Orient Green Power Share Price Target 2022, 2023, 2024, 2025, and 2030

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Orient Green Power share price target 2022, 2023, 2024, 2025, and 2030: In this article, you will learn about Orient Green Power share price target 2022, 2023, 2024, 2025, and 2030, along with the fundamentals and financials of the company.

For every investor, it is important to know about the company in which they are investing, to get the confidence to hold the stock for the long term. To make it clear for you, in this article we have mentioned Orient Green Power share price target 2022, 2023, 2024, 2025, and 2030, along with the fundamentals of the company.

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Orient Green Power: Company Profile

Orient Green Power Company was incorporated under the Companies Act on December 6, 2006, in Chennai, Tamil Nadu. It was granted the certificate for commencement of business on January 8, 2007, by the RoC. There has been no change in the activities being carried out by the company since its incorporation. The company is not operating under any injunction or restraining order.

The company has grown its business by acquiring operating and developing renewable energy assets from third parties and by developing greenfield projects. The company has the ability to identify assets where it can improve performance, acquire them at beneficial rates and improve operating performance. It has a diverse customer base with a mixture of off-take arrangements. The company’s customers include SEBs, distribution companies, private commercial and industrial consumers, and a power trading company.

The company enters into PPAs with varying pricing arrangements depending on the type of customer, available tariffs, location, and term of PPA. As a result of its renewable energy focus, it is able to avail of long-term contracted renewable energy tariff rates that, in general, are higher than long-term contracted tariffs for conventional energy and other incentives aimed at encouraging the renewable energy industry.

Business area of the company

The company is a leading Indian independent renewable energy-based power generation company focused on developing, owning, and operating a diversified portfolio of renewable energy power plants. It is the largest independent operator and developer of renewable energy power plants in India based on aggregate installed capacity according to the CRISIL Report dated as of March 2010. Currently, the company’s portfolio includes biomass, biogas, wind energy, and small hydroelectric projects at various stages of development.

Share Holding Pattern

Orient Green Power Share Price Target 2022, 2023, 2024, 2025, and 2030

Debt

Orient Green Power Share Price Target 2022, 2023, 2024, 2025, and 2030

Interest Expense

Orient Green Power Share Price Target 2022, 2023, 2024, 2025, and 2030

Orient Green Power Price Target 2022

FY21 was a year of consolidation for the Company, a year wherein the Company saw a marginal dip in revenues due to delayed onset of wind season and the revision of floor and forbearance price of Renewable Energy Certificates (REC) from Rs.1,000/- to nil. This moderate decline in the topline understates the progress made by the Company in the past few years.

The reduced units generated and decline in revenues resulted in operating de-leverage and impacted EBITDA and resultant profit-generating ability of the business. However, efforts have been undertaken to improve efficiencies and a rebound in wind availability. Further, the revision of REC floor price is challenged before the Appellate Tribunal for Electricity (APTEL) and the proceedings are in progress, a favorable outcome is expected by the industry.

Revenues during the year amounted to Rs. 255 Crores as against Rs. 323 Crores generated during FY20, lower by 21%. The decline was largely contributed by the aforementioned revision of the REC floor price. This contributed to a reduction in revenue by Rs.45 Crores (66% of the total reduction).

EBITDA for the year stood at Rs. 170 Crores as against Rs. 280 Crores reported during last year, lower by 39%. Margins for the year stood at 65% as against 73% delivered during FY20, lower by 800 bps. Focus on improving operational efficiencies and cost containment resulted in margin compression of only 2%, despite revenue de-growth of 18% Depreciation for the year amounts to Rs. 91 Crores as against Rs. 92 Crores, lower by 1%.

By considering all these factors, the orient green power share price target for 2022 is Rs 17.

Orient Green Power share price target 2022
Rs 17

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Orient Green Power Share Price Target 2023

Universal, affordable, and uninterrupted power supply have been the guiding principles of India’s electricity policy. As the third-largest global power producer with a combined installed capacity of 382 GW, India still has a long way to go to achieve economic progress and electricity consumption comparable to major economies in the region, if not developed nations. India’s installed capacity has grown at compounded annual growth rate (CAGR) of 8.27% since 2010. India’s growing urban population, revival in economic activities in the coming quarters after a sizable population gets vaccinated and its quest for affordable, clean and reliable power provide a huge scope for continued growth in power demand.

Access to a cost-effective and reliable power supply is the biggest catalyst for inclusive growth. They are critical for industrial growth, ensuring the social growth of citizens and a high human development index. Demand for electricity in India is expected to grow at a sustained pace given the government’s massive push towards Make-In-India, increasing industrialization, improving incomes, and living standards.

As per the Central Electricity Authority (CEA), peak demand is likely to increase to around 340 GW from the current peak demand of around 190 GW by 2030. The base demand is expected to increase to 2325 BU by 2030. CEA predicts that India’s likely installed capacity by FY 2030 could be around 817 GW, more than double the present installed capacity. Orient green power share price target for 2023 is Rs 24.

orient green power share price target for 2023
Rs 24

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Orient Green Power Share Price Target 2024

The Indian renewable energy sector is the fourth most attractive renewable energy market in the world. India was ranked fifth in wind power, fifth in solar power, and fourth in renewable power installed capacity, as of 2019. Installed renewable power generation capacity has gained pace over the past few years, posting a CAGR of 17.33% between FY16-20. With the increased support of the Government and improved economics, the sector has become attractive from investors’ perspective.

