Overall Fundamental outlook

Business Operations:

Sector: Utilities
Industry: Utilities - Renewable

NHPC Limited, together with its subsidiaries, engages in the generation, sale, and trading of electricity through hydro, wind, and solar power stations in India. It also owns and operates power stations. In addition, the company offers construction, projection execution and maintenance, and consultancy services in the areas of design and engineering, investigation, geotechnical, construction and project management, procurement, supervision, operation and maintenance of power plants, and rural road and electrification projects. It sells electricity to bulk customers that include electricity utilities owned by state governments/private distribution companies. The company was incorporated in 1975 and is based in Faridabad, India.

Revenue projections:

Revenue projections for NHPC
Revenue projections for NHPC

NHPC is projected to experience a revenue decline compared to last year, a development that often leads to investor caution. The drop could negatively impact the company's bottom line, as lower revenues typically signal reduced profitability, prompting more conservative investment strategies.

Financial Ratios:

currentRatio 1.076000
forwardPE 13.448112
debtToEquity 100.410000
earningsGrowth 0.133000
revenueGrowth 0.103000
grossMargins 0.885050
operatingMargins 0.471110
trailingEps 2.710000
forwardEps 3.860000

NHPC's current ratio of 1.076 highlights the company's solid liquidity, indicating that it can easily service its short-term debt. NHPC's ample cash reserves and current assets ensure that the company is well-positioned to meet its immediate financial liabilities.
NHPC's Forward PE is within a good range, showing that the stock price compares well to its earnings. This suggests it isn't overpriced and leaves room for growth, making the stock appealing to investors looking for value and growth opportunities.
NHPC's high debt-to-equity ratio points to a heavily leveraged company, with more debt than equity in its capital structure. While this can boost growth, it increases financial vulnerability in times of economic difficulty.
NHPC's positive earnings and revenue growth indicate that the company is well-positioned for business expansion. This growth suggests a strong financial trajectory, with NHPC expected to continue increasing its profits and revenue in the coming periods.
With positive gross and operating margins, NHPC demonstrates strong profitability. This reflects the company's ability to manage costs and maintain healthy profits, showcasing effective operational efficiency and financial stability.
NHPC's forward EPS is higher than its trailing EPS, suggesting the company is expected to improve its profitability this financial year. This reflects growing confidence in NHPC's earnings potential, with forecasts indicating better financial performance than in the prior year.

Price projections:

Price projections for NHPC
Price projections for NHPC

The price of NHPC Limited has remained consistently close to the lower limit of projections. This ongoing pattern raises concerns about the stock's performance and may reflect market hesitance regarding the company's growth prospects.

Recommendation changes over time:

Recommendations trend for NHPC
Recommendations trend for NHPC


Analysts have shown a sell bias toward NHPC, recommending caution for investors. To make sound decisions, it's important to consider a broader base of market indicators, providing a fuller picture of NHPC's outlook and avoiding overreliance on one specific viewpoint.