Overall Fundamental outlook

Business Operations:

Sector: Utilities
Industry: Utilities - Regulated Electric

Power Grid Corporation of India Limited, an electric power transmission utility, engages in the transmission of power in India and internationally. The company operates in three segments: Transmission Services, Telecom Services, and Consultancy Services. As of June 30, 2024, it owned and operated 1,77,790 circuit kilometers of transmission lines, as well as 278 substations with transformation capacity of 5,28,761 mega volt ampere. The company also provides consultancy services, including power system planning and techno-economic feasibility studies; environmental and social impact assessment; design and engineering; procurement assistance; project management and construction supervision; asset management; and other services, such as owners' and lenders' engineer service; grid code and tariff mechanisms preparation; legal and technical advisory; and market analysis advisory services, as well as renewable energy certificate mechanism implementation. In addition, it provides overhead optic fiber network services using optical ground wire on power transmission lines under the POWERTEL brand name; and operates electric vehicle charging stations. The company was formerly known as National Power Transmission Corporation Limited and changed its name to Power Grid Corporation of India Limited in October 1992. Power Grid Corporation of India Limited was incorporated in 1989 and is based in Gurugram, India.

Revenue projections:

Revenue projections for POWERGRID
Revenue projections for POWERGRID

POWERGRID's revenue projections indicate a decrease from last year's performance, which could lead to investor caution. A fall in revenue is likely to negatively impact the company's profitability, causing concern for shareholders who may view this as a signal of declining financial health.

Financial Ratios:

currentRatio 0.000000
forwardPE 16.621489
debtToEquity 137.073000
earningsGrowth -0.042000
revenueGrowth -0.027000
grossMargins 0.979610
operatingMargins 0.562790
trailingEps 16.670000
forwardEps 21.270000

Power Grid Corporation of India Limited's Forward PE is in a strong range, indicating that its stock price compares well with its earnings. The stock is not considered overpriced, leaving ample room for growth and making it a promising option for investors looking for value and future returns.
POWERGRID's elevated debt-to-equity ratio suggests that the company is using significant debt to finance its operations. This level of leverage can amplify financial risk, particularly if profitability decreases or external conditions become unfavorable.
POWERGRID's low growth in both earnings and revenue indicates a likely decrease in profits. This suggests the company may be facing financial challenges, and investors should be cautious about its future performance.
POWERGRID's positive gross and operating margins highlight its strong profitability. The company's ability to control costs while generating revenue indicates efficient operations and a healthy financial position.
POWERGRID's forward EPS exceeding its trailing EPS means the company is expected to be more profitable this year than last. This suggests an upward trend in earnings, with forecasts indicating that POWERGRID's financial performance will improve in the current financial year.

Price projections:

Price projections for POWERGRID
Price projections for POWERGRID

The price of POWERGRID has consistently remained close to the lower end of price projections. This trend may reflect uncertainty in the market regarding the company's ability to deliver on growth expectations.

Recommendation changes over time:

Recommendations trend for POWERGRID
Recommendations trend for POWERGRID


POWERGRID has been receiving a buy bias from analysts, indicating confidence in its investment potential. This could drive more investors to view POWERGRID as a reliable choice for their money, offering a promising avenue for future growth and financial gains.