3 Largest Power Generator, Hydropower Producer and Mumbai Power Utility Stocks With a Strong Future Roadmap: NTPC, NHPC and Torrent Power
- October 23, 2026
- Posted by: Chaitanya Auti
- Category: Best Stocks
NTPC, NHPC and Torrent Power: ROE of 9.1% to 13.3% and FY22 to FY26 revenue CAGR of 5.8% to 19.2%. Prices as of 22 Oct 2026.
Quick Answer
The three thermal, hydro and power utility stocks to watch are NTPC, NHPC and Torrent Power. Their return on equity ranges from 9.1% to 13.3%, and their revenue compound annual growth from FY22 to FY26 ranges from 5.8% to 19.2%. NTPC has the highest return on equity at 13.3%, while Torrent Power has the fastest revenue growth at 19.2% a year. Prices are based on the 22 October 2026 close, and this article is educational, not investment advice.
Thermal, hydro and power utility stocks let investors follow companies that keep India’s lights on. NTPC, NHPC and Torrent Power cover the largest power generator, a hydropower producer and a power utility with generation and distribution.
This list covers three thermal, hydro and power utility stocks with complete current figures: NTPC, NHPC and Torrent Power. Every figure comes from the latest reported financials and the 22 October 2026 market close. Companies without complete current figures were left out.
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What Are Thermal, Hydro and Power Utility Stocks?
Thermal, hydro and power utility stocks are listed companies that generate and distribute electricity from coal, gas, water and renewable sources. Their earnings depend on capacity, plant availability and long-term power contracts.
Thermal, Hydro and Power Utility Stocks at a Glance
| Company | CMP (Rs) | Market Cap (Rs Cr) | P/E | Industry P/E | ROE (%) | D/E |
|---|---|---|---|---|---|---|
| NTPC | 302.6 | 292,694 | 10.3 | 21.3 | 13.3 | 1.33 |
| NHPC | 72.38 | 72,626 | 17.0 | 21.3 | 9.1 | 1.26 |
| Torrent Power | 1,181.9 | 60,947 | 25.5 | 21.8 | 12.7 | 0.73 |
On valuation, NTPC and NHPC trade at a P/E below the industry P/E, while Torrent Power trades above it, which reflects the growth the market already expects. Readers comparing thermal, hydro and power utility stocks should look at return on equity and debt together, since a high return earned with low debt is easier to sustain.
Why Do Thermal, Hydro and Power Utility Stocks Have a Strong Roadmap in India?
Thermal, hydro and power utility stocks have a strong roadmap in India because electricity demand keeps rising and utilities are adding thermal, hydro and renewable capacity to meet it.
- Rising power demand. Growth in cities and industry lifts electricity use.
- Renewable additions. Utilities build solar, wind and hydro capacity.
- Long contracts. Power purchase agreements give steady income.
Why NTPC Features Among These Thermal, Hydro and Power Utility Stocks
Among the thermal, hydro and power utility stocks on this list, NTPC is India’s largest power generation company, with thermal, hydro and renewable plants and a growing pipeline of green energy projects.
The company has a return on equity of 13.3%, a debt to equity ratio of 1.33 and a market capitalisation of Rs 292,694 crore. The stock trades at a P/E of 10.3, below the industry P/E of 21.3.
Revenue rose from Rs 134,994 crore in FY22 to Rs 189,799 crore in FY26, a compound annual growth rate of 8.9%. Net profit grew from Rs 15,474 crore in FY22 to Rs 30,010 crore in FY26, which works out to a compound annual growth rate of 18.0%. In the June 2026 quarter, revenue grew 6.9% year on year to Rs 51,142 crore, while net profit rose 12.9% to Rs 6,896 crore.
Roadmap: The company is adding thermal capacity to meet rising electricity demand while building a large renewable portfolio. Long-term power purchase agreements give it steady visibility.
What to watch: Follow capacity additions, renewable progress and plant availability.
Why NHPC Features Among These Thermal, Hydro and Power Utility Stocks
Among the power generation company shares on this list, NHPC is a public sector hydropower company that builds and operates large hydroelectric stations and is expanding into solar and wind energy.
Revenue rose from Rs 10,108 crore in FY22 to Rs 12,686 crore in FY26, a compound annual growth rate of 5.8%. Net profit for FY26 was Rs 3,237 crore, a net margin of 25.5%.
