JSW Energy Limited (JSWENERGY) AI Stock Analysis

• Market Cap: ₹802.75B
• Dividend Yield: 0.41%
• Average Volume (3M): 120.49K
• Price to Earnings (P/E): 35.2
• 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): 2.41
• 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: ₹610.00
• Price Target Upside: 19.47% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: ₹470.00 ▼(-7.95% Downside)

The score is supported primarily by solid financial performance (strong growth and margins), but is held back by weak technicals (downtrend and negative momentum) and a relatively high P/E with a low dividend yield. Cash flow volatility and negative free cash flow after capex also temper the otherwise strong fundamentals.

Positive Factors

Revenue Growth

Sustained ~55% revenue growth signals expanding commercial traction across generation and trading channels. Over a multi-quarter horizon this supports higher scale, stronger bargaining power with fuel suppliers and counterparties, and a larger base to absorb costs, aiding durable top-line resilience.

Operational Profitability

Healthy gross, EBIT and EBITDA margins reflect structural cost controls and efficient plant operations. Durable margins improve cash generation potential per unit of production, providing a buffer versus commodity and demand cycles and enabling reinvestment in capacity and maintenance over time.

Equity Base / Balance Sheet Stability

A growing equity ratio provides a lasting financial cushion against volatility, enhancing creditworthiness and capacity to raise project finance. Over 2-6 months this structural strength helps fund capex, support growth projects, and reduces reliance on short-term market funding.

Negative Factors

High Leverage

Relatively high leverage creates persistent interest-rate and refinancing sensitivity. Overcoming this requires sustained cash generation or capital raises; high debt can constrain strategic flexibility, elevate financing costs, and increase default risk if macro rates or cashflows deteriorate.

Negative / Volatile Free Cash Flow

Heavy, recurring capex producing volatile or negative free cash flow reduces internal funding for growth, dividends, and deleveraging. Persistently weak FCF forces reliance on external financing or equity issuance, which can dilute returns and strain long-term financial flexibility.

Free Cash Flow to Net Income Concern

A weak free cash flow to net income ratio signals earnings aren’t translating reliably into liquidity after investment needs. Structurally this limits capacity to service debt, fund maintenance capex, or return capital, increasing vulnerability during slower demand or higher fuel cost periods.

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

Strong revenue and profit growth with solid operating margins (Income Statement score 88). Balance sheet is stable with a growing equity base, but leverage is relatively high (Balance Sheet score 75). Cash flow is the main weak spot, with volatile/negative free cash flow driven by heavy capex despite decent operating cash generation (Cash Flow score 70).

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: 510.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• 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 510.6 is above the 20-day moving average (MA) of 485.28, above the 50-day MA of 480.58, and above the 200-day MA of 507.69, indicating a bearish trend. The MACD of -8.89 indicates Positive momentum. The RSI at 40.57 is Neutral, neither overbought nor oversold. The STOCH value of 38.10 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	₹1.08T	47.89	―	―	22.98%	328.13%
POWERINDIA	68 Neutral	₹840.98B	112.76	―	0.03%	16.49%	245.51%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
JSWENERGY	64 Neutral	₹802.75B	35.19	―	0.41%	39.71%	1.33%
SUZLON	64 Neutral	₹653.69B	20.56	―	―	74.67%	229.31%
ADANIPOWER	62 Neutral	₹2.61T	22.76	―	―	-0.70%	-5.41%
ADANIGREEN	59 Neutral	₹1.40T	93.29	―	―	14.16%	75.34%

JSW Energy Limited Corporate Events

JSW Energy Secures Turbine Supply for 1,600 MW Salboni Thermal Project

JSW Energy’s wholly owned subsidiary JSW Thermal Energy has signed a supply contract with associate firm Toshiba JSW Power Systems for two 800 MW steam turbine generators for its 1,600 MW Salboni thermal power project in West Bengal. The deal is designed to align equipment delivery with construction timelines, tighten supply-chain control, and mitigate sector-wide equipment shortage risks, while supporting the timely commissioning of the plant. With the Salboni project and a potential 1,800 MW expansion at KSK Mahanadi, JSW Energy’s thermal capacity is projected to rise to 9,058 MW, or about 30% of its 30.5 GW locked-in portfolio, reinforcing the company’s strategy of maintaining thermal power as a stable baseload complement to growing renewables and contributing to India’s broader push for additional thermal capacity and energy security.

JSW Energy Faces Appeal in Ongoing Billing Dispute With Maharashtra Discom

JSW Energy has disclosed that the Maharashtra State Electricity Distribution Company Limited (MSEDCL) has filed an appeal before the Appellate Tribunal for Electricity against a December 2025 order of the Maharashtra Electricity Regulatory Commission that had rejected MSEDCL’s attempt to quash invoices raised by JSW Energy and had instead allowed the company’s petition. The move signals that a key tariff and billing-related dispute remains under judicial scrutiny, potentially prolonging uncertainty around the realization of receivables and revenue recognition from MSEDCL, even as JSW Energy maintains the regulatory order currently in its favour.

India Ratings Assigns ‘IND A/Stable/IND A1’ to JSW Energy’s Renewable Subsidiary

India Ratings and Research has assigned credit ratings of ‘IND A/Stable/IND A1’ to the long-term bank facilities of JSW Renew Energy Seventeen Limited, a step-down subsidiary of JSW Energy Limited. The rating assignment underscores the subsidiary’s creditworthiness and may support its access to bank funding for renewable power projects, reinforcing JSW Energy’s strategic push into the renewables segment and potentially strengthening its financial flexibility and standing in the Indian energy market.

JSW Energy Schedules Analyst Meet in Vijayanagar for January 2026

JSW Energy has scheduled an in-person group meeting with sell-side analysts to be held in Vijayanagar, Karnataka, on 7–8 January 2026, as part of its ongoing engagement with institutional investors and market participants. The planned interaction underscores the company’s efforts to maintain transparency with the financial community and could provide analysts with deeper insights into its operations and strategic direction, although the schedule remains subject to change in case of exigencies.

JSW Energy Issues Corrigendum to EGM Notice on Preferential Share and Warrant Issue

JSW Energy Limited has issued a corrigendum to its earlier Extraordinary General Meeting notice for the meeting scheduled on 3 January 2026, which will be conducted via video conferencing. The clarification was requested by BSE and NSE in relation to proposals for issuing equity shares and warrants on a preferential basis through private placement, prompting the company to update and supplement the original EGM notice; the corrigendum has been made an integral part of the meeting documentation and is available on the company’s website, signaling close regulatory engagement around its planned capital-raising exercise.

JSW Energy Announces EGM for Strategic Equity Issuance

JSW Energy Limited has announced an Extraordinary General Meeting (EGM) scheduled for January 3, 2026, to discuss the preferential issue of equity shares on a private placement basis. This move is part of the company’s strategic efforts to enhance its capital structure and could impact its market positioning by potentially increasing its financial flexibility and shareholder value.

JSW Energy’s Subsidiary Receives Stable Credit Rating

JSW Energy Limited announced that Care Ratings Limited has reaffirmed a ‘CARE AA’ Stable rating for the long-term bank facilities of its subsidiary, Clean Solar Power (Bhainsada) Private Limited. This reaffirmation reflects positively on the company’s financial stability and its strategic focus on expanding its renewable energy portfolio, which could enhance its market position and stakeholder confidence.

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.