Analysis: NHPC Limited

Growth thesis

NHPC generates regulated power via hydro, solar, and pumped storage projects. Key segments include Subansiri Lower (2,000 MW, 4 units commissioned by Mar-26, remaining 4 by Mar-27), Dibang (2,880 MW, 72% progress), and 1,190 MW solar under construction. Growth hinges on ₹13,000–15,000 crore annual capex through FY27–32, funding 10,000+ MW additions from hydro (Parbati-II, Ratle) and 5,000–6,000 MW pumped storage (Omkareshwar 640 MW starts 2026). Regulated equity will double to ₹28,500 crore by FY28 as projects commission, with tariffs locked via PPAs. Execution risks center on Subansiri’s geological challenges and Dibang’s tender delays, but capex visibility and internal accruals (₹4,000 crore/year equity funding) support a 2–3 year compounder trajectory.

Why is NHPC Limited stock rising?

• Commissioning of remaining four units of Subansiri Lower Project (250 MW each) by March 2027
• Scheduled completion of Uri-I Stage-II (240 MW) and Dulhasti Stage-II (260 MW) by November 2029
• Cabinet approval for Kamala HE Project (1,720 MW) in Arunachal Pradesh; subsidiary formation and clearances in progress
• Dibang Multipurpose Project (2,880 MW) major contracts awarded; scheduled completion by February 2032
• Teesta-VI HE Project (500 MW) expected commissioning by September 2029

Research report

companyname: NHPC Limited ticker: NHPC sector: Power - Hydropower Generation & Renewable Energy NHPC Limited is a Government of India-owned power generator, incorporated in 1975 and headquartered in Faridabad, Haryana. It builds and runs run-of-river hydroelectric stations across Jammu & Kashmir, Himachal Pradesh, Uttarakhand, Sikkim and West Bengal, and is adding solar plants in Rajasthan, Gujarat, Andhra Pradesh, Kerala and Odisha plus a pipeline of pumped storage projects. In FY'26 its stati...

Catalysts

capex, regulatory approval, new product segment, acquisition inorganic

Growth guidance

No guidance

Management consistency

mixed