Archive · 17 Sep 2026
Jefferies Sees 37% Upside for Torrent Power on Renewables
Jefferies thinks Torrent Power’s share price could rise by 37%.
It gave the company a Buy rating and a price target of Rs 1,780.
The main reason is that Torrent Power is building much more renewable energy capacity.
Its renewable capacity could grow from about 2 GW to as much as 10 GW by 2030.
Jefferies expects this part of the business to grow faster than the company overall.
Torrent Power also has a large electricity distribution business that provides steadier earnings.
The company is adding thermal power capacity as well.
However, delays in building projects or weaker demand for electricity could hurt its results.
Jefferies maintained a Buy rating on Torrent Power with a Rs 1,780 price target, implying 37% upside.
Torrent Power has about 2 GW of renewable capacity and aims to reach 10 GW by 2030.
Jefferies expects renewable EBITDA to grow at a 36% CAGR between FY26 and FY30.
More than 60% of Torrent Power’s EBITDA comes from distribution, which Jefferies expects to grow 5% annually.
Execution delays and weaker-than-expected power demand remain key risks to the brokerage’s outlook.
- Who
- Torrent Power and Jefferies.
- What
- Jefferies maintained a Buy rating and set a Rs 1,780 price target for Torrent Power, citing renewable expansion, capacity additions and distribution stability.
- When
- The forecasts cover FY26-FY30, with the Nabha Power acquisition included from the second half of FY27 and pumped storage additions planned by FY29.
- Where
- Torrent Power is developing a 1.6 GW thermal power plant in Madhya Pradesh; the company’s broader power operations are also discussed.
- Why
- Jefferies expects renewable capacity growth and steady distribution earnings to support stronger profits.
Growth Case
Risk Case
Renewable expansion
Growth Case
Jefferies expects renewable capacity additions and pumped storage plans to drive sharply faster earnings growth.
Risk Case
The outlook depends on projects being completed on schedule, and the brokerage has flagged execution delays as a risk.
Earnings outlook
Growth Case
Jefferies forecasts renewable EBITDA to rise at a 36% CAGR, with total EBITDA growing at 13% annually between FY26 and FY30.
Risk Case
Weaker-than-expected power demand could reduce the earnings growth anticipated in the brokerage’s estimates.
Expansion funding
Growth Case
Jefferies said Torrent Power has comfortable leverage and room to fund its expansion plans.
Risk Case
The company is undertaking substantial renewable and thermal capacity additions, creating exposure to financing and execution risks even though the brokerage considers current leverage comfortable.
- Jefferies price target
- Rs 1,780
- Implied upside
- 37%
- Renewable capacity
- About 2 GW currently, with a target of 10 GW by 2030
- Renewable additions modeled
- 4.6 GW between FY26 and FY30
- Renewable EBITDA growth
- Expected CAGR of 36% between FY26 and FY30
- Distribution contribution
- More than 60% of Torrent Power’s EBITDA, expected to grow at about 5% annually
- Thermal expansion
- A 1.4 GW Nabha Power plant acquisition and a 1.6 GW project in Madhya Pradesh