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Power Grid of India

BSE:532898
Snowflake Description

Established dividend payer and good value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
532898
BSE
₹1,033B
Market Cap
  1. Home
  2. IN
  3. Utilities
Company description

Power Grid Corporation of India Limited, a central transmission utility, engages in the transmission of power in India. The last earnings update was 209 days ago. More info.


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532898 Share Price and Events
7 Day Returns
5.3%
BSE:532898
1.4%
IN Electric Utilities
0.4%
IN Market
1 Year Returns
2.2%
BSE:532898
-6.2%
IN Electric Utilities
2%
IN Market
532898 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Power Grid of India (532898) 5.3% 10% 0.3% 2.2% 44% 87.2%
IN Electric Utilities 1.4% 7.9% -3.4% -6.2% 33.4% 48%
IN Market 0.4% 9.1% 1.8% 2% 43.6% 80.4%
1 Year Return vs Industry and Market
  • 532898 outperformed the Electric Utilities industry which returned -6.2% over the past year.
Price Volatility
532898
Industry
5yr Volatility vs Market

532898 Value

 Is Power Grid of India undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Power Grid of India to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Power Grid of India.

BSE:532898 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 21 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.4%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BSE:532898
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 8.6%
Electric Utilities Unlevered Beta Simply Wall St/ S&P Global 0.24
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.241 (1 + (1- 35%) (127.3%))
0.625
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (0.8 * 8.6%)
14.43%

Discounted Cash Flow Calculation for BSE:532898 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Power Grid of India is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

BSE:532898 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 14.43%)
2019 -33,441.14 Analyst x5 -29,224.10
2020 80,062.12 Analyst x12 61,143.07
2021 122,134.46 Analyst x5 81,511.43
2022 160,503.04 Est @ 31.42% 93,610.31
2023 199,433.90 Est @ 24.26% 101,648.15
2024 237,812.69 Est @ 19.24% 105,924.31
2025 275,234.20 Est @ 15.74% 107,132.96
2026 311,785.28 Est @ 13.28% 106,056.29
2027 347,830.77 Est @ 11.56% 103,397.23
2028 383,858.03 Est @ 10.36% 99,717.56
Present value of next 10 years cash flows ₹830,917.21
BSE:532898 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ₹383,858.03 × (1 + 7.55%) ÷ (14.43% – 7.55%)
₹6,000,571.31
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹6,000,571.31 ÷ (1 + 14.43%)10
₹1,558,811.57
BSE:532898 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹830,917.21 + ₹1,558,811.57
₹2,389,728.79
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹2,389,728.79 / 5,231.59
₹456.79
BSE:532898 Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹456.79
Current discount Discount to share price of ₹197.45
= -1 x (₹197.45 - ₹456.79) / ₹456.79
56.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Power Grid of India is available for.
Intrinsic value
>50%
Share price is ₹197.45 vs Future cash flow value of ₹456.79
Current Discount Checks
For Power Grid of India to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Power Grid of India's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Power Grid of India's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Power Grid of India's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Power Grid of India's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BSE:532898 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-03-31) in INR ₹15.67
BSE:532898 Share Price ** BSE (2019-03-20) in INR ₹197.45
India Electric Utilities Industry PE Ratio Median Figure of 7 Publicly-Listed Electric Utilities Companies 11.57x
India Market PE Ratio Median Figure of 2,730 Publicly-Listed Companies 16.4x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Power Grid of India.

BSE:532898 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:532898 Share Price ÷ EPS (both in INR)

= 197.45 ÷ 15.67

12.6x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Power Grid of India is overvalued based on earnings compared to the IN Electric Utilities industry average.
  • Power Grid of India is good value based on earnings compared to the India market.
Price based on expected Growth
Does Power Grid of India's expected growth come at a high price?
Raw Data
BSE:532898 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.6x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts
13.3%per year
India Electric Utilities Industry PEG Ratio Median Figure of 6 Publicly-Listed Electric Utilities Companies 0.88x
India Market PEG Ratio Median Figure of 596 Publicly-Listed Companies 1.27x

*Line of best fit is calculated by linear regression .

