JSW Energy Limited (JSWENERGY) AI Stock Analysis

• Market Cap: ₹835.52B
• Dividend Yield: 0.42%
• Average Volume (3M): 120.49K
• Price to Earnings (P/E): 41.2
• Beta (1Y): 1.07
• Revenue Growth: 39.71%
• EPS Growth: 1.33%
• Country: IN
• Employees: 2,500
• Sector: Energy
• Sector Strength: 52
• Industry: Independent Power Producers
• EPS (TTM): 4.04
• Shares Outstanding: 1,747,768,400
• 10 Day Avg. Volume: 138,587
• 30 Day Avg. Volume: 120,491
• PEG Ratio: 7.11
• Price to Book (P/B): 3.33
• Price to Sales (P/S): 7.76
• P/FCF Ratio: -30.30
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹506.50
• Price Target Upside: 5.95% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: ₹563.00 ▲(17.77% Upside)

JSW Energy's overall stock score is primarily driven by its strong financial performance, despite high leverage and cash flow challenges. Technical analysis indicates a neutral market sentiment with no strong momentum. The high P/E ratio suggests potential overvaluation, which, combined with a low dividend yield, impacts the stock's attractiveness.

Positive Factors

Revenue Growth

Consistent revenue growth indicates expanding operations and effective market penetration, supporting long-term business sustainability.

Operational Margins

Strong operational margins suggest effective cost control and pricing strategies, enhancing profitability and competitive positioning.

Equity Position

A strong equity base provides financial stability and resilience, enabling the company to invest in growth opportunities.

Negative Factors

High Leverage

High leverage can increase financial risk, especially in a rising interest rate environment, potentially impacting long-term financial health.

Cash Flow Challenges

Negative free cash flow limits liquidity and flexibility, potentially constraining the company's ability to fund new projects or weather downturns.

Net Profit Margin Variability

Variability in net profit margins can indicate challenges in maintaining consistent profitability, affecting long-term earnings stability.

JSW Energy Limited Business Overview & Revenue Model

Company Description

JSW Energy Limited generates and sells power in India. The company has a power generation capacity of 4,559 MW, which includes 3,158 MW of thermal, 1,391 MW of hydro, and 10 MW of solar. It has operations in the States of Karnataka, Maharashtra, Rajasthan, Himachal Pradesh, Andhra Pradesh, and West Bengal. The company also engages in power transmission and trading activities; and coal mining in South Africa. JSW Energy Limited was incorporated in 1994 and is based in Mumbai, India.

How the Company Makes Money

JSW Energy generates revenue primarily through the sale of electricity to various consumers, including state-owned utilities, private companies, and industrial clients. The company's revenue model is based on long-term power purchase agreements (PPAs) and spot market sales, allowing it to secure stable cash flows. Key revenue streams include the generation of power from its thermal plants, hydropower plants, and renewable energy sources. Additionally, JSW Energy benefits from government incentives for renewable energy production and may engage in power trading to optimize its revenue. Strategic partnerships, such as collaborations with other energy firms and participation in renewable energy auctions, further enhance its market position and financial performance.

JSW Energy Limited Financial Statement Overview

Summary

JSW Energy showcases strong revenue and profit growth, supported by solid operational margins. The company's financial stability is underscored by a strong equity base, although high leverage presents potential risks. Cash flow management is an area for improvement, given the negative free cash flow impacted by significant capital expenditures.

Income Statement

JSW Energy demonstrates strong revenue growth, with a notable increase from 2024 to 2025. Gross and net profit margins are healthy, indicating efficient cost management. The EBIT and EBITDA margins reflect solid operational performance. However, the net profit margin shows slight fluctuations over the years, suggesting some variability in net income relative to revenue.

Balance Sheet

The company's balance sheet shows a robust equity position with a growing equity ratio, reflecting financial stability. However, the debt-to-equity ratio is relatively high, indicating significant leverage which could pose risks in a rising interest rate environment. Return on equity is strong, suggesting effective use of shareholders' funds.

