Powergrid Share Price Target: Stock That Zoomed On Sensex After Donald Trump Announced Tariffs

Powergrid Share Price Target: Powergrid shares rose 4.34 per cent on Thursday, when the stock market was in a spiral following US President Donald Trump's announcement of 27% tariffs on India.

The company announced that it has been selected as the successful bidder under Tariff-Based Competitive Bidding to create an Inter-State Transmission System for the project called Transmission System for Power Evacuation from Mahan Energen Limited Generating Station in Madhya Pradesh on a Build, Own, Operate, and Transfer (BOOT) basis.

According to Brokerage firm Sharekhan, Power Grid has demonstrated strong performance by securing 11 TBCB projects following its Q3 FY25 results, maintaining an impressive win ratio exceeding 50%.

The company is gearing up for a substantial capital expenditure of approximately Rs. 3.3 lakh crore by FY32, driven by robust renewable energy capacity additions in India. For FY25, Power Grid has guided a dividend of Rs. 9 per share, slightly lower than the FY24 dividend of Rs. 11.25 per share, reflecting the company’s focus on its expanded capex plans.

Powergrid Share Price Target 2025

The Brokerage has maintained a "Buy" rating and a price target (PT) of Rs. 350. This target is supported by the company’s robust project pipeline, valued at Rs 1,43,749 crore as of Q3 FY25, along with the potential to secure an additional Rs. 1.9 lakh crore worth of projects by FY32. With a total projected capital expenditure of Rs. 3.3 lakh crore, the company offers solid earnings visibility.

Power Grid is expected to deliver a 6% compound annual growth rate (CAGR) in profit after tax (PAT) over FY2024-FY2027E, complemented by a healthy return on equity (RoE) of 18% and a dividend yield of approximately 3%. At the current market price (CMP), the stock is trading at 2.8x and 2.6x its FY26 and FY27 price-to-book value (P/BV), respectively.

Also Read: Donald Trump’s Tariffs: Booster Pill For Pharma Stocks? Five Stocks And Targets

Power Grid Share Price History

Power Grid Corporation of India Limited is part of the BSE Sensex.  According to BSE analytics (as of April 3), shares of Power Grid Corporation of India Ltd increased by 1.44 per cent in the last week.  However, shares of the state-run company have fallen 6.72 per cent in the last year.

In the last two years, three years, five years, and ten years, the PSU company's shares have increased by 77.59 per cent, 77.32 per cent, 240.14 per cent, and 263.40 per cent.

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