September 20, 2025
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NHPC stock price can be a game-changer. With its roots deep in India’s hydroelectric power sector, NHPC has become a household name among energy investors. But is the stock truly worth your money today? Let’s break it down.
Understanding NHPC: A Quick Overview
NHPC Limited, short for National Hydroelectric Power Corporation, is a government-owned entity that specializes in hydroelectric power generation. Established in 1975, the company has grown to become one of India’s largest hydropower producers.
- Installed Capacity: Over 7,200 MW as of FY25
- Market Cap: ₹88,989 Crore (as per Groww)
- Promoter Holding: 67.4%
- Dividend Yield: Around 2.16%
- P/E Ratio: 29.14 (TTM)
- 52-Week Range: ₹71.00 – ₹96.98
Despite being a public sector undertaking, NHPC has shown resilience and adaptability in a competitive energy market. Its consistent dividend payouts and stable financials make it a favorite among conservative investors.
NHPC Stock Price Trends: What the Numbers Say
Historical Performance
Over the past five years, NHPC’s stock price has seen moderate growth. According to Screener.in, the stock has delivered a CAGR of 33% over five years, which is impressive considering its sector.
However, the company’s sales growth has been underwhelming—just 0.73% over the past five years. This slow pace has raised eyebrows among analysts, especially when compared to peers like NTPC and Tata Power.
Recent Movements
As of September 2025:
- Current Price: ₹87.21 (Groww)
- Day’s High/Low: ₹88.43 / ₹86.76
- Volume: Over 70 lakh shares traded
- 52-Week High: ₹96.98
- 52-Week Low: ₹71.00
The stock recently dipped by 1.58%, reflecting broader market volatility. But such dips are not uncommon in mid-cap energy stocks.
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Factors Influencing NHPC Stock Price
1. Government Policies
Being a PSU, NHPC is heavily influenced by government regulations. Recent mandates requiring India-made solar cells in renewable bids have impacted its operational costs and investor sentiment.
2. Renewable Expansion
NHPC is diversifying into solar and wind energy. The commissioning of the 300 MW Karnisar Solar Power Project is a step in that direction. This expansion could boost future earnings and stock valuation.
3. Financial Health
Let’s look at some key financial metrics:
- Net Profit (FY25): ₹3,441 Cr
- Revenue (FY25): ₹10,899 Cr
- ROE: 7.53%
- Debt-to-Equity Ratio: 1.00
While the company maintains a healthy balance sheet, its low ROE and high debtor days (169) are concerns. These factors can drag down the NHPC stock price in the long run.
Should You Invest in NHPC?
Pros
- Stable dividend payouts (54.8%)
- Government backing ensures safety
- Expansion into renewables
- Reasonable valuations compared to peers
Cons
- Low sales growth
- High debtor days
- Limited upside in short term
Real-Life Example
Ravi, a 35-year-old investor from Himachal Pradesh, added NHPC to his portfolio in 2022. He was attracted by the dividend yield and government backing. While the stock didn’t skyrocket, it provided him with steady returns and peace of mind.
How to Analyze NHPC Stock Price Like a Pro
Step 1: Check Technical Indicators
Use platforms like Moneycontrol or NSE India to view moving averages, RSI, and MACD. NHPC often trades close to its 200 DMA, indicating long-term stability.
Step 2: Compare with Peers
Here’s a quick comparison:
| Company | Price (₹) | P/E Ratio | ROE (%) | Market Cap (Cr) |
|---|---|---|---|---|
| NHPC | 87.21 | 29.14 | 7.53 | 88,989 |
| NTPC | 334.30 | 13.53 | 12.72 | 3,24,159 |
| Tata Power | 378.30 | 29.76 | 11.07 | 1,20,879 |
NHPC’s valuation is on the higher side compared to NTPC, but its dividend yield and government support balance the equation.
Step 3: Watch for Corporate Actions
NHPC has a history of regular dividends and board meetings. Keep an eye on announcements like:
- Fundraising plans
- Solar project updates
- Changes in management
These can directly impact the NHPC stock price.
Tips for Long-Term Investors
- Diversify: Don’t put all your money in NHPC. Pair it with other energy stocks.
- Reinvest Dividends: Use the payouts to buy more shares.
- Monitor Debt Levels: Rising debt can erode profits.
- Stay Updated: Follow NHPC on platforms like Angel One and Groww.
Conclusion: Is NHPC Stock Price Worth Your Attention?
The NHPC stock price reflects a company that’s stable, government-backed, and slowly evolving. While it may not offer explosive growth, it’s a solid pick for long-term investors seeking safety and steady returns.
If you’re looking for a stock that won’t give you sleepless nights, NHPC might just be the one. But remember, always do your own research and consult a financial advisor before investing.
👉 Ready to explore NHPC? Start tracking the stock today and make informed decisions!
FAQs
1. Is NHPC a good stock for beginners? Yes, NHPC is beginner-friendly due to its stable nature and government backing. It’s ideal for those who prefer low-risk investments with steady dividends.
2. What is the future outlook for NHPC stock price? The future looks cautiously optimistic. With expansion into renewables and consistent dividends, NHPC could see moderate growth. However, low ROE and sales growth remain concerns.
3. How often does NHPC pay dividends? NHPC typically pays dividends twice a year—an interim and a final dividend. The yield is around 2.16%, making it attractive for income-focused investors.