BSE:532898 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.6x ÷ 13.3%

0.95x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Power Grid of India is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Power Grid of India's assets?
Raw Data
BSE:532898 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-03-31) in INR ₹104.03
BSE:532898 Share Price * BSE (2019-03-20) in INR ₹197.45
India Electric Utilities Industry PB Ratio Median Figure of 10 Publicly-Listed Electric Utilities Companies 1.01x
India Market PB Ratio Median Figure of 3,617 Publicly-Listed Companies 1.12x
BSE:532898 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:532898 Share Price ÷ Book Value per Share (both in INR)

= 197.45 ÷ 104.03

1.9x

* Primary Listing of Power Grid of India.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Power Grid of India is overvalued based on assets compared to the IN Electric Utilities industry average.
X
Value checks
We assess Power Grid of India's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electric Utilities industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electric Utilities industry average (and greater than 0)? (1 check)
  5. Power Grid of India has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

532898 Future Performance

 How is Power Grid of India expected to perform in the next 1 to 3 years based on estimates from 21 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
13.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Power Grid of India expected to grow at an attractive rate?
  • Power Grid of India's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • Power Grid of India's earnings growth is positive but not above the India market average.
  • Power Grid of India's revenue growth is positive but not above the India market average.
Annual Growth Rates Comparison
Raw Data
BSE:532898 Future Growth Rates Data Sources
Data Point Source Value (per year)
BSE:532898 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts 13.3%
BSE:532898 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 21 Analysts 10.7%
India Electric Utilities Industry Earnings Growth Rate Market Cap Weighted Average 16.2%
India Electric Utilities Industry Revenue Growth Rate Market Cap Weighted Average 12.9%
India Market Earnings Growth Rate Market Cap Weighted Average 18.5%
India Market Revenue Growth Rate Market Cap Weighted Average 11.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BSE:532898 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (11 months ago) See Below
Future Estimates Average of up to 21 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BSE:532898 Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 414,221 294,592 123,677 16
2020-03-31 373,974 274,053 108,099 20
2019-03-31 337,857 264,123 96,097 20
BSE:532898 Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-03-31 299,415 227,101 81,983
2017-03-31 256,974 215,753 74,507
2016-03-31 206,521 150,081 59,586

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Power Grid of India's earnings are expected to grow by 13.3% yearly, however this is not considered high growth (20% yearly).
  • Power Grid of India's revenue is expected to grow by 10.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
BSE:532898 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (11 months ago) See Below
Future Estimates Average of up to 21 Analyst Estimates (S&P Global) See Below

All data from Power Grid of India Company Filings, last reported 11 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:532898 Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 23.74 29.00 21.80 13.00
2020-03-31 20.61 22.10 19.60 16.00
2019-03-31 18.36 20.80 17.20 18.00
BSE:532898 Past Financials Data
Date (Data in INR Millions) EPS *
2018-03-31 15.67
2017-03-31 14.24
2016-03-31 11.39

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Power Grid of India is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Power Grid of India's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Power Grid of India has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

532898 Past Performance

  How has Power Grid of India performed over the past 5 years?

  • Power Grid of India's last earnings update was 209 days ago.
The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Power Grid of India's growth in the last year to its industry (Electric Utilities).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Power Grid of India's year on year earnings growth rate has been positive over the past 5 years.
  • Power Grid of India's 1-year earnings growth is less than its 5-year average (10% vs 14%)
  • Power Grid of India's earnings growth has not exceeded the IN Electric Utilities industry average in the past year (10% vs 10%).
Earnings and Revenue History
Power Grid of India's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Power Grid of India Company Filings, last reported 11 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:532898 Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-03-31 299,414.90 81,983.10 17,498.90
2017-03-31 256,974.40 74,507.30 14,909.40
2016-03-31 206,520.80 59,586.10 10,883.20
2015-03-31 176,585.10 50,462.50 12,122.50
2014-03-31 156,754.30 45,475.80 16,977.00 6.90
2013-03-31 131,639.00 43,126.10 14,997.10 10.80
2012-03-31 103,115.20 33,029.90 14,435.60 31.60

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Power Grid of India has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Power Grid of India used its assets more efficiently than the IN Electric Utilities industry average last year based on Return on Assets.
  • Power Grid of India has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Power Grid of India's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electric Utilities industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Power Grid of India has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

532898 Health

 How is Power Grid of India's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Power Grid of India's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Power Grid of India's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Power Grid of India's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Power Grid of India's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Power Grid of India Company Filings, last reported 11 months ago.

