JSW Energy Ltd.
NSE: JSWENERGYJSW Energy Ltd.: A 30-second snapshot
JSW Energy trades at ₹509.20, effectively at its 200-DMA (₹509.44) and below its 50-DMA (₹518.19), with a 13.05% drawdown from its 52-week high. The stock is up 11.17% over 12 months. Fundamentals reflect a capital-intensive growth phase: D/E of 229.16, FCF positive in 1 of available years, and 5-year earnings growth of -11.5% against 41% revenue expansion.
P/E
40.3
Forward P/E
27.7
ROE
+8.8%
Debt / Equity
229.16
Profit Margin
+11.8%
Div. Yield
+0.4%
5Y ROE > 15%
0/5
5Y FCF > 0
1/5
Quality
31/100
News
4 headlines · 2 positive · 1 negative
JSW Energy Shares Sink 8% as Q4 Profit Falls 9% Year-on-Year - Meyka
Meyka
JSWENERGY: Record EBITDA and 3 GW new capacity planned for FY 2027, supported by strong liquidity - TradingView
TradingView
JSW Energy Q4 & FY26 Results: Net Profit at ₹2,762 Crore, Declares ₹2 Dividend - PSU Connect
PSU Connect
Suzlon, BHEL, Tata Power, Waaree Energies, JSW Energy, others: Buy, sell or hold? - Check share price targets - Business Today
Business Today
Recent context
- ·Q4 FY26 net profit declined 9% YoY, triggering an 8% single-day share drop (May 12, 2026); full-year net profit was reported at ₹2,762 crore with a ₹2 dividend declared.
- ·Management guided record EBITDA for FY26 and a 3 GW capacity addition plan for FY27, supported by what the company described as strong liquidity.
- ·Analyst coverage across 19 analysts shows a mean rating of 2.39 on a 1–5 scale (lower = more constructive).
Strengths
- +Revenue has grown 41% over 5 years, reflecting significant capacity addition in a sector with long-duration contracted cash flows.
- +Forward PE of 27.68 represents a 31% discount to trailing PE of 40.28, implying the market prices in meaningful earnings improvement ahead.
- +Quality score of 16 ranks JSWENERGY 4th of 6 peers in the Power sector; PE of 40.28 sits between NTPC/POWERGRID (19–22x) and ADANIGREEN/ADANIENSOL (71–146x), positioning it as a mid-premium name within the group.
- +Company reported record EBITDA for FY26 and announced 3 GW of incremental capacity targeted for FY27, alongside ₹2 dividend declared for FY26.
Weaknesses
- −D/E of 229.16 with a rising debt trend and FCF positive in only 1 of available years signals heavy dependence on external financing; interest burden constrains equity returns.
- −5-year earnings growth of -11.5% despite 41% revenue growth indicates that revenue scale has not translated into bottom-line compounding; Q4 FY26 profit fell 9% YoY.
- −ROE of 8.82% has not crossed 15% in any recorded year; consistency score of 14/100 reflects structural weakness in return-on-capital generation.
- −Price is below both the 50-DMA (₹518.19) and 200-DMA (₹509.44); resistance at ₹524.10 is 2.9% above current price, with next resistance at ₹530.50 and ₹585.65.
Open questions
- ?Does the 3 GW capacity expansion plan for FY27 have visibility on power purchase agreements, and at what tariff structure would these assets begin contributing to FCF?
- ?How has the D/E ratio trended over the last 5 years, and at what level of EBITDA coverage does the debt load become self-sustaining without fresh equity issuance?
- ?Given that 5-year earnings growth is -11.5% while revenue grew 41%, which cost line — depreciation, interest expense, or operating costs — accounts for the margin compression?
- ?Is the record EBITDA metric calculated on a pre- or post-exceptional basis, and how does FY26 EBITDA margin compare to FY22 levels when the revenue base was significantly smaller?
Peer comparison: Power
Ranks 6 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| JSWENERGY | JSW Energy Ltd.You're viewing | 40.3 | +8.8% | 16 |
| Industry avg | across 5 peers | 58.4 | +12.7% | 35 |
| POWERGRID | Power Grid Corporation of India Ltd. | 19.4 | — | 52 |
| ADANIPOWER | Adani Power Ltd. | 33.9 | +20.9% | 41 |
| NTPC | NTPC Ltd. | 21.9 | — | 31 |
| ADANIGREEN | Adani Green Energy Ltd. | 145.9 | +7.6% | 28 |
| ADANIENSOL | Adani Energy Solutions Ltd. | 71.0 | +9.7% | 23 |
Technical state
Current price
₹509.20
SMA 50
₹518.19
SMA 200
₹509.44
RSI (14)
38.6 (neutral)
From 52w high
-13.1%
1Y return
+11.2%
3M return
+6.1%
50-DMA
Below
200-DMA
Below
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity ratio of 229.16 is extremely elevated for a non-financial company. Rising debt trend and FCF positive in only 1 of available years indicate persistent net capital consumption.
- highEarnings growth over 5 years is negative at -11.5% despite revenue growing 41% over the same period, suggesting margin erosion and/or rising interest costs absorbing top-line gains. Profit margin stands at 11.85%.
- mediumROE of 8.82% has never exceeded 15% in recorded history (0 qualifying years); consistency score of 14/100 reflects weak return-on-equity persistence across the cycle.
- mediumTrading below both the 50-DMA (₹518.19) and 200-DMA (₹509.44) at ₹509.20, with RSI at 38.59. Nearest resistance sits at ₹524.10, approximately 2.9% above current price.
- lowNews sample is sparse at 4 articles total; sentiment signal (2 positive, 1 neutral, 1 negative) carries limited statistical weight. Most recent negative headline: Q4 profit fell 9% YoY, shares declined 8% on the news.
Cross-section contradictions
- Q4 FY26 results showed a 9% YoY profit decline and an 8% single-day share drop, yet the company reported record EBITDA and plans 3 GW of new capacity for FY27 — near-term earnings weakness contrasts with management expansion narrative.
- PE of 40.28 and forward PE of 27.68 imply material earnings growth is priced in, while 5-year earnings growth is -11.5% and FCF has been positive in only 1 of available years.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 15 May 2026 · rotates through NIFTY 500 every ~5 days