JSW Energy Rating: Sell- RE biz may get re-rated on rise in auction rate

JSW Energy Rating: Sell- RE biz may get re-rated on rise in auction rate
© Provided by The Financial Express We estimate JSWEL’s FY24E/26e Ebitda at Rs 43.8/50.8 bn, of which contribution from green business will be >62%, as commissioning of 2,218MW solar and wind projects is expected to complete by FY24, and Kutehr HEP is expected to be commissioned by FY25.

JSW Energy’s (JSWEL’s) Board has approved the reorganisation of its green and grey businesses. Its RE business (operational: 1,391MW hydro & 10MW solar; under construction: 240MW hydro & 2,218MW of solar + wind) will be housed under a new wholly-owned subsidiary-JSW Neo Energy. The thermal business (3,158MW) will continue to be part of JSWEL. Other green ventures-energy storage, green hydrogen, green ammonia-will be undertaken through JSWNEL. We estimate JSWEL’s FY24E/26e Ebitda at Rs 43.8/50.8 bn, of which contribution from green business will be >62%, as commissioning of 2,218MW solar and wind projects is expected to complete by FY24, and Kutehr HEP is expected to be commissioned by FY25.

JSW Energy Rating: Sell- RE biz may get re-rated on rise in auction rate
© Provided by The Financial Express

Though there is immense potential for RE capacity addition, we would be more comfortable assigning a higher multiple to RE platform once the overall annual bidding picks up from 10GW to 25-30GW. On FY24E basis, assuming 8x EV/Ebitda for grey business, CMP implies 13x EV/Ebitda multiple for the green business, slightly lower vs global peers. We have assigned 10x FY24E EV/Ebitda to RE capacity, in line with NTPC and Tata Power. Maintain Sell.

Uptick in RE auctions may uprate JSWEL’s RE business: We increase our TP to Rs 156 (earlier: Rs 150). Valuing JSWEL’s coal vertical at 8x, at CMP the RE vertical is being valued at 13x FY24E EV/Ebitda, which ranges at 13-16x for global and 10-11x for the listed Indian peer set. Even though the current valuation assigns the best for grey business and a high platform multiple for RE vs domestic peers, we believe that once the RE auctions pick up, growth in the green vertical will become more visible for the firm, resulting in uprating in valuations on a par with global peers.

News Related

OTHER NEWS

Concepcion pushes pandemic exit plan

PRESIDENTIAL Adviser for Entrepreneurship Jose Maria “Joey” Concepcion 3rd and OCTA Research fellow Nicanor Austriaco called for the immediate drafting of a Philippine pandemic exit plan as the number of ... Read more »

NST Leader: Unilateral conversions

© Provided by New Straits Times IF ever there were an example of how messy and ugly a divorce can get, the case of Hindu mother M. Indira Ghandi and ... Read more »

Logo PKR atau PH? PRN Johor akan tentukan, kata penganalisis

© Provided by MalaysiaNow Keputusan PKR menggunakan logo sendiri pada pilihan raya negeri (PRN) yang akan diadakan susulan beberapa kekalahan yang direkodkan tahun lalu akan menjadi referendum rasmi sama ada ... Read more »

PN gesa SPR pastikan kempen lebih adil bagi PRN Johor

© Provided by MalaysiaNow Perikatan Nasional (PN) hari ini menggesa Suruhanjaya Pilihan Raya (SPR) menyediakan platform bagi parti yang bertanding selain garis panduan kaedah berkempen dan prosedur operasi dtandard (SOP) ... Read more »

Note from murdered Italy PM's kidnappers auctioned

© Getty Images Aldo Moro was held by the far-left Red Brigades for 55 days before his eventual murder A note claiming responsibility for the abduction of Italian ex-PM Aldo ... Read more »

Health Ministry: Covid-19 vaccine rollout for kids begins Feb 3, parents to fix appointments for kids through MySejahtera

© Provided by Malay Mail The Ministry of Health (MOH) urged parents with children aged between five and 12 to register their children through the MySejahtera app, which is being ... Read more »

New Covid-19 cases above 5,000 mark today

© Provided by New Straits Times KUALA LUMPUR: The number of new Covid-19 cases continued on an upward trend, jumping to 5,439 cases as of noon today. New Covid-19 cases ... Read more »

Despite recent slump, Rafael Stone very happy with Rockets rookie Jalen Green

© Provided by RocketsWire The past three games haven’t been kind to Houston Rockets rookie Jalen Green, who is averaging 5.7 points and 26.7 minutes on ghastly shooting percentages of ... Read more »

How impactful is Chiefs S Tyrann Mathieu? Steve Spagnuolo and L'Jarius Sneed weighed in.

