Reliance Power was listed on the NSE on February 11, 2008. In the last five years, its stock gave a massive return of more than 2100%. Will R Power continue to provide such impressive returns in 2025 and in future years as well? In this article, we will explore Reliance Power’s future growth potential and Reliance Power Share Price Target 2025 to 2050.
About Reliance Power
Reliance Power is a part of the Reliance Group led by Anil Ambani. The company generates electricity from coal, gas, and renewable sources. It operates power plants all over India to help meet the country’s rising energy demand. Reliance Power has undertaken several large-scale projects, including solar and hydroelectric plants.
Reliance Power Business Model
- Power Generation and Infrastructure Development: Reliance Power generates electricity from coal, gas, and renewable energy sources. The company operates large-scale power plants, such as the Sasan Ultra Mega Power Project, which combines coal mining and electricity generation. Its projects include thermal, solar, and hydroelectric energy. The electricity generated is sold to state utilities, industrial clients, and through long-term Power Purchase Agreements (PPAs).
- Mining Operations (Coal Production): Reliance Power owns coal mines to fuel its thermal plants. Excess coal production can be sold to other companies, generating additional revenue. This vertical integration lowers fuel costs and provides another stream of income.
- Operations and Maintenance (O&M) Services: Reliance Power offers O&M services for both, its own plants and third-party energy projects. This includes routine maintenance, remote monitoring, and system upgrades to ensure maximum efficiency. O&M contracts generate recurring revenue by ensuring the longevity and efficiency of power plants.
Reliance Power Fundamental Analysis
| Stock Name | Reliance Power Ltd. |
|---|---|
| Market Cap | ₹ 17,763 Cr. |
| 52W High | ₹ 54.2 |
| 52W Low | ₹ 23.3 |
| Stock P/E (TTM) | 13.98 |
| Book Value | ₹ 35.8 |
| Dividend Yield | 0 % |
| ROCE | 1.43 % |
| ROE | -17.5 % |
| Face Value | ₹ 10 |
| Share holder | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Promoters | 23.24% | 23.24% | 23.27% |
| FIIs | 13.01% | 12.71% | 13.21% |
| DIIs | 4.94% | 3.06% | 3.29% |
| Public | 58.81% | 60.99% | 60.22% |
Key Factors Driving Reliance Power Future Growth
1. Expansion into Renewable Energy: The company is shifting to renewable energy sources such as solar and hydropower. It plans to develop 500 megawatts of solar power and 770 megawatts of hydropower in Bhutan and many more power plants in upcoming years.
2. Debt Reduction: Reliance Power has been actively reducing its debt, which improves financial stability and enables more investment in growth areas. Recently, its subsidiary, Sasan Power Ltd, repaid $150 million to IIFCL, improving its debt coverage metrics and future profits.
3. Fundraising for Expansion: The company is raising funds to help it expand and reduce debt. It recently secured approximately $183 million through a preferential share allotment and aims to raise additional funds soon.
4. Government Initiatives: Reliance Power stands to benefit from government efforts to increase thermal power capacity, which aligns with national energy goals. These factors together position Reliance Power for long-term growth in the evolving energy sector.
Pros of Reliance Power
- Low P/B Ratio (Undervalued Stock): Reliance Power Price to Book Value (P/B) ratio is 1.24, which shows that its stock is trading close to its intrinsic value and may be undervalued.
- Increase in Institutional Confidence: DIIs have increased their holding to 3.29% in March 2025 from 2.80% in December 2024, while FIIs have increased their holding to 13.21% in March 2025 from 12.95% in December 2024, indicating a strong institutional confidence in Reliance Power’s future growth prospects.
Cons of Reliance Power
- Poor Sales Growth – Reliance Power has delivered a poor sales growth of 4% over the last 10 years.
- Low Return on Capital Employed (ROCE): Reliance Power’s 5-year average ROCE is 1.43%, which shows that Reliance Power is not using its capital efficiently to generate profits.
- Low Promoter Holding: Reliance Power promoter holding is 23.3%, which is relatively low. This may indicate low promoter confidence and less control over decision-making, allowing outside investors to have more influence.
