CG Power sets board meeting date on March 18 to consider first interim dividend in FY25; details here

CG Power announced during market hours on Tuesday, March 11, that its board of directors will meet next week to consider an interim dividend for the financial year 2024-25 (FY25).

"We wish to inform you that a meeting of the board of directors of the company is scheduled to be held on Tuesday, 18 March 2025, to consider the declaration of interim dividend, if any, for the financial year 2024-25," the Mumbai-headquartered engineering conglomerate said in an exchange filing during market hours on March 11.

The announcement, however, did not have any significant positive impact on the stock, which traded 0.06 per cent up at ₹596 around 12:45 PM. CG Power share price opened at ₹590.95 against its previous close of ₹595.65 and touched an intraday high and low of ₹601.60 and ₹583.25 respectively, till 12:45 PM.

CG Power share price trend

Despite market volatility, CG Power share price has seen a healthy 30 per cent upside over the last year till March 10 close.

The stock hit a 52-week high of ₹874.50 on October 11 after hitting a 52-week low of ₹449.70 on March 11 last year.

In March so far, the stock has gained about 4 per cent and looks set to snap its three-month losing run. In February, the stock fell about 10 per cent after a 13 per cent fall in January and a 1 per cent decline in December.

Geojit Financial Services upgrades the stock

On 7 March, brokerage firm Geojit Financial Services upgraded the stock to a "buy" from "accumulate", based on 63 times FY27E adjusted EPS (earnings per share) with a rolled forward target price of ₹696. This imples a 17 per cent upside potential in the stock from its March 10 close of ₹595.65 on the BSE.

CG Power and Industrial Solutions is an engineering conglomerate, operating in the electrical engineering industry. The company has a diverse portfolio of products, solutions and services for power and industrial equipment to varied industries in India and abroad.

Geojit is positive about the prospects of the power market.

The brokerage firm underscored that CG Power's Q3FY25 results highlight a growth trajectory with a 27.1 per cent year-on-year sales increase and a strong order intake.

"This is a sign of a robust business pipeline," said Geojit.

"The company stands to gain from an expanding power transformer market, supported by an increase in solar capacity and strong domestic demand for electricity. The distribution transformer segment remains stable due to the company’s earlier capacity," Geojit said.

The brokerage firm pointed out that CG Power aims to enhance export capabilities, particularly in power systems, to increase the share of international revenue. Continuous improvement in market strategies, especially for the motors segment, is expected to drive up market share and revenue, said Geojit.

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Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.