Stocks To Buy: CLSA projects 37% upside on this PSU power stock
Published on 20/08/2025 12:14 PM
Stocks To Buy: CLSA projects 37% upside on this PSU power stockIndia's energy security and net zero plan provides NTPC with a decadal growth opportunity and it sees upside risk to this target, CLSA said.By Shloka Badkar August 20, 2025, 12:14:04 PM IST (Published)2 Min ReadShares of NTPC Ltd. gained on Wednesday, August 20, as brokerage firm CLSA projected a 37% upside on the stock after its analyst meet.
CLSA has maintained its "outperform" rating on NTPC with a price target of ₹459 per share.
NTPC, in its analyst meet, said it is raising the bar not only for capacity additions by 15% but also its transition initiatives, including carbon batteries.
The state-run entity has scaled up its financial year 2032 capacity target to 149 GW, up 15% from 130 GW earlier, over FY25-32 as it multiplies its renewable additions with the collapse in polysilicon prices, it said.
India's energy security and net zero plan provides NTPC with a decadal growth opportunity and it sees upside risk to this target, CLSA said.
It has forecast 45% earnings-per-share and 230 basis points return on equity (RoE) growth over FY25-27.
CLSA said it sees NTPC back in the deep-value zone, trading at 10 times its earnings-per-share estimate for FY27. This is excluding the value of NTPC Green, which is 24% of its market cap, with a 3% dividend yield, which is 2.9 times higher than Nifty.
Shares of NTPC Ltd. are trading 1.5% higher on Wednesday at ₹340.
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