India's Power Grid, Hitachi rise as Goldman Sachs initiates with 'buy'

Schneider Electric Infrastructure

18/04/2024 08:46

** Shares of Power Grid Corporation  PGRD.NS , Hitachi
Energy India  HITN.NS  up 3.2% and ~5%, respectively, as
brokerage Goldman Sachs (GS) initiates with a "buy"
    ** Power Grid says it got letter of intent related to
transmission system for two projects in the state of Rajasthan,
one in Gujarat; financial terms not disclosed 
    ** Shares of Schneider Electric  SEIN.NS  drop 2.2% as GS
initiates with "sell" 
    ** Power Grid stock among top gainers in Nifty 50  .NSEI ,
which is up 0.7%
    ** "We view Power Grid as largest beneficiary of our
transition-linked grid capex estimate, which the stock has not
fully priced in," GS says
    ** PT on PGRD is 355 rupees - a 29% premium on stock's last
close, on HITN is 8,250 rupees, which is a 9% premium
    ** Sees Hitachi benefitting from India's energy transition,
eyes added benefits from grid digitalization, global
transmission equipment storage 
    ** GS sees unfavourable risk-rewards on SEIN stock post 375%
share-price rally over last 12 months, sets PT of 470 rupees - a
41% discount on stock's last close
    ** YTD, shares of PGRD, HITN, SEIN up ~20%, 51%, ~90%,
respectively 


 (Reporting by Manvi Pant in Bengaluru)
 ((Manvi.Pant@thomsonreuters.com; +918447554364;))