Stock have seen good correction post poor Q1 results. Power companies are still suffering from power theft. In the recent correction, Axis seems to have increased some more position in this stock. Also the stock has shown increased delivery % in this month.
Stock has good support at 170 level, however seeing the market softness I believe some more softness in the price can be seen if market shows some signs of weakness. Will eagerly await for 150 level to add more.
Disclosure - Current exposure is 0.75% of my portfolio.
Hi Hitesh - Could this be the trigger which torrent needs, its an article from Oct that they are inviting tenders, the gas supply will start from April 2017.
Hi Dhwanil Sir - if we are to compare JSW Energy with Torrent Power, would that make sense? In terms of how integrated their ops are / presence across state / underlying energy needs behind installed capacity etc
Hi, so after reading through their latest Annual Report, this is what Ive come up with.
In their MDA, management states that theyve come to a settlement with PLNG for storage and regasification for 7 cargoes at their terminal at Dahej. Now, would this mean that the DGEN and UNSOGEN Plants start receiving gas again?
Ambit in their report state that fall in intrnational gas prices have led to SUGEN plant generating 75% PLF for Q1FY18. Now Torrent could use their storage at petronet’s terminal to import gas from international market and use it in their UNSOGEN Plant as low gas prices means that the GERC would then be willing to sign a PPA for the 382Mw UNSOGEN Plant.
But on the flipside, Wind tariffs have now moved on from FIT tariffs to competitive bidding. till now, torrent was recieving 4.65/unit for its electricity generated. with tariffs now being determined throgh competitive bidding, this would mean lower realizations and hence lower RoE for their renewable projects. this is a risk. the last round of bidding led to price discovery of 3.46/Unit.
This thread has gone dry since almost 2 years. Meanwhile the stock has hit a 5 year high and heading towards life highs. Time to add? I was also searching for a thread on Adani Power but found none. Are power stocks the new growth story?
