Two prominent Indian energy companies, NTPC and NLC India, are in focus after the government significantly boosted their investment limits for renewable energy projects.
Driving India’s Green Energy Push
The Indian government recently enhanced the investment capabilities of state-owned NTPC and NLC India, allowing them to inject more capital into renewable energy initiatives. This move is set to accelerate India’s transition towards cleaner power sources.
NTPC, a power generation giant, has seen its investment limit raised to a massive Rs 20,000 crore. This substantial delegation of power aims to help NTPC achieve an ambitious target of 60 gigawatts (GW) of renewable energy capacity by 2032.
Similarly, NLC India Limited (NLCIL), a leading lignite miner and power generator, is now permitted to invest Rs 7,000 crore. This investment will flow into its wholly-owned subsidiary, NLC India Renewables Ltd (NIRL), which will then fund various projects directly or through joint ventures without needing prior government approval.
Market Capitalization Comparison
When it comes to market capitalization (mcap), NTPC significantly outweighs NLC India. As per recent data, NTPC boasts a mcap of Rs 3,32,110.82 crore.
In contrast, NLC India’s market capitalization stands at Rs 33,122.59 crore. This clearly positions NTPC as a much larger entity in terms of market valuation.
Dividend Payouts
Both companies have a history of paying dividends. According to BSE records, NTPC declared a dividend of Rs 2.50 in 2025 (as per source data). NLC India, on the other hand, announced a dividend of Rs 1.50.
Both stocks have a face value of Rs 10 each, making it easier to compare their per-share dividend payouts.
Current Share Prices
As of recent trading data, NTPC’s share price was Rs 342.50. NLC India’s shares were trading at Rs 238.87. These figures represent their current market valuations per share.
Decoding Stock Returns
Analyzing long-term returns reveals interesting trends for both companies. NTPC shares experienced a slight dip of 0.35 per cent over the last week and a 9.95 per cent fall over the past year.
However, looking at the longer horizon, NTPC has delivered impressive gains. The stock soared by 82.77 per cent over two years, 128.70 per cent over three years, a significant 294.93 per cent over five years, and 205.21 per cent over the past decade.
NLC India has shown more positive short-term momentum, gaining 5.56 per cent in the last week and 4.11 per cent over two weeks. Similar to NTPC, it also saw a decline of 18.67 per cent over the past year.
Despite the recent dip, NLC India’s long-term performance has been robust. Its shares are up 102.25 per cent over two years, a striking 255.33 per cent over three years, an impressive 429.44 per cent over five years, and 186.88 per cent over the last ten years.
- NTPC has a significantly higher market capitalization.
- Both companies have declared dividends, with NTPC’s payout being higher.
- Both stocks show negative returns over the past year but strong long-term growth.
- NLC India has delivered higher returns than NTPC over the 3-year and 5-year periods.
These insights provide a comprehensive overview for investors considering these key players in India’s evolving energy sector.
