JSW Energy Ltd (JSWENERGY) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Adani Energy Sol

Torrent Power

NLC India

Adani Power

Power Grid Corpn

JSW Energy

NHPC Ltd

NTPC Green Ene.

Tata Power Co.

SJVN

Adani Green

Why is JSW Energy Ltd ?

Poor Management Efficiency with a low ROCE of 7.77%

The company has been able to generate a Return on Capital Employed (avg) of 7.77% signifying low profitability per unit of total capital (equity and debt)

Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.35 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.35 times
The company has been able to generate a Return on Equity (avg) of 7.78% signifying low profitability per unit of shareholders funds

Flat results in Dec 25

INTEREST(Latest six months) At Rs 2,902.44 cr has Grown at 46.53%
OPERATING PROFIT TO INTEREST (Q) Lowest at 1.37 times
DEBT-EQUITY RATIO(HY) Highest at 2.37 times

With ROCE of 6, it has a Very Expensive valuation with a 1.5 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -4.37%, its profits have risen by 23.6% ; the PEG ratio of the company is 1.4

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is JSW Energy for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

JSW Energy

-4.34%

-0.13

32.53%

Sensex

5.37%

0.47

11.36%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.74%

EBIT Growth (5y)

29.58%

EBIT to Interest (avg)

2.10

Debt to EBITDA (avg)

5.50

Net Debt to Equity (avg)

2.13

Sales to Capital Employed (avg)

0.24

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

19.05%

Pledged Shares

11.65%

Institutional Holding

23.93%

ROCE (avg)

7.55%

ROE (avg)

7.78%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.66

EV to EBIT

22.62

EV to EBITDA

15.45

EV to Capital Employed

1.53

EV to Sales

7.92

PEG Ratio

1.44

Dividend Yield

0.45%

ROCE (Latest)

6.01%

ROE (Latest)

6.95%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

11What is working for the Company

NET SALES(Latest six months)

At Rs 9,259.18 cr has Grown at 63.11%

PAT(9M)

At Rs 1,932.93 cr has Grown at 25.28%

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 4,974.51 cr

-15What is not working for the Company

INTEREST(Latest six months)

At Rs 2,902.44 cr has Grown at 46.53%

OPERATING PROFIT TO INTEREST (Q)

Lowest at 1.37 times

DEBT-EQUITY RATIO(HY)

Highest at 2.37 times

PBT LESS OI(Q)

Lowest at Rs -280.47 cr.

Loading Valuation Snapshot...

Here's what is working for JSW Energy

Net Sales - Latest six months

At Rs 9,259.18 cr has Grown at 63.11%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Profit After Tax (PAT) - Nine Monthly

At Rs 1,932.93 cr has Grown at 25.28%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 4,974.51 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for JSW Energy

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -280.47 cr has Fallen at -173.8% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 380.24 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Interest - Latest six months

At Rs 2,902.44 cr has Grown at 46.53%

over previous Half yearly period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Operating Profit to Interest - Quarterly

Lowest at 1.37 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -280.47 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Debt-Equity Ratio - Half Yearly

Highest at 2.37 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio