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POWERGRID: Upcoming Bond Issue Will Support Attractive Long Term Upside Potential

Nationwide Electrification And 500GW Renewable Policy Will Expand Transmission Infrastructure

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POWERGRID
AnalystConsensusTarget
Not Invested
Published 10 Nov 2024

Update shared on 10 Dec 2025

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-21.0%
7D
-2.3%

Analysts have maintained their price target for Power Grid Corporation of India at ₹313.57 per share, noting that only marginal tweaks to long term revenue growth, profit margin assumptions and future valuation multiples were insufficient to justify a change in fair value.

What's in the News

  • Board meeting scheduled on November 17, 2025 to consider issuing unsecured, non convertible, non cumulative, redeemable, taxable bonds under the "POWERGRID Bond LXXXIII (83rd) Issue" via private placement, along with other business matters (company filing)
  • Change in joint statutory auditors for FY 2025 26, with M/s. ASA & Associates LLP, New Delhi, appointed in place of M/s. Rama K Gupta & Co., following the latter's resignation due to another C&AG audit assignment for the same year (company filing)
  • Board meeting on November 03, 2025 to review and approve unaudited financial results for the quarter and half year ended September 30, 2025, and to consider declaration of a first interim dividend for FY 2025 26, if any (company filing)

Valuation Changes

  • Fair Value: Unchanged at ₹313.57 per share, reflecting no material impact from minor model adjustments.
  • Discount Rate: Stable at 12.76 percent, indicating no reassessment of risk or cost of capital assumptions.
  • Revenue Growth: Fallen slightly, with the long term annual growth assumption trimmed from 5.25 percent to about 5.21 percent.
  • Net Profit Margin: Eased marginally, from roughly 35.47 percent to about 35.45 percent in the long term forecast.
  • Future P/E: Risen slightly, with the forward valuation multiple nudged up from 21.73x to about 21.77x.

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Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.