Discovering the Best Under-Valued EV Stocks in India in 2023″
Discovering the Best Under-Valued EV Stocks in India in 2023″
The realm of investment is a landscape that thrives on opportunity and foresight. As the world pivots towards sustainable energy solutions, the electric vehicle (EV) sector has garnered substantial attention from both seasoned and novice investors. In the midst of this electrifying revolution, there exists a treasure trove of under-valued EV stocks that offer promising prospects for growth. In this article, we take an in-depth dive into four of these gems, analyzing their market presence, financial performance, and the opportunities they present for potential investors.
1. NTPC Ltd: Harnessing the Power of Transition (Market Cap: ₹1,81,812.49 Cr)
National Thermal Power Corporation (NTPC) stands as a giant not only in the energy sector but also as a contender in the EV arena. Its impressive market capitalization positions it as a substantial player in the EV market, offering investors an entry point to a realm of green potential. NTPC’s pursuit of greener energy solutions aligns harmoniously with the electric mobility narrative, suggesting that its venture into electric mobility could potentially yield promising opportunities for growth.
Financial Performance and Industry Comparison:
- 3-Year CAGR Growth: Revenue (16.6%), Net Profit (13.4%), Operating Profit (14.8%)
- Market Cap: Market Leader
- TTM PE Ratio: Above industry Median
- Price to Book Ratio: Below industry Median
- TTM PEG Ratio: High in Industry
- Net Profit TTM Growth %: Below industry Median
- Revenue Growth (TTM): Above industry Median
- Operating Profit Margin (TTM): Below industry Median
Shareholding Pattern:
- Promoters holding: 51.10%
- Mutual Funds: 20.10%
- FII/FPI: 15.80%
- Institutional Investors: 46.10%
- Data as of 17 Aug 2023 (Source: Moneycontrol.com)
2. Power Grid Corporation of India Ltd: Energizing the Future (Market Cap: ₹1,80,106.19 Cr)
Power Grid Corporation of India Ltd (POWERGRID) holds a pivotal role in India’s power transmission and distribution sector. Its significant market capitalization positions it as an accessible entry point for investors seeking exposure to the evolving EV landscape. As the backbone of the EV ecosystem, a robust power infrastructure is vital, making POWERGRID an appealing option for investors interested in the electric mobility space.
Financial Performance and Industry Comparison:
- 3-Year CAGR Growth: Revenue (6.4%), Net Profit (11.7%), Operating Profit (6.2%)
- Market Cap: Market Runner Up
- TTM PE Ratio: Above industry Median
- Price to Book Ratio: Below industry Median
- TTM PEG Ratio: High in industry
- Net Profit TTM Growth %: Below industry Median
- Revenue Growth (TTM): Below industry Median
- Operating Profit Margin (TTM): Below industry Median
Shareholding Pattern:
- Promoters holding: 51.34%
- Mutual Funds: 8.74%
- FII/FPI: 33.14%
- Institutional Investors: 45.70%
- Data as of 17 Aug 2023 (Source: Moneycontrol.com)
3. Tata Motors Ltd: Driving Innovation and Adaptability (Market Cap: ₹1,51,860.11 Cr)
Tata Motors is a prominent name in the Indian automobile industry, celebrated for its innovation and adaptability. While it may not be classified as a traditional penny stock, its market capitalization still positions it as an accessible choice for investors interested in the EV sector. Tata Motors’ dedication to electric mobility shines through its range of EV offerings, potentially enabling investors to benefit from its strategic positioning in this burgeoning market.
Financial Performance and Industry Comparison:
- 3-Year CAGR Growth: Revenue (9.9%)
- TTM EPS: 31.98 (+202.08% YoY)
- TTM PE Ratio: 19.19 (High PE)
- Price to Book Ratio: 0.71 (Low P/B)
- Net Profit TTM Growth %: Above industry Median
- Revenue Growth (TTM): Below industry Median
- Operating Profit Margin (TTM): Market Runner Up
Shareholding Pattern:
- Promoters holding: 46.39%
- Mutual Funds: 8.69%
- FII/FPI: 17.72%
- Institutional Investors: 36.62%
- Data as of 17 Aug 2023 (Source: Moneycontrol.com)
4. Indian Oil Corporation Ltd: Pioneering Diversification (Market Cap: ₹1,29,915.39 Cr)
Indian Oil Corporation (IOC) stands tall as a significant player in the energy sector, showcasing its commitment to diversification through its entry into the EV domain. As the EV market gains momentum, the demand for charging infrastructure and energy solutions is primed to soar. IOC’s strategic position in the energy value chain positions it to play a crucial role in supporting the growth of electric mobility, making it an intriguing choice for investors seeking to capitalize on this sector’s expansion.
Financial Performance and Industry Comparison:
- 3-Year CAGR Growth: Revenue (20.2%), Operating Profit (22.2%)
- Market Cap: Market Leader
- TTM PE Ratio: Low in the industry
- Price to Book Ratio: Low in the industry
- TTM PEG Ratio: Below industry Median
- Net Profit TTM Growth %: Below industry Median
- Revenue Growth (TTM): Below industry Median
- Operating Profit Margin (TTM): Market Leader
Shareholding Pattern:
- Promoters holding: 51.50%
- Mutual Funds: 2.20%
- FII/FPI: 7.56%
- Institutional Investors: 38.71%
- Data as of 17 Aug 2023 (Source: Moneycontrol.com)
Unveiling Opportunities: Exploring Under-Valued EV Stocks
In the realm of investment, foresight and diligent analysis are the cornerstones of success. As the world undergoes a transformative shift towards sustainability, the EV sector stands as a beacon of innovation and growth. The four under-valued EV stocks discussed here, NTPC Ltd, Power Grid Corporation of India Ltd, Tata Motors Ltd, and Indian Oil Corporation Ltd, each offer unique potential for investors seeking to ride the wave of electrification.
These stocks, with their varying financial performances, industry comparisons, and strategic positions, present a myriad of opportunities for those with a keen eye for value. It’s important to note that while these stocks hold promising potential, investment decisions should always be based on thorough research and consultation with financial experts. The world of investment is dynamic, and being well-informed is the key to navigating it successfully.
Thank you for reading this post. I hope you find this informative and useful. Please share your thoughts, opinions, and suggestions in the comments below.
Disclaimer:
The information provided in this article is for informational purposes only and should not be considered as financial or investment advice. Trading and investing in the stock market involves risk, and individuals should exercise caution and conduct their own research before making any investment decisions. The analysis and recommendations presented in this article are based on publicly available information and historical data, and there is no guarantee that future performance will match the past performance discussed in this article. Stock prices and market conditions can change rapidly, and past performance is not indicative of future results. The author and the website make no warranties or representations, express or implied, as to the accuracy or completeness of the information provided. The author and website will not be liable for any errors or omissions in the content or for any actions taken based on the information provided in this article. Investing in the stock market involves risk, including the risk of loss of capital. Individuals should carefully consider their financial investments.
About Author