In the June 2026 quarter, revenue grew 15.0% year on year to Rs 3,960 crore, while net profit rose 4.1% to Rs 1,178 crore. The company has a return on equity of 9.1%, a debt to equity ratio of 1.26 and a market capitalisation of Rs 72,626 crore. The stock trades at a P/E of 17.0, below the industry P/E of 21.3.
Roadmap: The company has a pipeline of hydro and renewable projects that will add capacity over the coming years. Hydropower supports grid stability, and long-term contracts give it steady income.
What to watch: Track commissioning of new projects, generation levels and renewable additions.
Why Torrent Power Features Among These Thermal, Hydro and Power Utility Stocks
Among the three companies on this list, Torrent Power is an integrated power company in Gujarat that generates, transmits and distributes electricity, with operations in Ahmedabad, Surat and Bhiwandi, and a growing renewable energy portfolio.
In the June 2026 quarter, revenue grew 2.4% year on year to Rs 8,205 crore. Revenue rose from Rs 14,493 crore in FY22 to Rs 29,289 crore in FY26, a compound annual growth rate of 19.2%.
Net profit grew from Rs 459 crore in FY22 to Rs 2,469 crore in FY26, which works out to a compound annual growth rate of 52.3%. The company has a return on equity of 12.7%, a debt to equity ratio of 0.73 and a market capitalisation of Rs 60,947 crore. The stock trades at a P/E of 25.5, above the industry P/E of 21.8.
Roadmap: The company operates a stable distribution franchise and is adding large renewable capacity alongside new thermal and pumped storage projects. Its distribution licences in major cities provide steady cash flows that support these investments.
What to watch: Monitor renewable capacity commissioning and the progress of new generation projects.
NTPC vs NHPC vs Torrent Power on Key Financials
The table below sets the three thermal, hydro and power utility stocks side by side on revenue, profit and margin, using reported figures.
| Company | FY22 Revenue (Rs Cr) | FY26 Revenue (Rs Cr) | Revenue CAGR (FY22-FY26) | FY26 Net Profit (Rs Cr) | FY26 Net Margin |
|---|---|---|---|---|---|
| NTPC | 134,994 | 189,799 | 8.9% | 30,010 | 15.8% |
| NHPC | 10,108 | 12,686 | 5.8% | 3,237 | 25.5% |
| Torrent Power | 14,493 | 29,289 | 19.2% | 2,469 | 8.4% |
NTPC posts the highest return on equity in this group at 13.3%. NTPC has the largest FY26 revenue at Rs 189,799 crore, and Torrent Power shows the fastest revenue growth with a 19.2% compound annual rate. A useful habit with thermal, hydro and power utility stocks is to check each new quarterly result against the capacity plans the company described earlier.
The June 2026 quarter, the latest reported, gives a fresh read on momentum:
| Company | Q1 FY26 Revenue (Rs Cr) | Q1 FY27 Revenue (Rs Cr) | Year-on-Year Growth |
|---|---|---|---|
| NTPC | 47,821 | 51,142 | 6.9% |
| NHPC | 3,443 | 3,960 | 15.0% |
| Torrent Power | 8,011 | 8,205 | 2.4% |
Key Risks to Check Before Investing in Thermal, Hydro and Power Utility Stocks
Every theme carries risks that deserve a check before any decision. For these thermal, hydro and power utility stocks, the main points are:
- Regulatory decisions. Tariff and policy rules affect returns.
- Project timelines. New plants take time to commission.
- Fuel supply. Thermal plants depend on steady fuel availability.
Treat this list as a starting point for research and not as a recommendation. Read the latest results presentation, check the management commentary on order books or capacity plans, and compare each company with its peers before you decide anything.
Use the Univest Stock Screener to filter thermal, hydro and power utility stocks by market capitalisation, P/E, ROE and growth, and build your own shortlist.
Final Thoughts on Thermal, Hydro and Power Utility Stocks
Thermal, hydro and power utility stocks reward investors who follow capacity additions, plant availability and contracts together. NTPC, NHPC and Torrent Power each have a clear plan to add capacity. Based on the 22 October 2026 close, NTPC trades at Rs 302.6, NHPC at Rs 72.38 and Torrent Power at Rs 1,181.9.
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Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
What are thermal, hydro and power utility stocks?
