Reliance Power Stock Price Analysis and Quick Research Report. Is Reliance Power an attractive stock to invest in?
Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.
Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements.
Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Reliance Power.
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PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Reliance Power has a PE ratio of -165.045992115637 which is low and comparatively undervalued.
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Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Reliance Power has ROA of -0.5917% which is a bad sign for future performance. (Higher values are always desirable.)
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Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Reliance Power has a Current ratio of 0.1747.
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Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Reliance Power has a ROE of -1.0243%. (Higher is better)
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Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Reliance Power has a Debt to Equity ratio of 0.6907 which means that the company has low proportion of debt in its capital.
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Sales growth: Reliance Power has reported revenue growth of 0% which is poor in relation to its growth and performance.
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Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of Reliance Power for the current financial year is 0%.
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Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Reliance Power is Rs 0 and the yield is 0%.
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Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Reliance Power is Rs -0.2283. The higher the EPS, the better it is for investors.
One can find all the Financial Ratios of Reliance Power in Ticker for free. Also, one can get the intrinsic value of Reliance Power by using Valuation Calculators, which are available with a Finology ONE subscription.
Reliance Power FAQs
Q1. What is Reliance Power share price today?
Ans: The current share price of Reliance Power is Rs 37.68.
Q2. What is the market capitalisation of Reliance Power?
Ans: Reliance Power has a market capitalisation of Rs 15583.584999888 Cr., calculated based on its latest share price.
Q3. What are the P/E and P/B ratios of Reliance Power?
Ans: The PE ratio of Reliance Power is -165.045992115637 and the P/B ratio of Reliance Power is 1.64742196824953, showing how the stock is valued against its earnings and book value.
Q4. What is the 52-week high and low of Reliance Power share?
Ans: The 52-week high share price of Reliance Power is Rs 76.49, and the 52-week low share price of Reliance Power is Rs 31.27.
Q5. Does Reliance Power pay dividends?
Ans: Currently, Reliance Power does not pay dividends. Dividend yield of Reliance Power is around 0%.
Q6. What are the face value and book value of Reliance Power shares?
Ans: The face value of Reliance Power shares is Rs 10, while the book value per share of Reliance Power is around Rs 22.8721. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.
Q7. What is the debt of Reliance Power?
Ans: Reliance Power has a total debt of Rs 6258.08 Cr., which affects investor sentiment and financial stability.
Q8. What are the ROE and ROCE of Reliance Power?
Ans: The ROE of Reliance Power is -1.0243% and ROCE of Reliance Power is -0.1764%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.
Q9. Is Reliance Power a good buy for the long term?
Ans: The Reliance Power long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.
Q10. Is Reliance Power undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Reliance Power appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.
Q11. How to check Reliance Power’s financials?
Ans: You can review Reliance Power’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.