NTPC Q4 Results Review: ICICI Securities Maintains 'Buy', Hikes Target Price — Here's Why

NTPC is leading the way in India’s energy transition, marching on both key fronts – thermal and renewables. In FY25, it approved 8GW thermal capacity; thermal capacity of 16.9GW is already under-implementation as of Mar’25. On RE front, it raised Rs 100 billion through an initial public offer of its green subsidiary (NTPC Green) at a market cap of Rs 900 billion (better than our expectations), followed by acquisition of 4.1GW RE portfolio..NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .ICICI Securities Report.India is witnessing strong power demand growth in post-Covid-19 times and we expect the base and peak power demand to grow at 6% each over the next couple of years. Firm capacity addition has been low in the past five years; thus, to meet peak demand, India has to fall back on thermal capacity, and NTPC has the best-performing thermal capacity in India. Thus, we believe, as power demand continues to grow at 6% per year, India may need to add more thermal capacity to meet the medium-term demand before storage solutions become economically viable. NTPC is likely to add to this thermal capacity. NTPC group has also demonstrated its ability to execute RE capacities and has set a target of 60GW by 2032. It has operational RE capacity of 6.8GW and another 14.6GW RE capacity under-construction as of Mar’25; this could start contributing significantly to profitability in coming years. It is targeting to add >11GW capacity in FY26. We maintain Buy on the stock with target price of Rs 442 (vs Rs 430 earlier), valuing the thermal business at 15x FY27E EPS and NGEL (RE portfolio) stake adjusted and discounted by 20%. .Key risks: Delay in execution of thermal and RE projects; and increase in cost of execution..Click on the attachment to read the full report:.NTPC Shares Rise Nearly 2% As Q4 Profit Rises.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

NTPC Q4 Results Review: ICICI Securities Maintains 'Buy', Hikes Target Price — Here's Why

ICICI Securities reiterates Buy with a revised target price of Rs 442 (vs Rs 430 earlier).

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