As India looks to meet its energy demand on its own, which is expected to reach 15,820 TWh by 2040, renewable energy is set to play an important role. The government is aiming to achieve 227 GW of renewable energy capacity (including 114 GW of solar capacity addition and 67 GW of wind power capacity) by 2022, more than its 175 GW target as per the Paris Agreement. This will help to achieve orient green power share price target 2023.

The government plans to establish a renewable energy capacity of 523 GW (including 73 GW from Hydro) by 2030. As of February 2021, installed renewable energy capacity stood at 94.43 GW. The country is targeting about 450 Gigawatt (GW) of installed renewable energy capacity by 2030 – about 280 GW (over 60%) is expected from solar. From April 2015 to February 2021, India has added 117.9 GW of power generation capacity, including 64.5 GW of conventional source and 53.4 GW from renewable sources.

By December 2019, 15,100 megawatts (MW) of wind power projects were issued, of which, projects of 12,162.50 MW capacity have already been awarded. Power generation from renewable energy sources in India reached 127.01 billion units (BU) in FY20. With a potential capacity of 363 GW. Orient green power share price target for 2024 is Rs 29.

orient green power share price target for 2024
Rs 29

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Orient Green Power Share Price Target 2025

Wind installations in India in the first quarter of 2021 (Q1 2021) were up by 25% quarter-over-quarter (QoQ), with 623 MW added compared to 500 MW installed in the previous quarter. Meanwhile, year-over-year (YoY) installations saw a 230% jump, as only 189 MW was installed during the same period last year.

India’s installed wind power capacity was slightly above 39 GW in March 2021 — much below the 60 GW target for 2022, which is part of an overall 175 GW aim for all renewable energies. Wind power has been around in India for four decades. The sector experienced steady growth during the last three decades through 2015. But from 2016-17 onwards, wind energy lost its momentum primarily due to the abolition of feed-in-tariff and solar becoming more attractive in cost competitiveness. This will have a positive impact on orient green power share price target 2025.

In terms of coal-based capacity, CEA estimates capacity addition of over 60 GW by 2030. Further, coal-based power will still be the dominant fuel type in 2030. In terms of the PLF of coal-based plants, CEA studies indicated that high-capacity pit head plants (600 – 800 MW unit size) could enjoy PLFs of over 70% whilst similar load center plants could have PLFs of around 50%. It is evident that coal-based power could continue to play a significant role in meeting India’s electricity demand in the long term. By considering the demand and growth opportunities, Orient Green power share price target for 2025 is Rs 35.

orient green power share price target for 2025
Rs 35

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Orient Green Power Share Price Target 2030

India is ranked as the third-largest consumer of electricity in the world and has one of the largest transmission systems. The country is at the cusp of a transformation, driven by the fast-paced growth of renewable energy which is in line with efforts to decarbonize its energy economy.

From a mere 4% share in electricity generation in the year 2008-09, it reached a mighty 11% in 2020-21 and the installed renewable capacity at 94 GW represents 24.7% of the total installed capacity of 382 GW. The government as well as corporates have been rallying behind the increased adoption of renewable energy and are also pro-actively exploring the feasibility of adoption of other new emerging renewable technologies such as hydrogen, and geothermal, which are driving the energy innovation.

Some specific targets set by the Government include reducing emission intensity by 33‐35% by the year 2030 as compared with 2005 levels, achieving a 40% share of non‐fossil fuel-based electricity generation capacity, and 450 GW of installed renewable capacity by 2030.

The Indian power sector is undergoing a significant change that has redefined the industry outlook. Sustained economic growth momentum continues to drive electricity demand in India. The Government of India’s focus on attaining ‘Power for all’ has accelerated capacity addition in the country. India is now a power sufficient country with peak demand at 190 GW as compared with an installed capacity of 382 GW. By considering all these factors orient green power share price target for 2030 is Rs 158.

Orient green power share price target for 2030
Rs 158

Also read: ONGC share price target 2022, 2025, and 2030.

Orient green power share price target 2022, 2023, 2024, 2025, and 2030

YearShare Price Target
2022Rs 17
2023Rs 24
2024Rs 29
2025Rs 35
2030Rs 258

Frequently Asked Questions

Is orient green power debt free?

No, orient green power is not a debt-free company. Although the company has decreased its debt from 1887 crores in 2027 to 1,329 crores in the financial year 2021.

Orient green power share price target?

Orient green power share price target for 2022 is Rs 17, orient green power share price target for 2023 is Rs 24, orient green power share price target for 2024 is Rs 29, orient green power share price target for 2025 is Rs 35, and orient green power share price target for 2030 is Rs 258.

orient green power share price target 2022?

Orient green power share price target for 2022 is Rs 17.

orient green power share price target 2025?

orient green power share price target for 2025 is Rs 35.

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