Reliance Power was created in a bid to develop power projects generation projects around the globe. The company aims to generate and sell power in various locations, using different types of fuel sources, and so on.
As of the end of the third week of August 2018, the market capitalisation of the company is about Rs.9,130 crore.
Reliance Power’s Wealth and Recent Performance
From the unaudited financial results for the quarter ended June 2018, we can observe the following:
- Revenue from operations decreased to Rs.2,284.79 crore from Rs.2,427.76 crore in the previous quarter.
- The total income of the company decreased to Rs.2,370.55 crore from Rs.2,400.58 crore in the previous quarter.
- The total expenses of the company reduced to Rs.2,073.56 crore from Rs.2,228.17 crore in the previous quarter.
- The profit before tax jumped to Rs.296.99 crore from Rs.172.41 crore in the previous quarter.
Reliance Power Stock Trends in 2018
- In January 2018, the stock began trading at about Rs.60. However, the stock declined in price for most of the month to close at about Rs.45 for the month.
- The stock began trading at about Rs.44 in the month of February 2018. The stock did not go over Rs.50 during the course of this month and closed at about Rs.44 again at the end of the month.
- The stock declined further in March 2018 to close at about Rs.36 at the end of the month.
- The stock appeared to gain in April but closed for the month at about Rs.37.
- The stock did not go over Rs.40 for the entirety of May 2018 and closed for the month at about Rs.36.
- The stock continued the downward trend in June 2018, closing for the month at about Rs.32.
- The stock rallied a little in July 2018 but closed for the month at about Rs.33.
Reliance Power Stock Trends in 2016 and 2017
- The stock opened at about Rs.58 in January 2016. It peaked a little in the initial part of the month but dipped again later. The stock closed for the month at about Rs.50. There was no major improvement in performance in February with the stock closing at about Rs.44. The stock climbed a little in March to close at about Rs.49.
- The stock climbed in April to close at about Rs.51 and at Rs.52 in May. The stock held steady for most of June to close at about Rs.51.
- The stock held steady between July and August to remain at a price range between Rs.50 and Rs.55. The stock held steady for most of September before dipping at the end of the month to close at about Rs.47.
- The stock closed at about Rs.47 again at the end of October. The stock dived in price during the month of November to close at about Rs.41. Throughout December, the stock remained between Rs.40 and Rs.45 and closed for the month at about Rs.41.
- In January 2017, the stock began trading at about Rs.41. It climbed to close for the month at about Rs.44. The stock climbed a little in February to close at about Rs.47. The stock did not increase by much in March.
- The stock held steady throughout April to close at about Rs.48. The stock experienced the first major drop in May. The stock closed for the month at about Rs.41. The stock did not climb much in June.
- The stock peaked at about Rs.45 in July at which price it closed for the month. The stock dipped again in August to close for the month at about Rs.40. The stock did not gain much in September.
- The stock held steady for the month of October but dipped below Rs.40 in November. The stock gained a lot in December to close for the month at about Rs.50.
Should You Invest in Reliance Power?
- Reliance Power has a number of projects in the pipeline.
- It is currently operating about 6,000 MW of power plants.
- It has bet on three coal-fired plants for electricity.
- Since carbon fuels are being banned, the company has also diversified into gas and hydroelectric projects.
- The company is under the able leadership of Shri. Anil Ambani who is an experienced businessman.
- The company is part of the larger Reliance Group that has a presence in a number of sectors.
- While these are all reasons to invest in the company, it would better to do so after adequate research based on personal preferences and risk appetites.
At present, the company has the capacity to generate almost 6000 MW of power. The company has about 28 power projects under development in various parts of India.
History of the Company
Reliance Power Limited was incorporated in the year 1995 as Bawana Power Private Limited. Later, the company changed its name to Reliance Delhi Power Private Limited. In 2003–2004, the company began operating a natural gas based plant in Dadri. In 2004, the company was renamed thrice. In March 2004, the company became a public limited company. In 2006–2007, the company set up a 12,000 MW coal plant in Orissa. From this period, the company began moving from strength to strength, embarking on a series of acquisitions or deals in order to further its power generation business. At present, the company also has an MoU with the Bangladesh Government which will allow it to develop 3,000 MW of power.
Management of the Company
The board of directors of the company includes the following people:
Shri. Anil Dhirubhai Ambani - Chairman, Reliance Group
Shri. Sateesh Seth
Shri. K Raja Gopal
Shri. K. Ravikumar
Shri. D. J. Kakalia
Ms. Rashna Khan
Shri. Anil Dhirubhai Ambani was born in Mumbai in the year 1959. He has an MBA degree from the USA. He is the Chairman of the Reliance Group which includes Reliance Communications, Reliance Capital, Reliance Infrastructure, Reliance Power, Reliance Defence and Engineering Limited, Reliance Defence Limited, and Reliance Defence Technologies Private Limited. He founded the Reliance Group in 2006.
Reliance Power Listings in NSE, BSE, and Other Indices
The company is listed under the following codes:
IND: Power - Generation/Distribution
ISIN Code: INE614G01033
The company is part of indices like, Nifty 200, Nifty Midcap 50, S&P BSE 200, S&P BSE 500, S&P BSE Utilities, and S&P BSE AllCap among others.
In addition to the BSE and the NSE, the company is also listed on MCX Stock Exchange.
The company secretary and compliance officer is Shri Murli Manohar Purohit. This person can be reached at the following address:
South Block, Third Floor, Reliance Centre, Santacruz, Near Prabhat Colony, Off. Western Express Highway, Santa Cruz (East), Mumbai - 400 055
Telephone number: +91 22 3303 1000
Fax number: +91 22 3303 3662
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