Some PSU stocks have been suggested by brokerage firm Jefferies. In the market of all-time high, the brokerage feels that the stocks of these three government companies can give strong returns.
NTPC Jefferies looks quite bullish about the company. The brokerage says that in the renewable energy space, the company has won bids for 37-39 GW in FY24 as against 8-9 GW last year. The company is trying to increase its target towards renewable energy to 60 GW by FY2032. The company’s increasing steps towards green hydrogen reflect the rating. In the medium term, the stock should also be rerated on double digit earnings and compound annual growth rate.
The current price of the stock is Rs 427 per share. Jefferies has a buy recommendation on the stock and the target is Rs 427. Rs 485 per share Is done.
Jefferies on Power Grid
Power Grid But Jefferies looks quite positive. The brokerage believes that the management will continue the capex guidance for FY25 and is quite confident about growth till FY27. The company’s bid of Rs 1 lakh crore is at the tender stage, which is 1.8 times larger than last year. Such things indicate the company’s future growth. Due to dividend payout, strong pipeline, the stock is trending upwards in the future.
Power Grid Corporation of India stock is trading at Rs 336 per share. Jefferies has a buy recommendation on the stock and a target 390 per share It has been decided.
Jefferies on ONGC
ONGC But Jefferies sees bullishness in the coming days. The management expects 5-6% compound annual growth during FY 2025-27E. The reason behind this is the growth in the KG basin, where rising returns on crude oil and gas and low cess make this stock attractive.
ONGC stock is trading at Rs 286 per share. Jefferies has recommended buying the stock and has a target 420 per share It has been decided.