BUY Recommendations by stock market trends 2022
National Thermal Power Corporation (NTPC)
NTPC is India's largest energy conglomerate established in 1975. It has a consolidated installed capacity of 67,905 MW makes it India's largest power utility company. The company is planning to have renewable capacity of 60000MW by 2032. It has won 15% of renewable energy bids in India and has 3000MW of projects in the initial stage.
The stock is now trading with a PE ratio of 7.85 and giving a dividend yield of 4.72%. To strengthen the company's financial state, the company has diversified into the fields of consultancy,power trading,training of power professionals, rural electrification and coal mining as well. The company has long term supply contracts with Coal India Ltd and Singareni collieries company Ltd(SCCL) for its coal requirements.Besides, It has its own three coal blocks to serve the need.
Considering the strong presence and market price of this powerhouse in India , and the energy transition that is moving aggressively. National Thermal Power Corporation is a recommendation to BUY.
CMP - Rs.143
ESAB India Ltd
ESAB India Ltd is a small-cap capital goods company engaged in supplying welding and cutting projects in India. The product variants include welding consumables, Cutting machines and others for specialised welding , cutting and allied needs. The company is a subsidiary of a US based company named Colfax corporation.
The stock is trading near a price - to - price earnings multiple of 52 times. Got a strong approach in global markets as well as its exports its products to the middle east, Asia pacific , Europe and US with more than 200 distributors along India, It has a strong distribution network.
The Union budjet 2022 is slated to promote capital expansions, Hence capital goods companies will become a popular theme. So it is expected the company to give a good performance in 1 year time. It is recommended to BUY.
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