Overall Fundamental outlook

Business Operations:

Sector: Utilities
Industry: Utilities - Independent Power Producers

The Tata Power Company Limited engages in the generation, transmission, distribution, and trading of electricity in India and internationally. The company generates power from hydroelectric and thermal sources, such as coal, gas, and oil; and provides related ancillary services. It also engages in the operation of transmission and distribution networks; and sale of power to retail customers through distribution network and related ancillary services. In addition, the company offers project management contracts/infrastructure management, and property development services, as well as rents oil tanks. Further, it manufactures and sells solar cells and modules, and pumps; operates electric vehicle charging stations and coal mines; generates electricity through solar, wind, and waste heat sources; trades in power; and provides engineering, procurement, and construction, as well as logistics services. Additionally, the company offers microgrid, rooftop solar, and home automation solutions. As of March 31, 2024, it had an installed capacity of 14,707 megawatt. The company was founded in 1915 and is based in Mumbai, India.

Revenue projections:

Revenue projections for TATAPOWER
Revenue projections for TATAPOWER

The Tata Power Company Limited's revenues are expected to fall below last year's, and this forecast tends to raise concerns among investors. A revenue drop can negatively impact the company's profitability, making investors more cautious about their positions due to the risks of declining financial performance.

Financial Ratios:

currentRatio 0.806000
forwardPE 23.854513
debtToEquity 167.811000
earningsGrowth -0.046000
revenueGrowth -0.128000
grossMargins 0.404280
operatingMargins 0.088520
trailingEps 11.700000
forwardEps 17.849870

TATAPOWER's Forward PE being in a good range indicates that the stock is valued appropriately based on its earnings. This suggests the stock is not overpriced and leaves room for growth, providing investors with an opportunity for potential appreciation in value.
The Tata Power Company Limited's elevated debt-to-equity ratio shows that the company is relying heavily on debt to fund its activities. This high leverage can amplify returns but also heightens financial risks if cash flow becomes constrained.
TATAPOWER's low earnings and revenue growth suggest that the company may face shrinking profits. This could indicate underlying financial challenges, making it difficult for TATAPOWER to sustain its current profitability.
TATAPOWER's negative gross and operating margins highlight potential financial struggles, as the company is not covering its production or operational expenses. This could lead to broader concerns about its ability to achieve profitability.
The Tata Power Company Limited's forward EPS surpasses its trailing EPS, reflecting expectations of higher profitability in the current year. This suggests that The Tata Power Company Limited is projected to generate stronger earnings, indicating an optimistic financial outlook compared to the prior year's results.

Price projections:

Price projections for TATAPOWER
Price projections for TATAPOWER

Price projections for TATAPOWER have been revised upward over time, signaling increasing optimism about the company's future. This steady increase reflects a positive outlook for TATAPOWER's growth and market performance.

Recommendation changes over time:

Recommendations trend for TATAPOWER
Recommendations trend for TATAPOWER


Analysts' recent buy bias toward TATAPOWER suggests the stock is gaining favor as a strong investment choice. This optimism could drive more investors to see TATAPOWER as a smart place to invest, further bolstering confidence in the company's long-term growth and potential returns.