Power Grid Corp Stock Price Analysis and Quick Research Report. Is Power Grid Corp 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 Power Grid Corp.
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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). Power Grid Corp has a PE ratio of 17.4896101325945 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. Power Grid Corp has ROA of 5.9548% 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. Power Grid Corp has a Current ratio of 0.7841.
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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. Power Grid Corp has a ROE of 17.1469%. (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. Power Grid Corp has a Debt to Equity ratio of 1.4202 which means that the company has low proportion of debt in its capital.
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Sales growth: Power Grid Corp has reported revenue growth of -2.2638% 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 Power Grid Corp for the current financial year is 85.1388159103136%.
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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 Power Grid Corp is Rs 9 and the yield is 3.1836%.
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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 Power Grid Corp is Rs 16.1696. The higher the EPS, the better it is for investors.
One can find all the Financial Ratios of Power Grid Corp in Ticker for free. Also, one can get the intrinsic value of Power Grid Corp by using Valuation Calculators, which are available with a Finology ONE subscription.
Power Grid Corp FAQs
Q1. What is Power Grid Corp share price today?
Ans: The current share price of Power Grid Corp is Rs 282.8.
Q2. What is the market capitalisation of Power Grid Corp?
Ans: Power Grid Corp has a market capitalisation of Rs 263021.07600132 Cr., calculated based on its latest share price.
Q3. What are the P/E and P/B ratios of Power Grid Corp?
Ans: The PE ratio of Power Grid Corp is 17.4896101325945 and the P/B ratio of Power Grid Corp is 2.7496968818943, showing how the stock is valued against its earnings and book value.
Q4. What is the 52-week high and low of Power Grid Corp share?
Ans: The 52-week high share price of Power Grid Corp is Rs 366.25, and the 52-week low share price of Power Grid Corp is Rs 247.3.
Q5. Does Power Grid Corp pay dividends?
Ans: Currently, Power Grid Corp pays dividends. Dividend yield of Power Grid Corp is around 3.1836%.
Q6. What are the face value and book value of Power Grid Corp shares?
Ans: The face value of Power Grid Corp shares is Rs 10, while the book value per share of Power Grid Corp is around Rs 102.8477. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.
Q7. What is the debt of Power Grid Corp?
Ans: Power Grid Corp has a total debt of Rs 130964.96 Cr., which affects investor sentiment and financial stability.
Q8. What are the ROE and ROCE of Power Grid Corp?
Ans: The ROE of Power Grid Corp is 17.1469% and ROCE of Power Grid Corp is 12.9638%. 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 Power Grid Corp a good buy for the long term?
Ans: The Power Grid Corp 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 Power Grid Corp undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Power Grid Corp appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.
Q11. How to check Power Grid Corp’s financials?
Ans: You can review Power Grid Corp’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.