Power Grid Corporation of India share rose over 5% today after the company cleared a proposal to infuse fresh equity of up to Rs 425 crore in Energy Efficiency Services, its joint venture arm.
The stock has gained 7.51% in the last 2 days. Power Grid Corporation share touched an intraday high of Rs 185.95, rising 5.59% against previous close of Rs 176.10 on BSE.
Power Grid share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The stock has gained 30.17% since the beginning of this year and risen 38.88% in one year.
Market cap of the firm rose to Rs 1.29 lakh crore.
".... board of directors in its 394th meeting approved proposal to infuse fresh equity of up to Rs 425 crore in Energy Efficiency Services Limited (EESL), a Joint Venture Company of Power Grid, NTPC, PFC and REC," as per the press release.
On August 10, the company reported a nearly three-fold rise in consolidated net profit at Rs 5,998.28 crore in Q1, mainly on the back of higher revenues.
Consolidated net profit stood at Rs 2,048.42 crore in the year-ago period.
Total income of the company rose to Rs 10,391.61 crore in June quarter from Rs 9,816.72 crore in the same period a year ago.
Motilal Oswal in a note said the Q1 earnings highlight the steady growth in its transmission business, with underlying numbers increasing 12% yoy.
Standalone profit after tax rose 3 times on year on year basis, led by gains on sale of assets to the InvIT.
The brokerage maintained buy rating with a DCF-based target price of Rs 205 per share.
The share touched a 52-week high of Rs 188.63 and a 52-week low of Rs 115.99 on 15 June, 2021 and 15 October, 2020, respectively.
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