NTPC shares rise 3% after Q2 results. Why Jefferies and Nuvama remain bullish
NTPC shares rose after the state-owned power major reported a 14% YoY rise in standalone net profit to Rs 5,320 crore for Q2 FY27. Revenue grew 17% to Rs 45,752 crore, while EBITDA increased 9% to Rs 10,891 crore. The company also announced an interim dividend of Rs 3 per share, with November 6 set as the record date. Brokerages maintained their Buy ratings on the stock.
Shares of NTPC jumped over 3% to Rs 328 on the BSE in Monday’s early session after the state-owned power utility major reported a 14% year-on-year (YoY) increase in standalone net profit to Rs 5,320 crore for the July-September quarter of the ongoing financial year 2027, with brokerages maintaining their ‘Buy’ calls for the stock.The company’s revenue from operations meanwhile increased nearly 17% YoY to Rs 45,752 crore during the second quarter of FY27, from Rs 39,165 crore in the year-ago period.
Its EBITDA rose around 9% YoY to Rs 10,891 crore during the quarter under review.Along with the Q2 results, NTPC announced a first interim dividend of Rs 3 per share. The company has fixed November 6 as the record date to determine the eligibility of shareholders set to receive the dividend. NTPC Group's gross fixed assets increased to Rs 4,85,444 crore as of September 30, 2026, from Rs 4,37,142 crore a year earlier.Live EventsJefferies on NTPC share priceJefferies maintained its ‘Buy’ call on the shares of NTPC with a target price of Rs 425 apiece, implying 34% upside potential.
The international brokerage noted that the company’s September quarter profit was 16% above its estimates, aided by lower disincentives, prompting it to raise the company’s FY27 EPS estimate by 1%.NTPC’s management reduced FY27E RE addition guidance to 5 GW from 7-8 GW due to transmission delays, Jefferies noted, adding that the company added 1.3 GW RE capacity in the first half of FY27 and another 3.5 GW is expected in the ongoing second half of the financial year.
The international brokerage lowered FY27 overall addition estimate to 6 GW from 8.2 GW which is reflected in a 1% tweak to its FY28-29 earnings estimates.Nuvama on NTPC share priceNuvama Institutional Equities maintained its ‘Buy’ rating on the shares of NTPC with a target price of Rs 400 apiece. The brokerage noted that strong power demand resulted in healthy PLFs YoY, leading to 11% YoY rise in SA generation.Movement in regulatory deferral accounts rose 23% YoY.
Q2 core RoE is 19.5% (+515 bps YoY) as regulated equity was down 1.6% YoY, Nuvama said, adding that efficiency gains also drove Q1 core RoE to 19.9% (+325bp YoY).NTPC share priceNTPC shares have jumped more than 5% in a week but overall recorded marginal gains in a month. The shares of the company are however down nearly 6% in 2026 so far and more than 6% in the past one year.In the longer term, NTPC shares have delivered positive returns of more than 34% in three years and 131% in five years.
The company has a market capitalisation of nearly Rs 1.5 lakh crore. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution.
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