NHPC Limited (NHPC.BO) stock analysis

In our weekly check, NHPC Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 14 pass, warnings: 4, red flags: 7.

About NHPC Limited

NHPC Limited is an Utilities company (Renewable Utilities) based in India, listed on BSE as NHPC.BO.

What our checks show for NHPC.BO

Red flags

• The net margin fell by 16.1 points over 5 years, to 22.8%: the company keeps less of each sale as profit.
• The gross margin fell by 8.3 points, to 78.6%: costs are rising faster than prices.
• Operating cash flow is only 0.29x net profit: part of the reported profit does not arrive as cash.
• Free cash flow is negative (-88.2% of revenue): the business spends more cash than it brings in.
• Recovering from its deepest fall took about 8.7 years.
• Return on capital (ROCE) is zero or negative: the business does not earn on the money put into it.
• Pay in shares equals 0% of free cash flow: it dilutes shareholders.

Warning signs

• Operating profit covers interest only 2.1 times: a weak year could make the payments hard.
• Earnings per share fell 1% a year over the last 3 years.
• Net profit fell 10.7% a year over the last 3 years.
• The stock has fallen as much as 59% from a peak. Would you have held through that?

Strengths

• Debt is low: 0x equity.
• Analysts expect earnings per share to grow about 23.2% a year over the next years.
• Analysts expect revenue to grow about 24.8% a year over the next years.
• Analysts expect the net margin to improve by 6.2 points from today's 22.8%.
• The company keeps 22.8% of its revenue as net profit.
• The dividend takes 22% of profit: there is a cushion.

Next earnings report: 2026-11-04

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Questions

What grade does NHPC Limited (NHPC.BO) have?

In our weekly check, NHPC Limited is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 14 pass, warnings: 4, red flags: 7. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of NHPC.BO stock?

This week's biggest flags for NHPC Limited: Margins falling, Gross margin falling, Profits not backed by cash. In total 11 of 25 checks show a warning or a red flag.

What does NHPC Limited do?

NHPC Limited is an Utilities company (Renewable Utilities) based in India, listed on BSE as NHPC.BO.

When does NHPC Limited report earnings next?

The next earnings report is expected on 2026-11-04. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-31

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