Torrent Power Limited (TORNTPOWER) AI Stock Analysis

• Market Cap: ₹660.84B
• Dividend Yield: 1.43%
• Average Volume (3M): 77.48K
• Price to Earnings (P/E): 23.7
• Beta (1Y): 1.25
• Revenue Growth: -2.95%
• EPS Growth: 16.18%
• Country: IN
• Employees: 8,145
• Sector: Utilities
• Sector Strength: 65
• Industry: Independent Power Producers
• EPS (TTM): 14.85
• Shares Outstanding: 503,903,530
• 10 Day Avg. Volume: 54,297
• 30 Day Avg. Volume: 77,484
• PEG Ratio: 0.40
• Price to Book (P/B): 4.15
• Price to Sales (P/S): 2.51
• P/FCF Ratio: 154.03
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: ₹1,425.00 ▲(7.50% Upside)

Torrent Power Limited's overall stock score is driven primarily by its strong financial performance, characterized by consistent revenue and profit growth, efficient cost management, and a balanced capital structure. Technical analysis indicates a potential bearish trend, which slightly dampens the score. The valuation is fair, with a moderate P/E ratio and a low dividend yield. The absence of earnings call and corporate events data means these factors do not influence the score.

Torrent Power Limited Business Overview & Revenue Model

Company Description

Torrent Power Limited (TORNTPOWER) is a leading integrated power utility in India, engaged in the generation, transmission, and distribution of electricity. The company operates across various segments, including conventional and renewable energy generation, catering to a diverse customer base that includes industrial, commercial, and residential users. With a commitment to sustainable practices, Torrent Power focuses on enhancing operational efficiency and delivering reliable power supply through its advanced technology and infrastructure.

How the Company Makes Money

Torrent Power generates revenue primarily through the sale of electricity to consumers in its licensed distribution areas and from power generation. The company operates power plants that contribute to its generation capacity, and it sells the electricity produced either directly to consumers or through power purchase agreements (PPAs) with utilities and states. Key revenue streams include retail electricity sales, which are influenced by the tariff structures set by regulatory authorities, and long-term contracts for power supply. Additionally, Torrent Power benefits from operational efficiencies that help reduce costs, and it engages in renewable energy projects to diversify its portfolio and tap into the growing demand for green energy. Partnerships with state governments and regulatory bodies also play a significant role in securing stable revenue sources.

Torrent Power Limited Financial Statement Overview

Summary

Torrent Power Limited exhibits a strong financial position with consistent revenue and profit growth, efficient cost management, and a balanced capital structure. The company's operational strength is reflected in its robust EBIT and EBITDA margins, alongside a commendable ROE. While the cash flow metrics highlight solid operating cash flow generation, there is potential for enhancing free cash flow conversion.

Income Statement

Torrent Power Limited has shown strong revenue growth of 7.29% from the previous year, with a consistent increase in Total Revenue over the years. The Gross Profit Margin stands at 18.84%, indicating efficient cost management. Additionally, the Net Profit Margin improved to 10.24%, showcasing enhanced profitability. The EBIT and EBITDA margins are robust at 13.06% and 19.87%, respectively, signifying healthy operational performance. Overall, the company exhibits solid growth and profitability metrics.

Balance Sheet

The company's Debt-to-Equity Ratio is 0.50, reflecting a balanced capital structure with manageable leverage. Return on Equity (ROE) is at an impressive 16.96%, indicating strong profitability relative to shareholder investment. The Equity Ratio is 48.16%, suggesting a stable financial position with substantial equity backing. Although debt levels are significant, they are well-supported by equity, ensuring financial stability.

