Business Today
Loading...

Why Tata Power share rose 9% today

Tata Power share has gained 9.71% in two days. The stock touched an intraday high of Rs 61.7, rising 8.72%

twitter-logoBusinessToday.In | August 20, 2020 | Updated 12:38 IST
Why Tata Power share rose 9% today
Tata Power Company share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages

Tata Power share price rose 9% intraday in Thursday's session a day after the company disclosed its expansion plans and aimed to reach no. 2 spot in the energy industry. The Tata Group firm exhibited its current business structure along with plans to achieve the aim of becoming one of the top 2 energy companies in India in the future.

The energy firm plans to expand distribution footprint nationally, leverage technology to expand rooftop solar and solar pumps and create innovative, low carbon solutions for customers through ESCO, home automation and EV charging.

The company is targeting consolidated renewables energy revenue to jump to Rs 23,000 crore by FY25E.

The stock has gained 9.71% in two days. The stock touched an intraday high of Rs 61.7, rising 8.72%. Tata Power Company share is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. The share has gained 8.85% in last one year and risen 7.79% since the beginning of this year. In a month, .the share has climbed 24%.

In Q1 of the current fiscal, consolidated net profit grew 10% to Rs 268 crore against a net profit of Rs 243 crore during the same period a year ago due to lower finance costs.

Govt may sell stake in IRCTC through offer for sale route

Revenue from operations fell 16.9% YoY to Rs 6,453 crore in Q1 FY21.

Research and brokerage firm Motilal Oswal Financial Services has upgraded Tata Power stock to buy, with an upside of 25 per cent and a target price of Rs 66 apiece post-April-June quarter earnings.

"The approval of a tariff hike at Mundra, the merger of CGPL and Tata Power Solar with TPWR, and favourable InvIT valuations provide upsides," the brokerage firm said.

"As we build-in expectations of normalisation in its EPC businesses, we view the risk-reward as favourable at current levels," it added.

Meanwhile, Jefferies downgraded Tata Power stock to 'underperform' from 'hold' in July 2020, adding that the Q1 results were weaker than expected as power business disappointed. The brokerage said the company has seen a severe downturn since Q1 but operations should improve sequentially. "Company reported near-zero EBITDA in Q1 as lockdown came in an already weak cycle," it added.

Share Market News Live: Sensex drops 220 points, Nifty at 11,340; ONGC, HDFC, L&T, ICICI Bank top laggards  

Youtube
  • Print

  • COMMENT
BT-Story-Page-B.gif
A    A   A
close