Cash Flow

JSW Energy's cash flow statement reveals a volatile free cash flow trend with substantial capital expenditures impacting free cash flow negatively. The operating cash flow to net income ratio is favorable, indicating effective cash generation from operations. However, the free cash flow to net income ratio is concerning, highlighting challenges in maintaining liquidity after investments.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	140.09B	117.45B	114.86B	103.32B	81.67B	69.22B
Gross Profit	83.66B	66.49B	64.16B	41.99B	44.22B	35.04B
EBITDA	62.00B	52.19B	53.42B	32.90B	36.34B	29.10B
Net Income	21.72B	19.51B	17.23B	14.78B	17.29B	7.95B
Balance Sheet
Total Assets	0.00	899.39B	582.69B	487.42B	309.32B	264.36B
Cash, Cash Equivalents and Short-Term Investments	56.43B	56.51B	46.92B	46.64B	20.77B	11.46B
Total Debt	0.00	501.85B	315.73B	250.51B	89.43B	83.72B
Total Liabilities	-290.85B	608.54B	372.55B	300.08B	135.16B	119.38B
Stockholders Equity	290.85B	273.61B	208.32B	186.29B	174.15B	145.07B
Cash Flow
Free Cash Flow	0.00	-30.09B	-17.99B	-21.52B	6.58B	32.64B
Operating Cash Flow	0.00	38.38B	62.34B	20.84B	29.52B	37.00B
Investing Cash Flow	0.00	-236.13B	-83.18B	-70.09B	-13.92B	-10.33B
Financing Cash Flow	0.00	202.23B	16.75B	73.27B	-7.81B	-25.15B

JSW Energy Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 478.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:JSWENERGY, the sentiment is Negative. The current price of 478.05 is above the 20-day moving average (MA) of 473.74, below the 50-day MA of 507.17, and below the 200-day MA of 512.32, indicating a neutral trend. The MACD of -9.16 indicates Negative momentum. The RSI at 46.09 is Neutral, neither overbought nor oversold. The STOCH value of 70.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:JSWENERGY.

JSW Energy Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADANIENSOL	76 Outperform	₹1.19T	52.65	―	―	22.98%	328.13%
POWERINDIA	68 Neutral	₹826.94B	114.17	―	0.03%	16.49%	245.51%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
SUZLON	64 Neutral	₹721.13B	22.68	―	―	74.67%	229.31%
JSWENERGY	63 Neutral	₹835.52B	41.24	―	0.42%	39.71%	1.33%
ADANIPOWER	62 Neutral	₹2.73T	22.71	―	―	-0.70%	-5.41%
ADANIGREEN	56 Neutral	₹1.68T	81.81	―	―	14.16%	75.34%

JSW Energy Limited Corporate Events

JSW Energy’s Subsidiary O2 Power Receives Credit Rating Boost

JSW Energy Limited announced that Care Ratings Limited has assigned ratings to the facilities of its step-down subsidiary, O2 Power Private Limited. The ratings include a reaffirmed CARE A1+ for short-term bank facilities, an assigned CARE A+ for long-term bank facilities, and an assigned CARE A1+ for commercial paper. This development reflects positively on the company’s financial stability and could enhance its market position in the energy sector.

JSW Energy Expands Renewable Capacity with 85 MW Commissioning

JSW Energy Limited has successfully commissioned 85 MW of renewable energy capacity, comprising 74 MW of solar and 11 MW of wind power, increasing its total installed capacity to 13,295 MW. This development enhances the company’s renewable energy share to 57% of its overall capacity, aligning with its strategic goal to reach 30 GW of generation capacity and 40 GWh of energy storage by 2030, while pursuing carbon neutrality by 2050.

JSW Energy Releases Q2 FY26 Earnings Call Transcript

JSW Energy Limited announced the release of the transcript from its recent Results Conference Call, which discussed the company’s unaudited standalone and consolidated financial results for the quarter and half-year ending September 30, 2025. This release is part of the company’s compliance with regulatory requirements and aims to provide transparency to stakeholders by making the transcript available on its website.

JSW Energy Announces Strategic Demerger with GE Power India

JSW Energy Limited has announced a Scheme of Arrangement with GE Power India Limited, involving the demerger of GE Power’s business related to power boilers and related components to JSW Energy. This strategic move, approved by JSW’s Board, aims to enhance JSW Energy’s operational capabilities and market position in the energy sector. The arrangement includes issuing equity shares to GE Power’s shareholders and is subject to regulatory approvals. If the demerger is not feasible, a slump sale will be considered, ensuring the acquisition of the business as a going concern.

JSW Energy Expands Renewable Portfolio with Acquisition of Tidong Power

JSW Energy Limited, through its wholly-owned subsidiary JSW Neo Energy Limited, has signed an agreement to acquire 100% equity shares of Tidong Power Generation Private Limited, which is developing a 150 MW hydroelectric power project. This acquisition aligns with JSW Energy’s strategic goal to increase its renewable energy capacity, contributing to its target of 30 GW by FY 2030. The transaction, expected to be completed by January 2026, is subject to regulatory approvals and will involve a cash consideration.