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NTPC share slides 1.4% despite 23% jump in Q4 net profit

A strong quarter, chunky dividend, yet the stock slipped. What's going on?

A strong quarter, chunky dividend, yet the stock slipped. What's going on?Adobe Stock

हिंदी में भी पढ़ें read-in-hindi

NTPC (National Thermal Power Corporation) just delivered a rock-solid fourth quarter. Profit jumped, dividend payout was generous and yet, the stock lost steam. On Tuesday (May 27, 2025), NTPC's share price dipped nearly 1.4 per cent, falling to Rs 339. The sell-off raised eyebrows, especially since the broader market wasn't in meltdown mode.

Q4 FY25 results at a glance

Metric Q4 FY25 Q4 FY24 YoY change
Revenue Rs 48,816 cr Rs 45,174 cr 7.5 per cent
Net profit Rs 7,611 cr Rs 6,169 cr 23.4 per cent
Total dividend Rs 8.35/share Rs 7.25/share 15.2 per cent

Why the fall?

There are two likely reasons why NTPC's stock fell in today's early morning trade.

  • Too much priced in: NTPC has had a stellar 12-month run. The stock is up nearly 80 per cent. Some cooling-off was due.
  • Profit booking: Strong earnings often become exit points for traders sitting on gains.

About the company
NTPC is India's largest power generator, responsible for keeping a big chunk of the country lit. From thermal to solar to wind, it's got its fingers in every energy pie. Its green arm, NTPC Green Energy, is now driving the renewables push—and that's where the big growth bets lie.

Below is a summary of the company's fundamentals.

Metric Value
Market cap Rs 3.33 lakh crore
ROE 13.9 per cent
ROCE 10.6 per cent
P/E ratio 14.2
P/B ratio 1.8
Dividend yield 2.4 per cent
Book value Rs 189.8
EPS Rs 20.3

How is NTPC rated by Value Research?

As per Value Research Online, NTPC has an overall rating of two out of five stars.

Here's how it scores on other parameters.

  • Quality: 3/10
  • Growth: 7/10
  • Momentum: 5/10
  • Valuation: 3/10

Should investors be worried?

Not really, provided you're in it for the long haul.

NTPC's drop isn't about poor performance. It's just the market doing what it does. After a big run-up, a breather isn't unusual. The core business is solid, and the renewable pivot is gaining traction.

The fundamentals remain rock-solid. NTPC is generating consistent cash, ramping up green capacity, and rewarding shareholders. For long-term investors, this dip may just be a pause, not a red flag.

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Disclaimer: This is not a stock recommendation. This story was created with the assistance of artificial intelligence and is intended for informational purposes only. Please take it with a pinch of salt and do your own research or consult a financial advisor before making investment decisions.

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