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CESC Ltd (IN:CESC)
:CESC
India Market
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CESC Ltd (CESC) AI Stock Analysis

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IN:CESC

CESC Ltd

(CESC)

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Neutral 53 (OpenAI - 5.2)
Rating:53Neutral
Price Target:
₹167.00
▲(2.39% Upside)
Action:Reiterated
Date:08/10/26
The score is held back primarily by deteriorating cash flow (negative free cash flow and weak cash conversion) and a rising leverage trend alongside margin compression. Valuation provides some offset through a moderate P/E and a solid dividend yield, while technical indicators remain neutral-to-weak with negative momentum and price below key moving averages.
Positive Factors
Regulated distribution franchise
CESC operates a licensed, regulated distribution franchise in Kolkata, giving it structural access to captive demand and tariff-setting frameworks. This regulatory moat supports predictable volumes and revenues over multi-year horizons, reducing exposure to pure merchant-market volatility.
Negative Factors
Rising leverage
Material increase in leverage reduces financial flexibility and raises refinancing and interest-coverage risk for a capital-intensive utility. Higher debt burdens constrain the firm's ability to fund capex or absorb tariff lag, increasing vulnerability to demand shocks or regulatory delays over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Regulated distribution franchise
CESC operates a licensed, regulated distribution franchise in Kolkata, giving it structural access to captive demand and tariff-setting frameworks. This regulatory moat supports predictable volumes and revenues over multi-year horizons, reducing exposure to pure merchant-market volatility.
Read all positive factors

CESC Ltd (CESC) vs. iShares MSCI India ETF (INDA)

CESC Ltd Business Overview & Revenue Model

Company Description
CESC Limited, an integrated electrical utility company, engages in the generation and distribution of electricity in India. It owns and operates two thermal power plants, including Budge Budge generating station with a generating capacity of 750 m...
How the Company Makes Money
CESC primarily makes money by selling electricity to customers within its licensed distribution area. Its core revenue model is utility-based: it procures and/or generates electrical energy, delivers it through its distribution infrastructure, and...

CESC Ltd Financial Statement Overview

Summary
Mixed fundamentals with weakening recent quality: steady revenue growth and relatively stable net margin, but operating margins have compressed materially, leverage has risen (higher debt-to-equity), and free cash flow deteriorated sharply to negative with weak cash conversion in 2026.
Income Statement
63
Positive
Balance Sheet
52
Neutral
Cash Flow
41
Neutral
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue188.53B185.70B170.01B152.93B142.46B125.44B
Gross Profit44.92B44.04B53.94B47.58B45.52B51.72B
EBITDA36.30B34.47B44.25B42.28B38.10B39.79B
Net Income15.51B15.42B13.69B13.76B13.43B13.58B
Balance Sheet
Total Assets0.00464.70B409.81B371.68B377.12B374.93B
Cash, Cash Equivalents and Short-Term Investments56.71B56.71B40.42B25.90B25.75B32.30B
Total Debt0.00216.71B179.78B145.44B142.63B149.61B
Total Liabilities-131.89B332.81B283.79B251.82B263.23B266.63B
Stockholders Equity131.89B125.30B120.09B114.46B109.10B103.96B
Cash Flow
Free Cash Flow4.81B-12.32B7.19B15.80B12.83B17.21B
Operating Cash Flow15.85B26.84B25.82B23.51B19.78B24.99B
Investing Cash Flow-7.79B-34.17B-30.13B-5.64B-5.45B-5.75B
Financing Cash Flow-360.00M27.60B13.37B-16.42B-24.57B-6.11B

CESC Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price163.10
Price Trends
50DMA
159.20
Negative
100DMA
164.76
Negative
200DMA
159.97
Negative
Market Momentum
MACD
-1.50
Positive
RSI
36.38
Neutral
STOCH
3.97
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CESC, the sentiment is Negative. The current price of 163.1 is above the 20-day moving average (MA) of 157.75, above the 50-day MA of 159.20, and above the 200-day MA of 159.97, indicating a bearish trend. The MACD of -1.50 indicates Positive momentum. The RSI at 36.38 is Neutral, neither overbought nor oversold. The STOCH value of 3.97 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:CESC.

CESC Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
₹3.25T11.562.55%2.36%15.88%
62
Neutral
₹24.93B0.78-6.41%-40.45%
58
Neutral
₹6.92B61.800.70%10.10%64.96%
57
Neutral
₹31.29B6.192.60%23.78%147.63%
56
Neutral
₹376.19B11.411.74%16.85%12.22%
55
Neutral
$6.65B3.83-15.92%6.20%10.91%7.18%
53
Neutral
₹203.34B13.003.68%8.73%12.55%
* General Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IN:CESC
CESC Ltd
152.20
8.29
5.76%
IN:DPSCLTD
India Power Corp. Ltd.
7.36
-4.70
-38.97%
IN:GIPCL
Gujarat Industries Power Co. Ltd.
200.45
22.89
12.89%
IN:NLCINDIA
NLC India Limited
268.75
45.31
20.28%
IN:NTPC
NTPC Limited
328.70
6.26
1.94%
IN:RELINFRA
Reliance Infrastructure Limited
61.23
-212.67
-77.65%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 10, 2026