Torrent Power’s share price gained more than 21% in Wednesday’s trading session, hitting a new high of ₹1,004 per share in National Stock Exchange (NSE) amid heavy volumes. The stock traded at ₹988 per share at 9:50 am IST on November 29, up 15% from the opening price of ₹858 each.
An accumulation of 3.4 million shares were traded on both NSE and BSE, as against the one-week average volume of 600,000. The stock has experienced a 22% increase over the past five sessions.
The indicator is up 93% this year, significantly outperforming the benchmark Nifty, which has only seen a modest 10% increase over the same period.
Analysts noted that Torrent Power’s robust license-based power distribution operations, coupled with a notable reduction in transmission and distribution (T&D) losses, signal positive prospects for the company. They emphasize that Torrent Power faces both challenges and opportunities due to the growing demand for energy.
Analysts stress the significance of the government’s capital investment emphasis on addressing demand growth, noting that Torrent Power is well positioned to take advantage of this shift. The company’s robust thermal generation business, recent achievements in securing commercial power deals, and stable financial position position it for growth in the energy sector.
Torrent Power was not the only performer in the electricity sector on November 29; Tata Power Company also saw a 1% increase. This increase followed the award of a 200 MW company and dispatchable renewable energy (FDRE) project with SJVN to Tata Power Renewable Energy Limited (TPREL), a subsidiary of Tata Power, a day earlier.
The project includes a hybrid configuration, utilizing solar, wind, and battery storage with appropriate capacities, as stated by the company.
Adani Power experienced a nearly 1.5% rise in its shares after announcing plans to co-fire up to 20% green ammonia in the boiler of a conventional coal-fired 330MW unit at its Mundra power plant.
Adani Power has partnered with IHI Corporation and Kowa Corporation to begin the decarbonisation of its thermal power plants, starting with the 4,620 MW Mundra power plant.
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Updated: 29 Nov 2023, 15:59 IST
(tagsTranslate)Torrent Power