BSE:532898 Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-03-31 544,259.90 1,315,029.60 28,123.10
2017-03-31 498,655.00 1,189,879.10 39,842.30
2016-03-31 439,699.30 1,085,449.10 24,474.60
2015-03-31 384,387.30 962,434.10 31,886.50
2014-03-31 346,979.40 842,196.80 51,771.20
2013-03-31 264,031.10 692,334.90 28,645.40
2012-03-31 235,832.10 543,555.20 32,979.00
  • Power Grid of India's level of debt (241.6%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (262.1% vs 241.6% today).
  • Debt is not well covered by operating cash flow (17.3%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.5x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Power Grid of India's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Power Grid of India has a total score of 1/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

532898 Dividends

 What is Power Grid of India's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.95%
Current annual income from Power Grid of India dividends. Estimated to be 3.48% next year.
If you bought ₹2,000 of Power Grid of India shares you are expected to receive ₹59 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Power Grid of India's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.5%).
  • Power Grid of India's dividend is above the markets top 25% of dividend payers in India (1.92%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BSE:532898 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 21 Analyst Estimates (S&P Global) See Below
India Electric Utilities Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 3%
India Market Average Dividend Yield Market Cap Weighted Average of 1399 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
India Top 25% Dividend Yield 75th Percentile 1.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BSE:532898 Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 8.01 13.00
2020-03-31 6.91 16.00
2019-03-31 5.92 16.00
BSE:532898 Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2019-03-07 5.830 3.019
2018-05-29 5.250 2.777
2018-02-01 5.800 2.895
2017-08-14 4.350 2.102
2017-05-29 4.350 2.048
2017-02-09 2.510 1.253
2016-08-24 2.310 1.252
2016-05-26 2.310 1.411
2016-01-27 2.110 1.495
2015-08-10 2.000 1.503
2015-06-01 2.000 1.416
2015-03-04 2.000 1.375
2014-08-27 2.580 1.832
2014-05-29 2.580 1.931
2014-02-28 2.410 2.253
2013-10-18 2.750 2.831
2013-02-12 2.920 2.773
2013-01-10 2.110 1.886
2012-08-24 2.110 1.786
2012-08-21 2.110 1.784
2012-05-29 2.110 1.885
2011-10-03 1.750 1.680
2010-08-11 1.500 1.478
2010-05-26 1.500 1.472
2010-01-07 1.200 1.104
2009-06-16 1.200 1.107
2009-03-23 1.400 1.342

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Power Grid of India's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3x coverage).
X
Income/ dividend checks
We assess Power Grid of India's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Power Grid of India afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Power Grid of India has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

532898 Management

 What is the CEO of Power Grid of India's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Ravi Singh
COMPENSATION ₹5,503,123
AGE 58
TENURE AS CEO 0.2 years
CEO Bio

Dr. Ravi Prakash Singh has been Director of Personnel at Power Grid Corporation of India Limited since April 1, 2012 and additional charge of Interim Chairman & Managing Director since January 21, 2019. Dr. Singh has over 35 years of work experience in the power sector handling various multi-disciplinary functions like HR, Telecom, Contracts, Materials, Planning, Monitoring and Transmission System Construction/O&M. He served as Executive Director of Human Resource Management, Executive Director of Corporate Communication and Executive Director of I/C Eastern Region-II/ER-II at Power Grid Corporation of India. Prior to joining POWERGRID in 1991, he worked for 10 years in NTPC. He served as General Manager of NTPC Ltd. He worked at Tata Steel. He served as the Chairman of Torrent Power Grid Ltd. He served as the Chairman of Powerlinks Transmission Limited. He served as a Nominee Director of PTC India Limited since April 3, 2012 until March 13, 2019. He has been a Whole Time Director at Power Grid Corporation of India Limited since April 1, 2012 and previously served as its Director since September 1995. He served as a Non Executive Director of Powerlinks Transmission Limited until March 21, 2017. He served as an Independent Director of GAIL (India) Limited from February 29, 2012 to August 9, 2012. He did his Mechanical Engineering from NIT, Allahabad in First Class with Honours and Post Graduate Diploma in human resources from the All India Management Association, New Delhi.