Cash Flow

Torrent Power Limited's Free Cash Flow experienced a decrease from the previous year, yet the Operating Cash Flow to Net Income Ratio stands at 1.61, reflecting strong cash generation capabilities relative to earnings. The Free Cash Flow to Net Income Ratio is 0.16, suggesting room for improvement in converting net income into free cash. Overall, the company's cash flow metrics demonstrate robust operating cash flow generation, albeit with some fluctuations in free cash flow.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	280.38B	291.65B	271.83B	256.94B	142.58B	118.94B
Gross Profit	73.58B	76.80B	39.01B	54.86B	42.41B	42.43B
EBITDA	54.48B	57.95B	47.84B	51.29B	25.26B	36.04B
Net Income	27.48B	29.89B	18.33B	21.17B	4.54B	12.91B
Balance Sheet
Total Assets	0.00	365.73B	333.92B	299.10B	250.23B	235.39B
Cash, Cash Equivalents and Short-Term Investments	11.87B	12.53B	12.91B	10.89B	6.82B	5.34B
Total Debt	0.00	88.40B	116.32B	105.41B	91.43B	78.17B
Total Liabilities	-182.16B	183.58B	207.95B	184.24B	150.44B	133.18B
Stockholders Equity	182.16B	176.15B	120.62B	110.10B	99.43B	101.84B
Cash Flow
Free Cash Flow	0.00	4.75B	6.02B	6.40B	13.58B	16.92B
Operating Cash Flow	0.00	48.05B	42.58B	34.56B	31.67B	29.88B
Investing Cash Flow	0.00	-36.42B	-35.44B	-32.16B	-24.83B	-9.10B
Financing Cash Flow	0.00	-12.16B	-5.51B	-3.41B	-5.02B	-20.61B

Torrent Power Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1325.60
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:TORNTPOWER, the sentiment is Neutral. The current price of 1325.6 is above the 20-day moving average (MA) of 1266.04, above the 50-day MA of 1275.13, and below the 200-day MA of 1373.98, indicating a neutral trend. The MACD of 15.76 indicates Negative momentum. The RSI at 61.76 is Neutral, neither overbought nor oversold. The STOCH value of 81.73 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:TORNTPOWER.

Torrent Power Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
POWERGRID	74 Outperform	₹2.68T	17.46	―	3.12%	0.40%	-1.73%
TORNTPOWER	72 Outperform	₹660.84B	23.71	―	1.43%	-2.95%	16.18%
CESC	67 Neutral	₹237.48B	15.57	―	2.43%	10.58%	2.69%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
NHPC	65 Neutral	₹869.90B	28.50	―	2.25%	13.90%	-15.41%
TATAPOWER	65 Neutral	₹1.28T	31.30	―	0.57%	4.23%	9.91%
SJVN	64 Neutral	₹349.59B	50.66	―	1.64%	12.40%	-30.77%

Torrent Power Limited Corporate Events

Torrent Power Schedules Investor Meeting with Edelweiss AMC

Torrent Power Limited announced a scheduled virtual meeting with analysts and investors, set for September 29, 2025, at 3:30 PM IST, with Edelweiss AMC. This meeting, part of the company’s regulatory obligations, is expected to provide insights into its operations and future strategies, potentially impacting stakeholder perceptions and market positioning.

Torrent Power Secures 1,600 MW Thermal Power Project in Madhya Pradesh

Torrent Power Limited has received a Letter of Award from MP Power Management Company Limited for the development of a 1,600 MW coal-based thermal power project in Madhya Pradesh. This project, which will use Ultra Supercritical technology, is expected to generate significant annual revenue and strengthen Torrent Power’s position in the domestic energy market. The contract spans 25 years, with a project cost of approximately Rs. 22,000 crore, and is part of the SHAKTI policy initiative, ensuring a steady supply of coal for the power station.

Torrent Power Inaugurates Largest Green Hydrogen Plant in Uttar Pradesh

Torrent Power Limited has announced the inauguration of its Green Hydrogen Plant in Gorakhpur, Uttar Pradesh, by the state’s Chief Minister, Yogi Adityanath. This plant, developed in collaboration with Torrent Gas, has an annual production capacity of 72 TPA and represents the largest Green Hydrogen and Natural Gas blending project in India’s City Gas Distribution sector. The green hydrogen produced will be blended with natural gas and supplied to households, CNG stations, and industries in the region, marking a significant step in reducing carbon emissions and promoting cleaner energy solutions.