JSW Energy Ltd., incorporated in the year 1994, is a Mid Cap company (having a market cap of Rs 25274.27 Crore) operating in Power sector.
Financials
For the quarter ended 31-03-2021, the company reported a Consolidated Total Income of Rs 1614.09 Crore, down -2.72 % from last quarter Total Income of Rs 1659.26 Crore and down -12.64 % from last year same quarter Total Income of Rs 1847.65 Crore. Company reported net profit after tax of Rs 99.18 Crore in latest quarter.
Investment Rationale
The brokerage rolls forward and raises SOTP-based target price to INR130/sh (earlier: INR85/sh), capturing a) the benefit of 2.2GW of upcoming renewable projects and b) the increase in the value of JSWE’s stake in JSW Steel. However, with the sharp run-up in the stock over the past three months, the possible value accretion is captured more than adequately. Accordingly, the brokerage downgrades the stock to Sell.
Promoter/FII Holdings
Promoters held 74.9 per cent stake in the company as of June 30, 2020, while FIIs held 6.7 per cent, DIIs 9.4 per cent and public and others 9 per cent.
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