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Last Updated on: 21 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo

Reliance Power Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 21, 2024, 2:08 am

Market Cap 17,976 Cr.
Current Price 44.8
High / Low 54.2/19.4
Stock P/E
Book Value 35.8
Dividend Yield0.00 %
ROCE1.43 %
ROE17.5 %
Face Value 10.0
PEG Ratio0.00

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for

Competitors of

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Muzali Arts Ltd 5.80 Cr. 0.98 1.35/0.87 2.370.00 %7.96 %14.0 % 1.00
IND Renewable Energy Ltd 22.2 Cr. 15.9 24.3/11.0739 18.70.00 %0.07 %0.34 % 10.0
GMR Power & Urban Infra Ltd 7,255 Cr. 101 169/38.6 11.10.00 %11.4 %% 5.00
Gita Renewable Energy Ltd 62.9 Cr. 153 310/121242 32.20.00 %2.71 %1.91 % 10.0
SJVN Ltd 43,833 Cr. 112 170/88.847.4 37.21.61 %4.99 %5.90 % 10.0
Industry Average56,051.00 Cr213.8789.4787.840.69%8.19%10.02%8.08

All Competitor Stocks of

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales1,8971,6552,0141,8471,7961,8462,0631,8641,8861,7301,9222,0521,947
Expenses1,0108031,0991,0519671,6641,2491,2961,2231,8891,3011,3202,310
Operating Profit888852914796829182814568663-159621732-363
OPM %47%51%45%43%46%10%39%30%35%-9%32%36%-19%
Other Income10941494863324473491,17037117184
Interest646620597652663603638665650574620725607
Depreciation270270274276270257258255253266261263262
Profit before tax81291-84-41-647-39-280-192171-224-138-1,048
Tax %-9%-6,392%33%6%-35%-1%-162%-12%-28%-50%-32%-72%-8%
Net Profit8915461-79-55-651-102-313-245257-296-238-1,137
EPS in Rs0.190.260.04-0.39-0.29-1.63-0.47-1.00-0.800.86-0.79-0.64-3.04

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales2,0194,9275,1756,90310,29910,3969,5938,2017,5627,9347,5037,5437,590
Expenses1,5933,2143,2584,3175,8845,8895,1994,2684,5524,3594,7685,6365,734
Operating Profit4261,7131,9172,5874,4144,5064,3933,9343,0103,5752,7351,9061,856
OPM %21%35%37%37%43%43%46%48%40%45%36%25%24%
Other Income945357370298323496276-2,823-3,3684861921,3141,373
Interest2985856841,0742,6832,8432,9263,2063,0542,5392,7212,5272,569
Depreciation1212853645247017347598388361,0831,0771,0331,043
Profit before tax9521,2001,2391,2861,3531,425984-2,934-4,248439-871-339-383
Tax %9%16%17%20%34%23%15%-1%-1%-3%-5%-19%
Net Profit8671,0111,0271,0288951,104840-2,952-4,271454-915-403-522
EPS in Rs3.093.613.673.673.193.943.00-10.52-14.530.82-2.84-1.26-1.37
Dividend Payout %0%0%0%0%31%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)16.61%1.58%0.10%-12.94%23.35%-23.91%-451.43%-44.68%110.63%-301.54%55.96%
Change in YoY Net Profit Growth (%)0.00%-15.03%-1.49%-13.04%36.29%-47.26%-427.52%406.75%155.31%-412.17%357.50%

has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2012-2013 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:4%
5 Years:-1%
3 Years:0%
TTM:2%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:%
TTM:-23%
Stock Price CAGR
10 Years:-3%
5 Years:68%
3 Years:50%
1 Year:100%
Return on Equity
10 Years:0%
5 Years:-7%
3 Years:-12%
Last Year:-18%

