Torrent Power Ltd.
NSE: TORNTPOWERTorrent Power Ltd.: A 30-second snapshot
Torrent Power (₹1,466) is a vertically integrated private power utility in the NSE Power sector, trading 4.2% below its 50-DMA but 7.3% above its 200-DMA, with a 52-week drawdown of 19.6%. The company reported FY26 revenue of ₹28,966 crore with Q4 adjusted PBT up 16% YoY, declared a 200% dividend, and disclosed a major acquisition alongside an expanded CapEx pipeline, yet 5-year earnings growth stands at -70% against a D/E of 70.9.
P/E
30.6
Forward P/E
27.1
ROE
+13.0%
Debt / Equity
70.89
Profit Margin
+8.3%
Div. Yield
+1.4%
5Y ROE > 15%
3/5
5Y FCF > 0
4/5
Quality
42/100
News
7 headlines · 5 positive · 0 negative
TORNTPOWER: Q4 FY26 adjusted PBT up 16% YoY; CapEx and project pipeline set for significant expansion - TradingView
TradingView
TORNTPOWER: Strong FY 2025-26 results, major acquisition, and robust capital plans drive future growth - TradingView
TradingView
Torrent Power reports ₹28,966 crore revenue for FY26; declares 200% dividend - Business Upturn
Business Upturn
Torrent Power stock (INE095N01031): Board meeting today to approve Q4 results and dividend - AD HOC NEWS
AD HOC NEWS
TORNTPOWER.NS Earnings: EPS Matches, Revenue Misses Forecast - Meyka
Meyka
Recent context
- ·Q4 FY26 results (May 2026): EPS matched forecasts while revenue missed; adjusted PBT rose 16% YoY; the company declared a 200% dividend and announced a major acquisition alongside a significantly expanded CapEx pipeline.
- ·FY26 full-year revenue was reported at ₹28,966 crore; the acquisition and capital plans were cited as drivers of forward growth in multiple news items from 12–14 May 2026, with 5 of 7 recent headlines carrying positive sentiment and 0 negative.
- ·Mean analyst rating of 2.9 across 10 analysts (1–5 scale, lower = more constructive); nearest technical support levels are ₹1,333, ₹1,291, and ₹1,285, with resistance at ₹1,524, ₹1,605, and ₹1,824.
Strengths
- +FCF positive in 4 of 5 years with a consistency score of 86, indicating durable operational cash generation despite capital-intensive infrastructure deployment.
- +Q4 FY26 adjusted PBT grew 16% YoY and the company declared a 200% dividend for FY26, pointing to a recent earnings inflection relative to the multi-year trend.
- +Forward PE of 27.1 is lower than the trailing PE of 30.6, implying analysts expect earnings to expand in the next 12 months; this forward discount is notable given the elevated leverage.
- +At a PE of 30.6, TORNTPOWER is priced below sector peers Adani Energy Solutions (69.7x) and Adani Green Energy (142.3x), while carrying a higher ROE of 13.02% than both (9.66% and 7.58% respectively).
Weaknesses
- −5-year earnings growth of -70% reflects a sustained multi-year contraction in profitability; Q4 recovery is recent and not yet reflected in the 5-year aggregate.
- −Debt-to-equity of 70.9 is exceptionally high for a non-financial utility; with flat revenue growth (-0.8% over 5 years), the debt load carries elevated refinancing and interest-rate sensitivity.
- −ROE of 13.02% exceeded 15% in only 3 of the last 5 years; quality score ranks last (6 of 6) among the peer set, trailing POWERGRID (39), ADANIPOWER (41), NTPC (31), ADANIGREEN (28), and ADANIENSOL (23).
- −Price is 19.6% below the 52-week high, 4.2% below the 50-DMA, and RSI at 35.4 is approaching oversold levels — the stock has underperformed relative to its own recent range despite positive FY26 results.
Open questions
- ?Does the 16% YoY Q4 PBT recovery represent a durable earnings inflection, or is it a one-quarter bounce within a longer structural compression that has produced -70% earnings growth over 5 years?
- ?Given D/E of 70.9 and a major new acquisition with expanded CapEx, how does the company plan to service and refinance its debt if interest rates remain elevated or revenue growth stays near flat?
- ?The consistency score of 86 and 4-of-5 FCF-positive years suggest strong cash generation — how large is the gap between reported accrual earnings and operating cash flow, and what is driving the divergence?
- ?With a quality score ranking last among 6 power sector peers despite a lower PE than several peers, what structural factors (regulatory tariff constraints, fuel cost pass-through mechanisms, capacity utilisation) could change the quality ranking over the next 2–3 years?
Peer comparison: Power
Ranks 6 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| TORNTPOWER | Torrent Power Ltd.You're viewing | 30.6 | +13.0% | 4 |
| 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
₹1,466.00
SMA 50
₹1,530.31
SMA 200
₹1,365.41
RSI (14)
35.4 (neutral)
From 52w high
-19.6%
1Y return
+4.2%
3M return
+3.7%
50-DMA
Below
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity of 70.9 is extremely elevated for a non-financial power utility; with revenue growth at -0.8% over 5 years and earnings growth at -70% over 5 years, the combination of high leverage and declining earnings trajectory creates material refinancing and solvency sensitivity.
- high5-year earnings growth of -70% is a steep multi-year decline; even with Q4 FY26 PBT up 16% YoY, the 5-year trend indicates a structural compression in profitability that has not yet reversed at the aggregate level.
- mediumROE of 13.02% sits below the 15% threshold in 2 of the last 5 years (roeYearsAbove15 = 3 of 5); quality score of 4 out of a possible higher band places TORNTPOWER last (rank 6 of 6) among sector peers in the composite quality ranking.
- mediumPrice of ₹1,466 is 4.2% below the 50-DMA of ₹1,530 and is down 19.6% from the 52-week high; RSI at 35.4 is approaching oversold territory, signalling persistent near-term selling pressure.
- lowPeer 1-year price-change data is null for all 5 peers, making relative price-performance comparison unavailable for this run.
Cross-section contradictions
- News sentiment is positive (5 positive, 0 negative out of 7 articles) and Q4 FY26 adjusted PBT rose 16% YoY with a 200% dividend declared, yet the stock is 19.6% below its 52-week high and trading below the 50-DMA — positive near-term fundamentals have not translated into price recovery over the past quarter.
- FCF-positive in 4 of 5 years with a consistency score of 86 and a 200% dividend declaration, yet 5-year earnings growth is -70% and revenue growth is -0.8% — operational cash generation appears resilient while reported earnings have contracted sharply, suggesting a divergence between accrual earnings and cash flow that warrants scrutiny.
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