stock PE: 9.40 | ROE (%): 12.6 | Dividend Yield (%): 3.94 |
| Total Debt (Cr): Rs. 2,08,541 | Promoter’s Holdings (%): 51.10 |
Adani Power
Adani power is one of the renowned thermal power producers in India. It generates 98% of its revenue from power supply, 1% from trading goods and 1% from sale of fly ash. It has an installed thermal power generation capacity of 12,410 Mega Watt (MW) from its six power plants. Moreover, Adani power is further trying to grow its power generation capacity and hence they have seven more power plants under construction. These seven plants have a power generation capacity of more than 7,000 MV.Let’s take a look at the key financial ratios of Adani Power| Market Cap (Cr): Rs. 111,504 | Face Value: Rs. 10 | EPS: Rs. 0.72 |
| Book Value: Rs. 34.7 | Roce (%): 14.2 | Debt to Equity: 3.94 |
| Stock PE: 399 | ROE (%): -7.4 | Dividend Yield (%): 0.00 |
| Total Debt (Cr): Rs. 52,748 | Promoter’s Holdings (%): 75 |
Tata Power
Tata power is engaged in the business of power generation, transmission and distribution of electricity. It generates electricity through thermal, hydro and renewable energy. The company has a total power generation capacity of 12,808 MV.The company generates its revenue from these segments.- 37% from the power generation segment.
- 16% from renewable energy sources i.e. wind and solar.
- 46% of revenues comes from the transmission & distribution segment.
| Market Cap (Cr): Rs. 79,724 | Face Value: Rs. 1 | EPS: Rs. 5.11 |
| Book Value: Rs. 66.6 | Roce (%): 7.36 | Debt to Equity: 2.31 |
| Stock PE: 47 | ROE (%): 3.41 | Dividend Yield (%): 0.62 |
| Total Debt (Cr): Rs. 49,060 | Promoter’s Holdings (%): 46.9 |
Bottom line
With this we come to the end of this article on the best power stocks listed in India. Now, it is obvious that the power sector is forever going to be in demand as people are never going to stop using power.To know which are the best power stocks to buy, all you need to do is visit Samco’s star ratings page and check the ratings for stocks from the power sector. The star rating provided in Samco star is revised daily and is calculated using more than twenty million data points. It also mentions the financial ratios of the stock and pros and cons of investing in the company. So, researching the best power stocks just got simpler.To invest in any of the power stocks, open a Demat account with Samco.Happy Investing
Thanks for sharing the list of power stocks in India.
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