Q3FY21 Result Update - NTPC Ltd - ICICI Direct

NTPC reported an operationally decent set of Q3FY21 numbers. In terms of operational performance, generation and energy sold were higher than estimates, which led to revenues and PAT beat for the quarter. The company is well on track to achieve its guidance of commercial capacity addition and has forecasted a higher number for FY22 as well. It also announced an interim dividend of Rs. 3/share.

Valuation & Outlook

The message of the company is clear with expectation to focus on augmenting renewables capacity in a profitable and aggressive manner in the future. We would still wait for some time to see the execution capability on the renewable side before turning into buyers. Hence, we believe the stock will consolidate in a range. Till then, we maintain HOLD rating with a target price of Rs. 105 (Rs. 88 earlier), valued at 0.75x FY23E book value.

For details, click on the link below: https://www.icicidirect.com/mailimages/IDirect_NTPC_Q3YF21.pdf

Shares of NTPC LTD. was last trading in BSE at Rs.99.65 as compared to the previous close of Rs. 99.05. The total number of shares traded during the day was 1837542 in over 6265 trades.

The stock hit an intraday high of Rs. 101.95 and intraday low of 98.25. The net turnover during the day was Rs. 183968467.

Source : Equity Bulls

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