ScoreWhy is NTPC Ltd. ?
1
Poor Management Efficiency with a low ROCE of 8.41%
- The company has been able to generate a Return on Capital Employed (avg) of 8.41% signifying low profitability per unit of total capital (equity and debt)
2
Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.67 times
- Poor long term growth as Operating profit has grown by an annual rate 10.62% of over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.67 times
- The company has been able to generate a Return on Capital Employed (avg) of 8.41% signifying low profitability per unit of total capital (equity and debt)
3
Healthy long term growth as Net Sales has grown by an annual rate of 10.93%
4
Flat results in Mar 26
- ROCE(HY) Lowest at 8.63%
- DEBTORS TURNOVER RATIO(HY) Lowest at 5.12 times
- INTEREST(Q) Highest at Rs 3,736.82 cr
5
Stock is technically in a Mildly Bullish range
- The stocks MACD and KST technical factors are also Bullish
6
With ROCE of 7.6, it has a Very Attractive valuation with a 1.3 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 8.83%, its profits have risen by 15.5% ; the PEG ratio of the company is 0.8
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to NTPC should be less than 10%
- Overall Portfolio exposure to Power should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is NTPC for you?
Low Risk, High Return
Absolute
Risk Adjusted
Volatility
NTPC
8.87%
0.46
19.08%
Sensex
-4.95%
-0.37
13.26%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
10.93%
EBIT Growth (5y)
10.62%
EBIT to Interest (avg)
2.81
Debt to EBITDA (avg)
4.90
Net Debt to Equity (avg)
1.29
Sales to Capital Employed (avg)
0.43
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
34.57%
Pledged Shares
0
Institutional Holding
45.80%
ROCE (avg)
8.33%
ROE (avg)
12.56%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
13
Industry P/E
24
Price to Book Value
1.70
EV to EBIT
17.04
EV to EBITDA
10.99
EV to Capital Employed
1.30
EV to Sales
3.24
PEG Ratio
0.82
Dividend Yield
2.45%
ROCE (Latest)
7.65%
ROE (Latest)
13.31%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
PBDIT(Q)
Highest at Rs 15,320.48 cr.
PBT LESS OI(Q)
Highest at Rs 7,643.57 cr.
PAT(Q)
Highest at Rs 10,486.47 cr.
EPS(Q)
Highest at Rs 10.81
-4What is not working for the Company
ROCE(HY)
Lowest at 8.63%
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.12 times
INTEREST(Q)
Highest at Rs 3,736.82 cr
Loading Valuation Snapshot...
Here's what is working for NTPC
Operating Profit (PBDIT) - Quarterly
Highest at Rs 15,320.48 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 7,643.57 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 10,486.47 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 10,486.47 cr has Grown at 37.8%
Year on Year (YoY)MOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 10.81
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for NTPC
Interest - Quarterly
Highest at Rs 3,736.82 cr
in the last five quarters and Increased by 18.10 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debtors Turnover Ratio- Half Yearly
Lowest at 5.12 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
