Morgan Stanley has retained overweight rating on Power Grid Corporation of India in the long term and raised target price to Rs 237 from Rs 229. The stock ended down 0.1% at Rs 185.90 on Monday while BSE Sensex closed 38.88 points down at 41,642.66.
Company Financials
For the quarter ended 30-09-2019, the company has reported consolidated sales of Rs 9051.29 crore, down -1.40% from last quarter sales of Rs 9179.63 crore and up 6.01% from last year same quarter sales of Rs 8538.07 crore. The company has reported net profit after tax of Rs 2523.64 crore in the latest quarter.
The company’s top management includes Mr.K Sreekant, Mr.M N Venkatesan, Mr.Manoj Kumar Mittal, Mr.Rajeev Kumar Chauhan, Mr.Ravi P Singh, Mr.S K G Rahate, Mr.Sunil Kumar Sharma, Mr.Tse Ten Dorji, Mrs.A R Mahalakshmi, Mrs.Seema Gupta. Company has S K Mittal & Co. as its auditors. As on 30-09-2019, the company has a total of 5,231,589,648 shares outstanding.
Investment Rationale
The brokerage expects earnings to rise steadily at 9% on a compounded basis over FY19 to FY22. Lower capital expenditure versus history and asset monetisation through Invit implies higher free cash flow and a likely increase in dividends, said Morgan Stanley.
Source: Economic Times