Last Updated: Unknown

Balance Sheet

Last Updated: December 14, 2024, 3:07 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital2,8052,7972,8052,8052,8052,8052,8052,8052,8053,4003,7354,0174,017
Reserves15,77616,67217,82717,42218,56218,43014,5729,0649,4418,3647,8607,59710,376
Borrowings27,48230,04333,21933,79032,92531,69730,45628,80425,63523,12921,23618,76614,903
Other Liabilities5,8716,1158,1759,9979,8729,24210,24512,67112,90114,91915,70413,38111,744
Total Liabilities51,93455,62662,02664,01464,16562,17458,07853,34350,78249,81248,53543,76041,040
Fixed Assets8,97613,83933,63434,51534,85134,88135,90338,57437,19036,30835,77633,58431,190
CWIP30,31032,25515,5317,3867,4036,9134,2763,6151,9122,0202,3201,2931,318
Investments4014186187379928022430363739209210
Other Assets12,6079,39112,00121,24021,11220,10017,67511,12411,64411,44710,4018,6748,322
Total Assets51,93455,62662,02664,01464,16562,17458,07853,34350,78249,81248,53543,76041,040

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +7052,3101,3994,5744,7054,3654,2234,5434,1493,6134,0243,174
Cash from Investing Activity +-8,967-2,311-3,630-1,348-2,14235460-247486284-354-192
Cash from Financing Activity +10,076-586695-3,194-3,389-4,311-4,839-4,200-4,615-3,849-3,623-2,734
Net Cash Flow1,814-587-1,53532-826408-55696194846248

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow426.00-26.00-29.00-31.00-29.00-28.00-27.00-27.00-25.00-22.00-21.00-20.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days99801541251059412211411115613076
Inventory Days
Days Payable
Cash Conversion Cycle99801541251059412211411115613076
Working Capital Days21-142-74-59-30-63-169-343-80-189-245-219
ROCE %4%4%5%7%8%7%7%6%7%5%3%1%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters24.98%24.98%24.98%24.98%25.00%24.99%24.99%24.50%24.50%23.24%23.24%23.27%
FIIs4.92%5.95%7.79%7.97%7.83%7.35%7.34%7.66%8.37%13.01%12.71%13.12%
DIIs3.50%3.50%3.50%3.50%3.27%3.17%3.17%5.16%5.19%4.94%3.06%2.88%
Government0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.00%0.00%0.00%
Public66.60%65.57%63.73%63.56%63.88%64.47%64.49%62.67%61.95%58.81%60.99%60.72%
No. of Shareholders34,78,96435,74,30935,88,31536,24,25935,85,69832,19,43230,45,99231,06,44635,67,05938,68,22740,90,48140,44,000

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Large and Mid Cap Fund - Regular Plan4,039,7780.068.543,163,8402024-12-1927.69%
Motilal Oswal Nifty Microcap 250 Index Fund3,163,8401.176.693,163,8402024-12-190%
Groww Nifty Total Market Index Fund8,3400.040.023,163,8402024-12-19-99.74%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)-5.46-1.35-1.900.82-14.53
Diluted EPS (Rs.)5.46-1.35-1.900.82-14.53
Cash EPS (Rs.)-2.501.691.535.48-12.25
Book Value[Excl.RevalReserv]/Share (Rs.)28.9135.5741.4249.2447.13
Book Value[Incl.RevalReserv]/Share (Rs.)28.9135.5741.4249.2447.13
Revenue From Operations / Share (Rs.)19.6520.1922.0728.2826.96
PBDIT / Share (Rs.)3.805.968.5414.3613.06
PBIT / Share (Rs.)1.153.195.3810.5010.08
PBT / Share (Rs.)-5.05-0.79-1.531.47-15.09
Net Profit / Share (Rs.)-5.15-1.08-1.641.62-15.23
NP After MI And SOA / Share (Rs.)-5.15-1.26-1.780.81-14.53
PBDIT Margin (%)19.3229.4938.7150.7848.43
PBIT Margin (%)5.8615.8024.3537.1337.37
PBT Margin (%)-25.69-3.94-6.945.19-55.95
Net Profit Margin (%)-26.20-5.34-7.415.72-56.48
NP After MI And SOA Margin (%)-26.20-6.24-8.072.88-53.90
Return on Networth / Equity (%)-17.80-4.05-4.861.86-34.34
Return on Capital Employeed (%)1.793.955.608.457.55
Return On Assets (%)-4.72-0.96-1.210.45-7.64
Long Term Debt / Equity (X)0.811.061.141.371.67
Total Debt / Equity (X)1.621.831.851.682.04
Asset Turnover Ratio (%)0.170.000.000.000.00
Current Ratio (X)0.260.270.330.350.30
Quick Ratio (X)0.210.220.280.300.24
Interest Coverage Ratio (X)0.620.881.241.591.20
Interest Coverage Ratio (Post Tax) (X)0.100.440.751.170.91
Enterprise Value (Cr.)29188.1625989.4228680.4423100.6525582.37
EV / Net Operating Revenue (X)3.703.453.822.913.38
EV / EBITDA (X)19.1411.689.875.736.98
MarketCap / Net Operating Revenue (X)1.440.490.610.150.04
Price / BV (X)0.970.320.360.090.02
Price / Net Operating Revenue (X)1.440.490.610.150.04
EarningsYield-0.18-0.12-0.130.18-11.91

