NTPC Powers Ahead Strongly
- 26th May 2025
Aaj Ka Bazaar
US markets will remain closed Monday on the account of Memorial Day. Asian markets were mixed this morning, with Japan and South Korea leading regional gains. Indian market look set to open higher on Monday, tracking gains in US index futures and mostly positive cues from Asian markets after US President Donald Trump extended a deadline for EU trade deal until 9 July, following a call with European Commission president. Investors will also react to RBI’s record dividend transfer of Rs. 2.7 lakh crore to the government and its implications for fiscal policy. On the economic front, the release of industrial and manufacturing production data for April along with the Q4 GDP growth figures due this week may provide fresh insights into the economic recovery trajectory.
Markets Around Us
BSE Sensex – 82,018.58 (0.36%)
Nifty 50 – 24,938.60 (0.37%)
Bank Nifty – 54,417.55 (0.03%)
Dow Jones – 41,989.79 (0.92%)
Nasdaq – 18,737.21 (-1.00%)
FTSE – 8,717.97 (-0.24%)
Nikkei 225 – 37,463.92 (0.82%)
Hang Seng – 23,366.06 (-1.01%)
Sector: Power
NTPC Profit Surges on Capacity Expanison
NTPC Ltd. delivered a strong performance during the quarter, reflecting strategic efficiency amidst a dynamic energy landscape. The company continues to benefit from strong demand fundamentals, driven by rising economic activity and increased domestic consumption. Operationally, the consistent expansion in installed capacity and higher captive coal procurement highlights NTPC’s focus on securing fuel supply and enhancing self-reliance, which is crucial for maintaining cost efficiencies. Despite a marginal contraction in EBITDA margins, largely due to elevated expenditure, profitability remained strong, supported by better realizations and improved plant efficiencies. The rise in power generation and average tariff during FY25 further highlights NTPC’s scale advantage and pricing power. Overall, NTPC is well-positioned to benefit from the ongoing power demand surge, backed by strong fundamentals and continued capacity expansion. These factors support a stable growth outlook, making NTPC a solid player in India’s evolving energy sector
Why it Matters:
This news matters as it underscores NTPC’s strategic resilience and strong fundamentals amid rising power demand. Continued capacity expansion and improved plant efficiencies position the company for sustained growth. With stable profitability and enhanced fuel security, NTPC remains a key player in India’s energy transition.
NIFTY 50 GAINERS
HEROMOTOCO – 4397.10 (2.05%)
M&M – 3071.10 (1.94%)
TATAMOTORS– 732.05 (1.92%)
NIFTY 50 LOSERS
ETERNAL – 229.75 (-3.28%)
BEL – 380.95 (-0.74%)
SHRIRAMFIN – 655.30 (-0.69)
Sector : Iron & Steel
JSW Steel ended FY25 on a strong note, delivering sequential improvement across volumes, profitability, and margins, supported by robust domestic demand and declining input costs. Despite a slight miss on PAT versus consensus, the operational outperformance and successful ramp-up of capacities rein- force confidence in JSW’s ability to capitalise on domestic infrastructure momentum. Going forward, driven by the contribution from its recently ramped-up capacities at JVML (5 MTPA) and BPSL (1 MTPA), improved raw material security through captive iron ore and coking coal mines, and a higher share of value-added products, the company is poised for a robust performance in FY26. The company’s ongoing cost optimisation measures, including lower coking coal prices, enhanced energy efficiency from renewable power integration, and operational leverage from higher utilisation, are expected to support margin expansion. Given India’s accelerating infrastructure growth in FY26, we have a sense that the company is well-positioned to leverage its strengths and is set to deliver sustainable margin expansion and operational efficiency, reinforcing its leadership in the domestic steel sector.
Why it Matters:
This news is important as it highlights JSW Steel’s strong finish to FY25, driven by volume growth, cost efficiencies, and capacity ramp-up. The company’s focus on raw material security and value-added products strengthens its competitive edge. With India’s infrastructure boom, JSW is well-placed for sustained growth and margin expansion in FY26.
Around the World
Asian markets were mixed on Monday as traders reacted to U.S. President Trump’s weekend flip-flop on European trade tariffs. While Wall Street weakness weighed on sentiment, U.S. futures bounced back after Trump postponed the tariffs to July. Japanese markets outperformed, with the Nikkei 225 and TOPIX gaining for the third day, helped by optimism around upcoming trade talks and Trump’s support for Nippon Steel’s U.S. deal. In contrast, Apple suppliers across Asia dropped after Trump threatened a 25% tariff on imported iPhones, hitting stocks like AAC Technologies, Luxshare, and Samsung. Tech-heavy markets like Taiwan and South Korea saw mild declines. Hong Kong’s Hang Seng dipped, dragged by profit-taking in BYD. Mainland China was mixed, as traders watched for signals on further U.S.-China trade talks. Australia and Singapore also edged lower. Meanwhile, Gift Nifty Futures rose 0.4%, hinting at a positive start for Indian markets. Overall, trade tensions and tech tariffs kept investors cautious.
Option Traders Corner
Max Pain
Nifty 50 – 24850
Bank Nifty – 55200
Nifty 50 – 24792 (Pivot)
Support – 24,675, 24,497, 24,380
Resistance – 24,970, 25,087, 25,265
Bank Nifty – 55231 (Pivot)
Support – 55,021, 54,644, 54,436
Resistance – 55,608, 55,818, 56,195
Have you checked our latest YouTube Video
Did you know?
India’s Retail Investor Surge: Market Participation Hits Record Highs in 2024
India’s stock market has seen a 36% rise in retail participation, with over 50 million investors active by 2024. This surge is driven by increased financial literacy, digital trading platforms, and government initiatives. Systematic Investment Plans (SIPs) have also gained popularity, with monthly contributions hitting ₹14,000 crore in early 2025. These trends reflect growing confidence in India’s equity markets.