Ans. Thermal, hydro and power utility stocks are listed companies that generate and distribute electricity from coal, gas, water and renewable sources. Their earnings depend on capacity, plant availability and long-term power contracts. This list looks at three of them, NTPC, NHPC and Torrent Power, using reported FY22 to FY26 financials and the 22 October 2026 closing prices.
Which thermal, hydro and power utility stocks are covered in this list?
Ans. This list covers NTPC, NHPC and Torrent Power. Based on the 22 October 2026 close, NTPC traded at Rs 302.6, NHPC at Rs 72.38 and Torrent Power at Rs 1,181.9. Their return on equity ranges from 9.1% to 13.3%, and their revenue compound annual growth from FY22 to FY26 ranges from 5.8% to 19.2%.
Why do thermal, hydro and power utility stocks have a strong future roadmap in India?
Ans. Thermal, hydro and power utility stocks have a strong roadmap in India because electricity demand keeps rising and utilities are adding thermal, hydro and renewable capacity to meet it. The main drivers are as follows. Rising power demand. Growth in cities and industry lifts electricity use. Renewable additions. Utilities build solar, wind and hydro capacity. Long contracts. Power purchase agreements give steady income. Together these factors give the companies on this list a visible path for growth over the coming years.
How has NTPC performed financially?
Ans. Revenue rose from Rs 134,994 crore in FY22 to Rs 189,799 crore in FY26, a compound annual growth rate of 8.9%. Net profit grew from Rs 15,474 crore in FY22 to Rs 30,010 crore in FY26, which works out to a compound annual growth rate of 18.0%. In the June 2026 quarter, revenue grew 6.9% year on year to Rs 51,142 crore, while net profit rose 12.9% to Rs 6,896 crore. The company has a return on equity of 13.3%, a debt to equity ratio of 1.33 and a market capitalisation of Rs 292,694 crore. The stock trades at a P/E of 10.3, below the industry P/E of 21.3. Looking ahead, the company is adding thermal capacity to meet rising electricity demand while building a large renewable portfolio. Long-term power purchase agreements give it steady visibility.
How has NHPC performed financially?
Ans. Revenue rose from Rs 10,108 crore in FY22 to Rs 12,686 crore in FY26, a compound annual growth rate of 5.8%. Net profit for FY26 was Rs 3,237 crore, a net margin of 25.5%. In the June 2026 quarter, revenue grew 15.0% year on year to Rs 3,960 crore, while net profit rose 4.1% to Rs 1,178 crore. The company has a return on equity of 9.1%, a debt to equity ratio of 1.26 and a market capitalisation of Rs 72,626 crore. The stock trades at a P/E of 17.0, below the industry P/E of 21.3. Looking ahead, the company has a pipeline of hydro and renewable projects that will add capacity over the coming years. Hydropower supports grid stability, and long-term contracts give it steady income.
How has Torrent Power performed financially?
Ans. Revenue rose from Rs 14,493 crore in FY22 to Rs 29,289 crore in FY26, a compound annual growth rate of 19.2%. Net profit grew from Rs 459 crore in FY22 to Rs 2,469 crore in FY26, which works out to a compound annual growth rate of 52.3%. In the June 2026 quarter, revenue grew 2.4% year on year to Rs 8,205 crore. The company has a return on equity of 12.7%, a debt to equity ratio of 0.73 and a market capitalisation of Rs 60,947 crore. The stock trades at a P/E of 25.5, above the industry P/E of 21.8. Looking ahead, the company operates a stable distribution franchise and is adding large renewable capacity alongside new thermal and pumped storage projects. Its distribution licences in major cities provide steady cash flows that support these investments.
What risks should investors check before buying thermal, hydro and power utility stocks?
Ans. Investors should check a few risks before buying thermal, hydro and power utility stocks. Regulatory decisions. Tariff and policy rules affect returns. Project timelines. New plants take time to commission. Fuel supply. Thermal plants depend on steady fuel availability. Reading the latest results presentation and comparing each company with its peers helps judge how these risks apply to each stock.
Is this list of thermal, hydro and power utility stocks investment advice?
Ans. No. This article is educational and uses publicly available data as of the 22 October 2026 close. Please verify figures on NSE and BSE, read company filings and consult a SEBI registered adviser before investing. Univest is SEBI registered research analyst INH000013776.