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of as of December 21, 2024 is: 95.85

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of December 21, 2024, is Undervalued by 113.95% compared to the current share price 44.80

Default values used*: Default value of 15 for Stock P/E is used

Intrinsic Value of as of December 21, 2024 is: 162.86

Calculation basis:

  • Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of December 21, 2024, is Undervalued by 263.53% compared to the current share price 44.80

Default values used*: Default value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: 69.91%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -132.67, which is a positive sign.
  2. The company has shown consistent growth in sales (6.85 cr) and profit (60.08 cr) over the years.
  1. The stock has a low average ROCE of 5.33%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 113.83, which may not be favorable.
  3. The company has higher borrowings (27,083.46) compared to reserves (13,227.92), which may suggest financial risk.
  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in :
    1. Net Profit Margin: -26.2%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 1.79% (Industry Average ROCE: 8.19%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: -17.8% (Industry Average ROE: 10.02%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 0.1
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 0.21
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. Stock P/E: 0 (Industry average Stock P/E: 89.47)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 1.62
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company - Qualitative Analysis

Reliance Power Ltd. is a Public Limited Listed company incorporated on 17/01/1995 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L40101MH1995PLC084687 and registration number is 084687. Currently company belongs to the Industry of Power - Generation/Distribution. Company’s Total Operating Revenue is Rs. 41.89 Cr. and Equity Capital is Rs. 3400.13 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Power - Generation/DistributionReliance Centre, Ground Floor, 19, Walchand Hirachand Marg, Mumbai Maharashtra 400001reliancepower.investors@relianceada.com
http://www.reliancepower.co.in
Management
NamePosition Held
Mr. Sateesh SethChairman
Mr. Raja Gopal KrotthapalliNon Exe.Non Ind.Director
Mr. Punit GargNon Exe.Non Ind.Director
Mr. Vijay Kumar SharmaInd. Non-Executive Director
Mr. Ashok RamaswamyInd. Non-Executive Director
Mrs. Manjari Ashok KackerInd. Non-Executive Director
Mrs. Chhaya ViraniInd. Non-Executive Director

FAQ

What is the latest intrinsic value of ?

The latest intrinsic value of as on 21 December 2024 is ₹95.85, which is 113.95% higher than the current market price of ₹44.80. The stock has a market capitalization of 17,976 Cr. and recorded a high/low of 54.2/19.4 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹10,376 Cr and total liabilities of ₹41,040 Cr.

What is the Market Cap of ?

The Market Cap of is 17,976 Cr..

What is the current Stock Price of as on 21 December 2024?

The current stock price of as on 21 December 2024 is 44.8.

What is the High / Low of stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of stocks is 54.2/19.4.

What is the Stock P/E of ?

The Stock P/E of is .

What is the Book Value of ?

The Book Value of is 35.8.

What is the Dividend Yield of ?

The Dividend Yield of is 0.00 %.

What is the ROCE of ?

The ROCE of is 1.43 %.

What is the ROE of ?

The ROE of is 17.5 %.

What is the Face Value of ?

The Face Value of is 10.0.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in . Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE