NTPC Ltd
NSE: NTPC BSE: 532555
â‚ą321.95
+0.40 (0.12%)
Sat, 14 Nov 2026, 04:56 am
Market Cap (in Cr)310972.09
PE Ratio10.50
Dividend2.81
Utilities
Electric Utilities
24.5KNTPC Analysis
dividend
- Dividends paid are well covered by earnings (4.8x coverage).
- Dividends after 3 years are expected to be well covered by earnings (2x coverage).
- NTPC's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
- NTPC's dividend is above the markets top 25% of dividend payers in India (3.08%).
- Dividends per share have fallen over the past 10 years.
- Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
future
- Cash flow for NTPC is expected to increase by more than 50% in 2 years time.
- NTPC's earnings growth is expected to exceed the low risk savings rate of 7.2%.
- Performance (ROE) is expected to be above the current IN Renewable Energy industry average.
- NTPC's revenue growth is expected to exceed the India market average.
- NTPC's earnings are expected to grow by 11.1% yearly, however this is not considered high growth (20% yearly).
- NTPC's earnings growth is positive but not above the India market average.
- NTPC's earnings are expected to decrease over the next year.
- NTPC's net income is expected to increase but not above the 50% threshold in 2 years time.
- NTPC is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
- A decline in NTPC's performance (ROE) is expected over the next 3 years.
- NTPC's revenue is expected to increase but not above the 50% threshold in 2 years time.
- NTPC's revenue is expected to grow by 9.8% yearly, however this is not considered high growth (20% yearly).
health
- NTPC is profitable, therefore cash runway is not a concern.
- NTPC is profitable, therefore cash runway is not a concern.
- NTPC's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
- Debt is not well covered by operating cash flow (7.7%, less than 20% of total debt).
- Debt is not covered by short term assets, assets are 0.3x debt.
- NTPC's long term commitments exceed its cash and other short term assets.
- The level of debt compared to net worth has increased over the past 5 years (115.8% vs 146.9% today).
- Interest payments on debt are not well covered by earnings (EBIT is 2.7x annual interest expense, ideally 3x coverage).
- NTPC's level of debt (146.9%) compared to net worth is high (greater than 40%).
- High level of physical assets or inventory.
management
- Gurdeep's remuneration is lower than average for companies of similar size in India.
- The average tenure for the NTPC board of directors is less than 3 years, this suggests a new board.
- Gurdeep's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.
- The average tenure for the NTPC management team is less than 2 years, this suggests a new team.
past
- NTPC's 1-year earnings growth exceeds its 5-year average (17.7% vs 6.8%)
- NTPC's year on year earnings growth rate has been positive over the past 5 years.
- NTPC used its assets less efficiently than the IN Renewable Energy industry average last year based on Return on Assets.
- NTPC's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
- NTPC has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- NTPC's earnings growth has not exceeded the IN Renewable Energy industry average in the past year (17.7% vs 30.9%).
value
- NTPC is good value based on expected growth next year.
- NTPC is good value based on earnings compared to the India market.
- NTPC's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
- NTPC's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
- NTPC is overvalued based on assets compared to the IN Renewable Energy industry average.
- NTPC is overvalued based on earnings compared to the IN Renewable Energy industry average.
- 532555 underperformed the Renewable Energy industry which returned -4.4% over the past year.
- 532555 underperformed the Market in India which returned -14.5% over the past year.
- BSE:532555 is up 2.1% underperforming the Renewable Energy industry which returned 13% over the past month.
- BSE:532555 is up 2.1% underperforming the market in India which returned 8% over the past month.