CEO Compensation
  • Ravi's compensation has been consistent with company performance over the past year.
  • Ravi's remuneration is lower than average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the Power Grid of India management team in years:

1
Average Tenure
58
Average Age
  • The average tenure for the Power Grid of India management team is less than 2 years, this suggests a new team.
Management Team

Ravi Singh

TITLE
MD, Director of Personnel & Chairman
COMPENSATION
₹6M
AGE
58
TENURE
0.2 yrs

K. Sreekant

TITLE
Director of Finance & Director
COMPENSATION
₹6M
AGE
55
TENURE
2.5 yrs

Seema Gupta

TITLE
Director of Operations & Director
COMPENSATION
₹3M
AGE
56
TENURE
1 yrs

B. N. Bhowmick

TITLE
Executive Director of Technology Development

Jack Haydon

TITLE
Chief GM
AGE
82

N. Shankar

TITLE
Executive Director of HR & Law

Chetan Varma

TITLE
Executive Director of Corporate Communications - Rajbhasha

Anil Jain

TITLE
Executive Director of Corporate Planning
AGE
58

R. Chauhan

TITLE
Chief Manager of MATL
AGE
65

B. Gupta

TITLE
Chief Manager of TL
AGE
65
Board of Directors Tenure

Average tenure and age of the Power Grid of India board of directors in years:

1
Average Tenure
55
Average Age
  • The average tenure for the Power Grid of India board of directors is less than 3 years, this suggests a new board.
Board of Directors

K. Sreekant

TITLE
Director of Finance & Director
COMPENSATION
₹6M
AGE
55
TENURE
2.5 yrs

Seema Gupta

TITLE
Director of Operations & Director
COMPENSATION
₹3M
AGE
56
TENURE
1 yrs

Rajeev Chauhan

TITLE
Executive Director & Director of Projects
TENURE
0.6 yrs

Jagdish Patel

TITLE
Independent Director
COMPENSATION
₹580K
AGE
52
TENURE
3.3 yrs

Ravi Singh

TITLE
MD, Director of Personnel & Chairman
COMPENSATION
₹6M
AGE
58
TENURE
0.2 yrs

Tse Dorji

TITLE
Independent Director
COMPENSATION
₹540K
AGE
68
TENURE
2.1 yrs

Manoj Mittal

TITLE
Independent Director
COMPENSATION
₹200K
AGE
54
TENURE
1.5 yrs

Vivek Dewangan

TITLE
Government Nominee Director
AGE
51
TENURE
0.9 yrs

A. Mahalakshmi

TITLE
Non-Official Independent Director
AGE
48
TENURE
0.7 yrs

Sunil Sharma

TITLE
Non-official Independent Director
AGE
62
TENURE
0.7 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
X
Management checks
We assess Power Grid of India's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Power Grid of India has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

532898 News

Simply Wall St News

532898 Company Info

Description

Power Grid Corporation of India Limited, a central transmission utility, engages in the transmission of power in India. The company is involved in planning, implementation, operation, and maintenance of inter-state transmission system, telecom, and consultancy services. As of April 30, 2017, it owned and operated 1,39,708 circuit kilometres (kms) of transmission lines, and 220 substations with transformation capacity of 2,92,543 mega volt ampere. The company also provides consultancy services in the areas of power transmission, sub-transmission, distribution management, load dispatch and communication markets. Its consultancy services include system engineering and feasibility studies, environmental and social impact assessment, design and engineering, contract services, project management and construction supervision, owner's and lender's engineer, and other services. Power Grid Corporation of India Limited offers its consultancy services to state owned utilities, private utilities, central public sector undertakings, and government departments in Afghanistan, Bangladesh, Bhutan, Congo, Ethiopia, Nigeria, Nepal, Kazakhstan, Kenya, the Kyrgyz Republic, Myanmar, Pakistan, Senegal, Sri Lanka, Tajikistan, Tanzania, the United Arab Emirates, and Uzbekistan. 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 founded in 1989 and is based in Gurgaon, India.

Details
Name: Power Grid Corporation of India Limited
532898
Exchange: BSE
Founded: 1989
₹1,032,977,375,997
5,231,589,648
Website: http://www.powergridindia.com
Address: Power Grid Corporation of India Limited
Saudamini, Plot No. 2,
Sector-29,
Gurgaon,
Haryana, 122001,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 532898 Equity Shares Mumbai Stock Exchange IN INR 05. Oct 2007
NSEI POWERGRID Equity Shares National Stock Exchange of India IN INR 05. Oct 2007
Number of employees
Current staff
Staff numbers
0
Power Grid of India employees.
Industry
Electric Utilities
Utilities
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/21 12:44
End of day share price update: 2019/03/20 00:00
Last estimates confirmation: 2019/03/16
Last earnings filing: 2018/08/24
Last earnings reported: 2018/03/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.