Tata Power’s stock surged over 3% after HSBC upgraded its rating from ‘Reduce’ to ‘Hold,’ raising the target price from ₹300 to ₹345. The upgrade comes as Tata Power demonstrates improved execution despite macroeconomic challenges. As of 12:31 PM, the shares were trading 2.88% higher at Rs 357.65.
A key driver of this positive revision is the company’s progress in module and cell manufacturing, along with a turnaround in its EPC business. However, the pace of renewable energy project commissioning remains an area for improvement.
The stock has faced headwinds due to sluggish power demand, delays in power purchase agreements (PPAs), slow discom privatization, and project execution challenges. Despite these hurdles, HSBC has raised Tata Power’s earnings per share (EPS) estimates for FY25-26 by 9-13%, reflecting stronger-than-expected performance.
While these adjustments indicate a positive trajectory, HSBC does not foresee any major mid-term catalysts for the stock.
Tata Power shares opened at ₹348.00, reaching a high of ₹361.00 and a low of ₹344.55. The stock remains volatile, with a 52-week high of ₹494.85 and a low of ₹326.35.
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