TD Power Systems
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
TD Power Systems is navigating a favorable landscape characterized by robust demand for power generation equipment, particularly driven by the expansion of data centers and grid infrastructure. Management's bullish outlook, supported by a significant increase in export orders and a clear strategy for capacity expansion, underpins Vista's revenue growth expectations. The company's proactive approach to managing working capital and maintaining margins through price clauses positions it well for sustained profitability. Despite a moderating revenue growth trend, the anticipated increase in capacity and strategic focus on high-volume exports suggest a positive trajectory for earnings. Industry dynamics, including improving pricing power and government investments in infrastructure, further bolster this outlook. However, potential headwinds such as competition from international players and execution pressures due to high order inflows warrant close monitoring. Over the next 12-24 months, key opportunities lie in capitalizing on the AI-driven power demand and expanding into new markets, while challenges include managing operational efficiency and commodity price fluctuations
Why We Like This Stock
- Strong demand from data centers and grid infrastructure is driving revenue growth
- Management's proactive capacity expansion strategy supports long-term earnings potential
- Improving pricing power within the industry enhances profitability prospects
Things To Watch Out For
- Intense competition from international players may pressure margins
- Execution challenges due to high order inflows could impact operational efficiency
- Fluctuating commodity prices pose risks to maintaining stable margins
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 1,001 | 1,279 | 1,856 | 2,305 | 2,866 |
| Profit Before Tax (Cr.) | 162 | 232 | 326 | 423 | 526 |
| PBT Margin | 16.2% | 18.1% | 17.6% | 18.3% | 18.3% |
| Net Profit (Cr.) | 115 | 177 | 238 | 307 | 382 |
| Earnings Per Share | 7.4 | 11.4 | 15.2 | 19.7 | 24.5 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Anand Rathi | ▲ Buy | 1,751 | 13-Aug-2026 |
Company Overview
Show Company Profile
TD Power Systems Limited, together with its subsidiaries, manufactures and sells AC generators and electric motors in India and internationally. The company offers steam turbine, gas turbine, hydro turbine, gas engine, and diesel engine generators; and induction, traction, and synchronous motors; and hydro, and diesel power plants, as well as geothermal and wind applications. It also provides design and manufacturing services; spares and refurbishment services; and after-sales services. The company's products are used in data centers, renewable energy, oil and gas, thermal power, railways, steel, marine, pulp and paper, sugar and ethanol, textiles, irrigation, and cement plants applications. TD Power Systems Limited was incorporated in 1999 and is headquartered in Bengaluru, India.