Reliance Power Ltd.
NSE: RPOWERReliance Power Ltd.: A 30-second snapshot
Reliance Power (RPOWER) is a power sector company trading at Rs 27.12, down 37.7% over 12 months and 64.5% below its 52-week high. Debt-to-equity of 92.2 and 5-year earnings growth of -38.1% characterise the financial profile, with the stock sitting 24.9% below its 200-day moving average. In April 2026 the former CFO and two others were arrested in connection with a reported Rs 136 crore bank guarantee fraud case.
P/E
39.4
Forward P/E
—
ROE
—
Debt / Equity
92.22
Profit Margin
+3.7%
Div. Yield
—
5Y ROE > 15%
1/5
5Y FCF > 0
4/5
Quality
35/100
News
8 headlines · 3 positive · 1 negative
Former Reliance Power CFO, two others held in Rs 136 cr bank guarantee fraud case - Business Today
Business Today
RPOWER Stock April 22: 40% Rally Fuels Q4 Turnaround Hopes - Meyka
Meyka
Reliance Power Share Latest News Today | Rpower Share Latest News | Rpower Share Target (W7wqMx8olz) - Fathom Journal
Fathom Journal
Expert strategy RPower, BEL, Bharat Forge, BEML: Target prices, outlook | Daily Calls on BTTV - Business Today
Business Today
Adani Power, Reliance Power, JP Power: Stocks to buy— Check price target, stop loss & more - Business Today
Business Today
Recent context
- ·In April 2026, Business Today reported the arrest of Reliance Power's former CFO and two others in connection with a Rs 136 crore bank guarantee fraud case — an active criminal proceeding as of the run date.
- ·A separate April 2026 report noted a roughly 40% intra-period rally that fuelled speculation around a Q4 turnaround; the stock remains 37.7% below its price 12 months ago despite this shorter-term move.
- ·Multiple media outlets carried analyst strategy pieces naming RPOWER alongside peers in the power sector; no structured analyst rating data (count or mean score) was available in the Stage-1 fundamental section.
Strengths
- +FCF was positive in 4 of the available persistence years, suggesting some degree of operating cash generation has been sustained despite reported earnings erosion.
- +Debt trend is classified as falling, indicating the company has been reducing its debt stock in recent periods relative to prior years.
- +Price is currently above the 50-DMA (Rs 27.12 vs Rs 25.48), and RSI of 47.1 sits in neutral territory — no extreme momentum reading on either side.
- +5-year revenue growth, while low at 1.1%, is at least positive, indicating the top line has not contracted in aggregate over the measurement period.
Weaknesses
- −D/E of 92.2 is extreme for a non-bank power sector company; NTPC and POWERGRID, with substantially larger operational scale, carry materially lower leverage ratios.
- −5-year earnings growth of -38.1% alongside revenue growth of only 1.1% points to severe margin compression and persistent earnings erosion over the measurement period.
- −Price is 64.5% below the 52-week high and 24.9% below the 200-DMA, with a 37.7% decline over 12 months — a sustained drawdown not reversed by short-term price action.
- −The April 2026 arrest of the former CFO in connection with a Rs 136 crore bank guarantee fraud case introduces active governance and legal risk that extends beyond financial metrics.
Open questions
- ?Does the falling debt trend reflect genuine deleveraging from operations, or proceeds from asset sales and one-time items that are unlikely to recur?
- ?How has the composition of FCF-positive years changed relative to earnings — specifically, what drove the gap between cash generation and reported earnings in each of the 4 FCF-positive years?
- ?What are the potential legal and financial consequences of the ongoing fraud proceedings for the company, its lenders, and any outstanding guarantee obligations?
- ?Is the PE of 39.4x — above larger, higher-quality peers such as NTPC (21.9x) and POWERGRID (19.6x) — supported by a credible earnings recovery path, or does it reflect a compressed earnings base?
Peer comparison: Power
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| RPOWER | Reliance Power Ltd.You're viewing | 39.4 | — | 29 |
| Industry avg | across 5 peers | 57.4 | +13.7% | 32 |
| ADANIPOWER | Adani Power Ltd. | 33.4 | +20.9% | 41 |
| POWERGRID | Power Grid Corporation of India Ltd. | 19.6 | +16.5% | 39 |
| NTPC | NTPC Ltd. | 21.9 | — | 31 |
| ADANIGREEN | Adani Green Energy Ltd. | 142.3 | +7.6% | 28 |
| ADANIENSOL | Adani Energy Solutions Ltd. | 69.7 | +9.7% | 23 |
Technical state
Current price
₹27.12
SMA 50
₹25.48
SMA 200
₹36.11
RSI (14)
47.1 (neutral)
From 52w high
-64.5%
1Y return
-37.7%
3M return
-2.7%
50-DMA
Above
200-DMA
Below
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity of 92.2 is extreme for a non-bank power sector company. Peers NTPC and POWERGRID carry a fraction of this leverage. This level of financial obligation is compounded by 5-year earnings growth of -38.1%, meaning the company is both heavily indebted and shrinking its earnings base.
- highFormer Reliance Power CFO and two others were arrested in April 2026 in connection with a reported Rs 136 crore bank guarantee fraud case (Business Today, 22 Apr 2026). Active criminal and regulatory proceedings represent a material governance risk independent of operational fundamentals.
- highPrice of Rs 27.12 is 24.9% below the 200-DMA of Rs 36.11 and 64.5% below the 52-week high. The stock is down 37.7% over 12 months, reflecting a sustained multi-month downtrend well beyond short-term noise.
- mediumProfit margin of 3.67% and ROE above 15% in only 1 of the available persistence years. Quality score of 29 ranks 4th of 6 among Power sector peers, below POWERGRID (39) and ADANIPOWER (41), despite RPOWER carrying a PE of 39.4x — above NTPC (21.9x) and POWERGRID (19.6x).
- medium5-year revenue growth of 1.1% versus peers in a sector where capacity addition is the primary value driver. Quality score and earnings trajectory suggest RPOWER has not participated in the broader power-sector expansion visible in larger peers.
Cross-section contradictions
- FCF was positive in 4 of the available persistence years despite D/E of 92.2 and 5-year earnings growth of -38.1%. This divergence between cash generation and reported earnings warrants scrutiny of working capital movements and asset disposals that may be sustaining FCF metrics.
- News sentiment is labelled positive (3 positive, 4 neutral, 1 negative out of 8 articles), yet the single most material headline — the CFO arrest in a fraud case — is the negative item. The aggregate label obscures that the one negative headline carries governance significance disproportionate to its count weight.
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 17 May 2026 · rotates through NIFTY 500 every ~5 days