By the end of 2025, the Reliance Power share price is expected to be around ₹68 in normal conditions. In a bear market, it might be ₹54, and in a bull market, it may cross ₹82.
| R Power Share Price Target 2025 | Rupees (₹) |
|---|---|
| 1st Target | 54 |
| 2nd Target | 68 |
| 3rd Target | 82 |
In 2026, the Reliance Power share price is expected to be around ₹80 in a normal situation. In a bear market, it might be ₹65, and in a bull market, it may cross ₹105.
| R Power Share Price Target 2026 | Rupees (₹) |
|---|---|
| 1st Target | 65 |
| 2nd Target | 80 |
| 3rd Target | 105 |
According to our analysis, the Reliance Power share price is expected to be around ₹95 in 2027. In a bear market, it might be ₹77, and in a bull market, it may cross ₹137.
| R Power Share Price Target 2027 | Rupees (₹) |
|---|---|
| 1st Target | 77 |
| 2nd Target | 95 |
| 3rd Target | 137 |
According to our analysis, the Reliance Power share price may trade near ₹130 by 2028; bearish conditions could pull it down to ₹92, while a strong bull run might lift it to ₹170.
| R Power Share Price Target 2028 | Rupees (₹) |
|---|---|
| 1st Target | 92 |
| 2nd Target | 130 |
| 3rd Target | 170 |
In a normal situation, the Reliance Power share price is projected to be approximately ₹140 in 2029. In a bear market, the value may be as low as ₹110, while in a bull market, it may rise to ₹205.
| R Power Share Price Target 2029 | Rupees (₹) |
|---|---|
| 1st Target | 110 |
| 2nd Target | 140 |
| 3rd Target | 205 |
By 2030, the Reliance Power share price is projected to be around ₹195 under normal conditions. In adverse markets, the price could fall to ₹150, while favorable conditions might push it up to ₹220.
| R Power Share Price Target 2030 | Rupees (₹) |
|---|---|
| 1st Target | 150 |
| 2nd Target | 195 |
| 3rd Target | 220 |
By 2035, the Reliance Power share price is projected to be around ₹475 under normal conditions. In adverse markets, the price could fall to ₹350, while favorable conditions might push it up to ₹650.
| R Power Share Price Target 2035 | Rupees (₹) |
|---|---|
| 1st Target | 350 |
| 2nd Target | 475 |
| 3rd Target | 650 |
Under normal conditions, the Reliance Power share price might hit ₹825 by 2040. A bearish trend could lower it to ₹750, whereas a bullish surge could raise it to ₹1050.
| R Power Share Price Target 2040 | Rupees (₹) |
|---|---|
| 1st Target | 750 |
| 2nd Target | 825 |
| 3rd Target | 1050 |
In 2050, the Reliance Power share price is expected to be around ₹3800 in a normal situation. In a bear market, it might be ₹3000, and in a bull market, it may go up to ₹5000.
| R Power Share Price Target 2050 | Rupees (₹) |
|---|---|
| 1st Target | 3000 |
| 2nd Target | 3800 |
| 3rd Target | 5000 |
| Years | Target Price |
|---|---|
| Reliance Power Share Price Target 2025 | ₹54 to ₹82 |
| Reliance Power Share Price Target 2026 | ₹65 to ₹105 |
| Reliance Power Share Price Target 2027 | ₹77 to ₹137 |
| Reliance Power Share Price Target 2028 | ₹92 to ₹170 |
| Reliance Power Share Price Target 2029 | ₹110 to ₹205 |
| Reliance Power Share Price Target 2030 | ₹150 to ₹220 |
| Reliance Power Share Price Target 2035 | ₹350 to ₹650 |
| Reliance Power Share Price Target 2040 | ₹750 to ₹1050 |
| Reliance Power Share Price Target 2050 | ₹3000 to ₹5000 |
Reliance Power Latest Earnings
In Q3 2025, Reliance Power reported a profit of Rs 41.95 crore against a loss of Rs 1136.75 crore in Q3 of the previous financial year. Total income rose to Rs 2,159.44 crore in Q3 2025 from Rs 1,998.79 crore in Q3 2024. Expenses fell to Rs 2,109.56 crore in the last quarter, compared to Rs 3,167.49 crore in the third quarter of the previous fiscal year.
Conclusion
Reliance Power’s future looks promising due to India’s growing energy demands. Reliance Power stands to benefit from favourable government policies and rising interest in renewable energy projects. While market conditions and share prices can fluctuate, R Power can be a good bet for long term investments.
Disclaimer
This article is for educational purposes only. It is not a stock recommendation and should not be treated as such. Please ask your financial advisor before making any investment decision.
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