Energy major NTPC Ltd. is back in focus due to its steady Q1 earnings and fixing the record date for its final dividend of Rs 3.55 per share. NTPC is among the top dividend-yielding stocks, with a strong history of over forty dividend payouts. Also, NTPC has carried out a bonus issue once. Trading below Rs 400, the majority of experts find NTPC stock attractive and hence have recommended BUY. The highest target price is set at Rs 400.
NTPC Share Price:
After market hours on July 28, NTPC stock closed at Rs 338.90 apiece, up by 1.33% on BSE, with a market capitalisation of Rs 3,28,620.02 crore.
NTPC has a healthy return on equity (ROE) of 12.76%, while its price to equity ratio is at 16.50x. All-time gains in NTPC are around 437.33% as of now.
NTPC Dividend Record Date:
NTPC has fixed Thursday, 4th September, 2025 as Record date for the purpose of ascertaining the entitlement of Members for the Final Dividend of Rs.3.35/- (Three Rupees thirty five paisa only) per share (on the face value of Rs. 10/- each) on the Equity Shares of the Company for the Financial Year 2024-25 as recommended by the Board of Directors of the Company in their meeting held on 24th May 2025.
It said, if the Final Dividend, as recommended by the Board of Directors, is approved at the ensuing Annual General Meeting, payment of such dividend, subject to deduction of tax at source, will be made on or after 25 September 2025.
As of now, NTPC has delivered 43 dividends since February 2005, as per Trendlyne data. In the past 12 months, the company distributed about Rs 8.25 per share. It currently has one of the highest dividend yields under the PSU basket, to the tune of 2.44%.
Apart from this, NTPC has carried out one bonus issue so far. In March 2019, the company rewarded bonus shares in the ratio of 1:5.
However, NTPC shares have never been split.
BUY NTPC STOCK:
In its latest report, JM Financial said, " FY26 will be a momentous year for NTPC, marked by three feats of leadership; (i) all-time high organic capacity addition, (ii) commissioning of its first pumped-hydro storage plant and (iii) foundation stone of its first nuclear power plant."
Additionally, JM's note added, "the company is on its way to award a new stream of projects (13.6GW thermal and 4.6GW PSP) during FY26-28. Notwithstanding the current pressure on capacity utilisation due to a slowdown in power demand, NTPC is poised for significant growth in future with multiple growth drivers at work (thermal, hydro, nuclear). We maintain our BUY rating on the stock with a TP of INR 391, valuing at 2.3x Mar' '27 Regulated Equity for thermal business and valuing RE business on current Mcap of NGEL."
Furthermore, Axis Securities analysts said, the company has a capex plan of ~2.65 Lc Cr at the group level over FY26-28 (Rs 87,661 Cr at the standalone level). This will drive the growth in the regulated equity. Due to its strong vendor network and management, it expects lower execution risk in setting up thermal projects. The captive coal production target for FY26 is 45 MT, and it aims to produce 56 MT in FY27 and 60 MT by FY28.
On the valuation, the analysts at Axis added, "We value NTPC using SoTP with the thermal business at 2.1x P/BV on FY27 consolidated regulated equity, RE business at CMP (NGEL) after accounting for the 90% stake and considering a 25% Holdco discount, PSP optionality at Rs 23/share, CWIP and cash at 1x P/BV of FY25." They have maintained BUY with a target price of Rs 400.
About NTPC Ltd:
NTPC is India's largest integrated power company, dedicated to lighting every corner of the country and building a sustainable future for all. As a leader in the power sector, the company is committed to generating efficient and affordable power, aiming to achieve 130 GW by 2032. The company has embraced a diverse fuel mix, integrating fossil fuels, gas, hydro, nuclear, and renewable sources to minimize its carbon footprint.
Disclaimer: The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.
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