© Provided by Chiefs Wire The Kansas City Chiefs were without starting S Tyrann Mathieu for all but seven snaps of their thrilling divisional-round win over the Buffalo Bills. Mathieu ... Read more »

Bigg Boss 15: Rakhi Sawant scares Pratik Sehajpal by disguising as a ghost

© Provided by Pinkvilla The finale week of Bigg Boss 15 has begun, and the competition has become quite fierce. The candidates are seen putting up their best efforts in ... Read more »

Govt plans to ban sale of cigarettes to those born after 2005, says KJ

© Provided by Free Malaysia Today Khairy Jamaluddin said such a move will have a significant impact on preventing and controlling non-communicable diseases in the country. PETALING JAYA: The government ... Read more »

UK weather snow forecast – EXACT date of snowfall REVEALED as Met Office warns ‘severe frost' to hit before Arctic blast

SNOW will fall in a matter of days as a harsh Arctic blast makes it way towards the UK and pushed temperatures to below freezing, forecasters say. The Met Office ... Read more »

Housewife falls victim to Macau scam, loses almost RM1mil

© Provided by Free Malaysia Today The victim was advised by the ‘policeman’ to make fund transfers amounting to almost RM1 million to seven accounts. PETALING JAYA: A housewife lost ... Read more »

Will Zuraida join Parti Bangsa Malaysia? Youth chief says minister invited, predicts mass defection from PKR

© Provided by Malay Mail Parti Bangsa Malaysia Youth chief Muhammad Na’im Brundage speaks during an interview at TTDI on January 11, 2022. — Picture by Miera Zulyana KUALA LUMPUR, ... Read more »

'It's not just his fault': Biden voters look for the President to ease nation's woes

Sally Bissey understands the pain facing many Americans, whether she’s stocking up at the grocery store or refueling at the gas station, but she hardly believes President Joe Biden deserves ... Read more »

Appeals court mulls arguments on South Carolina abortion law

The Associated PressSouth Carolina Gov. Henry McMaster holds up a bill banning almost all abortions in the state after he signed it into law on Feb. 18, 2021, in Columbia, ... Read more »

U.S. House panel to hold hearing on autonomous vehicles

By David Shepardson © Reuters/Alexandria Sage FILE PHOTO: The interior of a Tesla Model S is shown in autopilot mode in San Francisco WASHINGTON (Reuters) – A U.S. House panel ... Read more »

Eric Adams says bail blockade by Gov. Hochul, Albany won't stop crime plan

Mayor Eric Adams insisted Thursday that changing the state’s controversial bail reform laws — which has effectively been blocked by Gov. Kathy Hochul and Albany’s two Democratic legislative leaders — ... Read more »

Sobeys Ontario warehouse workers negotiate big wage increases, says Unifor

WHITBY, Ont. — The union representing Sobeys warehouse workers in Ontario says they have ratified a four-year contract with “massive wage increases.” © Provided by The Canadian Press Unifor says ... Read more »

Suspect in Texas cop's death was undocumented and on the run for 25 years

The man accused of killing a Texas cop with a rifle during a weekend traffic stop was an international fugitive for 25 years, prosecutors said Thursday. Oscar Rosales, 51, was ... Read more »

Langnau kämpft mit dem letzten Aufgebot

Die Emmentaler unterliegen Biel 3:7. Sie können nur zum Derby antreten, weil sie die stark ersatzgeschwächte Mannschaft mit Junioren ergänzen. Die Emmentaler unterliegen Biel 3:7. Sie können nur zum Derby ... Read more »

Sportchef Eberl bei Mönchengladbach vor dem Absprung

© KEYSTONE/DPA/UWE ANSPACH Nach fast anderthalb Jahrzehnten will Max Eberl die Beziehung zu seinem Herzensverein vorzeitig beenden. Medienberichten zufolge will der 48-Jährige als Sportchef bei Mönchengladbach aufhören. Eberl plant seinen ... Read more »

Davos fängt sich nach Negativserie auf

© KEYSTONE/PATRICK B. KRAEMER Davos kehrt nach vier Niederlagen zum Siegen zurück. Die Bündner gewinnen bei den Rapperswil-Jona Lakers 3:0. Es war ein wichtiger Erfolg für den HCD im Kampf ... Read more »

