Current price is less than the intrinsic value

Intrinsic Value

Stock has been generating better return on equity than bank FD

ROE vs FD rates

Dividend Returns

Good time to consider, as stock is not in overbought zone

Entry Point

Stock not in ASM/GSM lists and not a lot of promoter holding is pledged

No Red Flags

REC Ltd is quoting at Rs 137.65, up 1.62% on the day as on 12:49 IST on the NSE. The stock is down 6.26% in last one year as compared to a 7.07% spurt in NIFTY and a 4.09% spurt in the Nifty Energy index.

REC Ltd gains for third straight session

REC Ltd last month had announced that its board has recommended bonus shares issue in the ratio of 1:3

REC’s bonus shares issue proposal gets shareholders’ nod

State-owned REC Ltd board has approved a proposal for subscribing 50 per cent equity not exceeding Rs 50 crore in PFC Projects, a power asset management company for taking over stressed assets.

REC okays subscribing 50% equity in asset management firm PFC Projects

The government should think about selling Power Finance Corporation’s interest in the company to Power Grid Corp. of India, according to the state-run REC Ltd.

REC suggests transferring PFC’s ownership of Co. to PGCIL, both stocks down

The Memorandum of Understanding was signed in the presence of R Lakshmanan, Executive Director – REC Ltd.

REC Inks Pact To Work On Improving Discoms’ Operational, Financial Sustainability

The power ministry will ask Power Finance Corp (PFC) and REC Ltd to waive prudential norms for lending to power companies, specifically to buy imported coal for blending purposes as well as for running imported coal-based plants. This is the first-time specific coal loans will be offered to generato…

Power gencos to get easier loans for coal imports

REC Ltd is quoting at Rs 121.8, down 1.22% on the day as on 13:19 IST on the NSE. The stock tumbled 7.16% in last one year as compared to a 10.4% rally in NIFTY and a 0.57% spurt in the Nifty Financial Services index.

REC Ltd down for fifth straight session

Power sector financiers Power Finance Corporation (PFC) and REC Ltd had earlier discussed the possibility of creation of an asset management company (AMC) to take over viable projects through bidding or change of management route. A senior government official, however, said it has been decided to ha…

Power sector lenders weigh takeover of stressed assets

Under this partnership, in addition to providing research and evaluation support, EPIC India will collaborate with REC Ltd and RECPDCL to provide a platform for knowledge sharing on international research and policy innovations through its nexus of leading international experts.

REC partners EPIC India to improve performance of discoms

Senior bureaucrat Sanjay Malhotra has been appointed as Secretary, Department of Financial Services as part of a top-level bureaucratic reshuffle effected by the Centre late Tuesday. Malhotra, a 1990-batch lAS officer of Rajasthan cadre, is currently Chairman and Managing Director, REC Ltd.

Bureaucratic Reshuffle: Sanjay Malhotra Appointed Secretary, Department Of Financial Services

The joint venture’s offer was better than the bids of Adani Transmission, Power Grid Corp and Sterlite Power. Another bidder, state-run REC Ltd’s power distribution arm, quoted a ₹278 crore upfront payment and deferred payments of about ₹1,610 crore, the people said.

REC Limited

REC Limited

Intrinsic Value
Intrinsic value is the calculated value of the company and may differ from current stock price. If intrinsic value > current price, price increase is expected in the future to reduce the gap and vice-versa

ROE vs FD rates
Fixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If stock's long term average ROE is lower than this rate, investors are better off investing the amount in a FD

Dividend Returns
A dividend is the distribution of reward from a portion of company's earnings and is paid to its shareholders. Good dividend returns indicate good health and outlook for the company

Entry Point
High demand for a stock increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the stock

News & Opinions

REC Ltd gains for third straight session

REC’s bonus shares issue proposal gets shareholders’ nod

REC okays subscribing 50% equity in asset management firm PFC Projects

REC suggests transferring PFC’s ownership of Co. to PGCIL, both stocks down

REC Inks Pact To Work On Improving Discoms’ Operational, Financial Sustainability

Power gencos to get easier loans for coal imports

REC Ltd down for fifth straight session

Power sector lenders weigh takeover of stressed assets

REC partners EPIC India to improve performance of discoms

Bureaucratic Reshuffle: Sanjay Malhotra Appointed Secretary, Department Of Financial Services

REC Limited

Intrinsic ValueIntrinsic value is the calculated value of the company and may differ from current stock price. If intrinsic value > current price, price increase is expected in the future to reduce the gap and vice-versa

ROE vs FD ratesFixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If stock's long term average ROE is lower than this rate, investors are better off investing the amount in a FD

Dividend ReturnsA dividend is the distribution of reward from a portion of company's earnings and is paid to its shareholders. Good dividend returns indicate good health and outlook for the company

Entry PointHigh demand for a stock increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the stock

News & Opinions

REC Ltd gains for third straight session

REC’s bonus shares issue proposal gets shareholders’ nod

REC okays subscribing 50% equity in asset management firm PFC Projects

REC suggests transferring PFC’s ownership of Co. to PGCIL, both stocks down

REC Inks Pact To Work On Improving Discoms’ Operational, Financial Sustainability

Power gencos to get easier loans for coal imports

REC Ltd down for fifth straight session

Power sector lenders weigh takeover of stressed assets

REC partners EPIC India to improve performance of discoms

Bureaucratic Reshuffle: Sanjay Malhotra Appointed Secretary, Department Of Financial Services

Intrinsic Value
Intrinsic value is the calculated value of the company and may differ from current stock price. If intrinsic value > current price, price increase is expected in the future to reduce the gap and vice-versa

ROE vs FD rates
Fixed Deposit rate is a virtually risk-free rate where the investor assumes almost no risk on their investment. If stock's long term average ROE is lower than this rate, investors are better off investing the amount in a FD

Dividend Returns
A dividend is the distribution of reward from a portion of company's earnings and is paid to its shareholders. Good dividend returns indicate good health and outlook for the company

Entry Point
High demand for a stock increases its price. If the price is pushed up to a level which is not justified, then it's considered to be in the overbought zone, which is not a good time to buy the stock