In terms of turnover, Tata Power Company Ltd. was the most active stock on the NSE on Thursday, rising 10% during trading. In the process, it passed the Rs 1 lakh crore market capitalization (m-cap) threshold, making it the sixth Tata group firm to do so.
Details on sixth Tata Group company to surpass the Rs 1L cr m-cap threshold is Tata Power
Trent Ltd. became the fifth Tata group company to reach the Rs. 1 lakh crore milestone earlier this week. Other group companies with market caps above Rs 1 lakh crore are Tata Consultancy Services Ltd, Titan Company Ltd, Tata Motors Ltd, and Company Tata Steel Ltd.
The Tata group stock soared 9.55 per cent to hit a high of Rs 322.25 in trade today and logged a turnover of Rs 2,217 crore on NSE. At the prevailing level, the stock was commanding m-cap of Rs 1,01,787.54 crore.
The fresh buying on the counter as seen as JM Financial upped its rating on Tata Power to ‘Buy’ and suggested a target of Rs 350 on the counter. Tata Power’s recalibrated strategy, JM Financial said, involves tapping high-margin group captive RE (renewables) opportunities.
Tata Power has estimated a capex of Rs 60,000 crore till FY27, of which 45 epr cent will be spent on renewables businesses. The management expects revenue, Ebitda and profit after tax to double by FY27. Investec has retained its hold rating on the stock with a target of Rs 277. Antique Stock Broking has a target of Rs 305 on the stock. Axis Capital has add rating on the stock with a target of Rs 296.
Up until FY27, Tata Power has projected capex of Rs 60,000 crore, of which 45% will go toward renewable energy projects. By FY27, revenue, EBITDA, and profit after tax are expected to treble, according to management. With a target price of Rs 277, Investec has maintained its hold recommendation on the company. The stock’s target price according to Antique Stock Broking is Rs 305. With a target price of Rs 296, Axis Capital has assigned the stock an add rating.