5 Tips for Playing ARURF in League of Legends

We’ve come up with 5 tips for playing ARURF in League of Legends. ARURF, or All Random Ultra Rapid Fire, is a game mode that is fast-paced and grants champions ... Read more »

How to evolve Hisuian Sliggoo into Hisuian Goodra in Pokémon Legends: Arceus

© Provided by GamePur Many Pokémon you encounter in Pokémon Legends: Arceus have special evolutions with specific requirements. If you do not meet these requirements, they cannot reach their final ... Read more »

All Unown Research Notes hints explained

© Provided by Dot Esports When traveling through the Hisui region in Pokemon Legends: Arceus, players will be tasked with following hints and locating each of the 28 variations of ... Read more »

I'm a flight attendant and I swear by my clever hotel hack for cramped rooms

A FLIGHT attendant has revealed the clever way to make the most of a cramped hotel room while on holiday. Rachel Sullivan, who works for a US airline, explained that ... Read more »

How to sneak up on Pokémon in Pokémon Legends: Arceus

© Provided by GamePur Pokémon Legends: Arceus has taken a lot of new steps with the series to try and give a unique feeling of freshness to catching these monsters. ... Read more »

Zweiter Sieg in Folge für den SCB - Ajoie verliert weiter

© KEYSTONE/ANTHONY ANEX Der SCB bleibt auf Erfolgskurs. Zwei Tage nach dem Heimsieg gegen Servette bezwingen die Berner vor heimischen Publikum auch Meister Zug. Am Dienstag hatte Bern nach acht ... Read more »

Biden warned Ukraine's president Kiev could be ‘sacked' by imminent Russian invasion

© Copyright 2022 The Associated Press. All rights reserved Biden – Copyright 2022 The Associated Press. All rights reserved President Joe Biden gave a frank and dire assessment of the ... Read more »

Katie Price and Carl Woods are spotted at fertility clinic after sharing plans for first baby together

KATIE Price and Carl Woods have been spotted at a London fertility clinic just days after revealing she wants baby number six this year. The pair held hands as they ... Read more »

Boris Johnson ‘wobbling' on National Insurance rise as he fuels speculation it may be ditched

© POOL/AFP via Getty Images boris-johnson.jpg Boris Johnson is “wobbling” on the planned National Insurance rise, it has been reported after he again fuelled speculation he could scrap the hike ... Read more »

Katie Price's daughter Princess, 14, reveals she didn't want to live in mum's Mucky Mansion after ‘heartache'

KATIE Price's daughter Princess revealed she didn't want to move back to her mum's Mucky Mansion as it was full of “heartache” and bad memories. The 14-year-old got stuck into ... Read more »

Guimaraes set for Newcastle medical on Friday ahead of £33m move

© Associated Press Bruno Guimaraes is set to have a medical ahead of a move to Newcastle Bruno Guimaraes is set to undergo a medical on Friday ahead of completing ... Read more »

The Apprentice fires another candidate in what Lord Sugar calls "the worst failure" he's seen

The Apprentice spoilers follow. The Apprentice continued on BBC One tonight (January 27), which meant getting rid of another contestant who desperately wants to be Lord Sugar’s newest business partner. ... Read more »

How to evolve Qwilfish into Overqwil in Pokémon Legends: Arceus

© Provided by Dot Esports Water-type Pokémon have received a few new additions in Pokémon Legends: Arceus—and one of them is Overqwil. The Pokémon is a new evolution for Qwilfish ... Read more »

Taylor Lautner recalls feeling 'scared' to go outside

© Bang Showbiz Taylor Lautner felt scared of going out at the height of his fame Taylor Lautner felt “scared” to go outside at the height of his fame. The ... Read more »

Valve improves VRS control to boost Steam Deck battery life

© Provided by Dot Esports Valve’s Steam Deck will ship on Feb. 25, but the company is still working to make its handheld debut a win with early adopters via ... Read more »

Biden's high court pledge shows growing power of Black women

© Provided by Associated Press FILE – Judge J. Michelle Childs, who was nominated by President Barack Obama to the U.S. District Court, listens during her nomination hearing before the ... Read more »

Burnley facing a £60m hit if they are relegated from Premier League

Burnley face a £60million blow if they are relegated from the Premier League, as a result of a loan that financed the club’s takeover last year. Sportsmail has learned that ... Read more »
On free-english-test.com you will find lots of free English exam practice materials to help you improve your English skills: grammar, listening, reading, writing, ielts, toeic