NHPC Stock Price Analysis and Quick Research Report. Is NHPC an attractive stock to invest in?
Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.
Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements.
Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse NHPC.
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PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). NHPC has a PE ratio of 28.4518828451883 which is high and comparatively overvalued.
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Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. NHPC has ROA of 3.5918% which is a bad sign for future performance. (Higher values are always desirable.)
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Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. NHPC has a Current ratio of 0.8772.
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Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. NHPC has a ROE of 8.156%. (Higher is better)
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Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. NHPC has a Debt to Equity ratio of 0.9382 which means that the company has low proportion of debt in its capital.
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Sales growth: NHPC has reported revenue growth of 7.1193% which is poor in relation to its growth and performance.
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Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of NHPC for the current financial year is 48.4371143373663%.
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Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for NHPC is Rs 1.91 and the yield is 2.3197%.
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Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of NHPC is Rs 2.8919. The higher the EPS, the better it is for investors.
One can find all the Financial Ratios of NHPC in Ticker for free. Also, one can get the intrinsic value of NHPC by using Valuation Calculators, which are available with a Finology ONE subscription.
NHPC FAQs
Q1. What is NHPC share price today?
Ans: The current share price of NHPC is Rs 82.28.
Q2. What is the market capitalisation of NHPC?
Ans: NHPC has a market capitalisation of Rs 82650.54637554 Cr., calculated based on its latest share price.
Q3. What are the P/E and P/B ratios of NHPC?
Ans: The PE ratio of NHPC is 28.4518828451883 and the P/B ratio of NHPC is 2.10503155756473, showing how the stock is valued against its earnings and book value.
Q4. What is the 52-week high and low of NHPC share?
Ans: The 52-week high share price of NHPC is Rs 96.98, and the 52-week low share price of NHPC is Rs 71.
Q5. Does NHPC pay dividends?
Ans: Currently, NHPC pays dividends. Dividend yield of NHPC is around 2.3197%.
Q6. What are the face value and book value of NHPC shares?
Ans: The face value of NHPC shares is Rs 10, while the book value per share of NHPC is around Rs 39.0873. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.
Q7. What is the debt of NHPC?
Ans: NHPC has a total debt of Rs 35979.2 Cr., which affects investor sentiment and financial stability.
Q8. What are the ROE and ROCE of NHPC?
Ans: The ROE of NHPC is 8.156% and ROCE of NHPC is 7.2199%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.
Q9. Is NHPC a good buy for the long term?
Ans: The NHPC long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.
Q10. Is NHPC undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the NHPC appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.
Q11. How to check NHPC’s financials?
Ans: You can review NHPC’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.