Reliance Power - Operations improve at Rosa but visibility on future projects still bleak - Kotak

Reliance Power (RPWR) continues to report an improving performance at its operational Rosa project—high-cost fuel (Rs3.8/kWh) improving utilization rates and an ever rising realization (Rs6/kWh in 3QFY13). While Rosa stabilizes and Butibori is nearing commercial generation, limited progress on Chitrangi (key value contributor) and continuing fuel supply risks cause us to maintain our cautious stance.

We maintain our SELL rating with a target price of Rs80.

Source : Equity Bulls

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