Nomura has initiated coverage on Tata Power (TPWR IN) with a “Buy” rating and set a target price of INR 560, indicating a potential 27% upside from the current market price (CMP) of ₹440.55.
The brokerage expects Tata Power to deliver a 16% compound annual growth rate (CAGR) in its EBITDA from FY24 to FY27. This growth will be driven by:
- A twofold increase in its renewable energy (RE) capacity.
- Successful execution of an INR 157 billion solar EPC orderbook.
- Improved profitability in its Odisha operations.
Nomura’s outlook reflects confidence in Tata Power’s renewable energy transition, which is expected to be a key driver of the company’s future growth.
Disclaimer: Stock investments are subject to market risks. Please consult your financial advisor before making any investment decisions.
TOPICS:
Tata Power