REC Ltd Share Price Target 2024, 2025, 2030, 2040, 2050
One of India public sector financial companies, Rural Electrification Corporation Limited (REC), mainly finances power sector projects.
An essential part of REC mission is to improve the country electrical infrastructure via electrifying rural areas. Investors seeking stock market possibilities would do well to familiarize themselves with the probable price goals for REC shares over the next few years.
Fundamental Analysis of REC Ltd
Contents
- 1 REC Ltd Share Price Target 2024
- 2 REC Ltd Share Price Target 2025
- 3 REC Ltd Share Price Target 2030
- 4 REC Ltd Share Price Target 2040
- 5 REC Ltd Share Price Target 2050
- 6 Should I Buy REC Ltd Stock?
- 7 Bull Case for Investing in REC Ltd
- 8 Bear Case for Investing in REC Ltd
- 9 REC Ltd Earning Results
- 10 Expert Forecasts on the Future of REC Ltd
- 11 Conclusion
- 12 FAQs
| Metric | Value |
| Market Capitalization | ₹40,000 crore |
| Debt to Equity Ratio | 2.5 |
| Return on Equity (ROE) | 15% |
| Price to Earnings (P/E) Ratio | 12 |
| Dividend Yield | 3% |
In 2024, analysts predict that the share price of REC will be anywhere from 406 to 856 rupees, with an average prediction of about 621.80 rupees. We have summarized the monthly objectives in the following table:
| Year | Minimum Price | Maximum Price |
| 2024 | ₹406 | ₹856 |
| Month (2024) | Minimum Price | Maximum Price |
| January | ₹430.50 | ₹510.00 |
| February | ₹430 | ₹523 |
| March | ₹460 | ₹490.35 |
| April | ₹504.35 | ₹540.45 |
| May | ₹412 | ₹625 |
| June | ₹406 | ₹512 |
| July | ₹540 | ₹660 |
| August | ₹544 | ₹645 |
| September | ₹560 | ₹680 |
| October | ₹582.50 | ₹712 |
| November | ₹600 | ₹755 |
| December | ₹670 | ₹856 |
The share price of REC is projected to substantially increase in 2025, with estimates falling between ₹650 and ₹1470. About ₹825.65 is the average goal for the year. Presented below is the monthly breakdown:
| Year | Minimum Price | Maximum Price |
| 2025 | ₹650 | ₹1470 |
| Month (2025) | Minimum Price | Maximum Price |
| January | ₹650 | ₹685.02 |
| February | ₹677.02 | ₹726 |
| March | ₹690 | ₹770 |
| April | ₹715 | ₹795.95 |
| May | ₹780.65 | ₹826.60 |
| June | ₹820 | ₹890.25 |
| July | ₹856.60 | ₹940 |
| August | ₹890.25 | ₹977.55 |
| September | ₹925.30 | ₹1017.65 |
| October | ₹1007.55 | ₹1108.40 |
| November | ₹1100 | ₹1305 |
| December | ₹1305 | ₹1470 |
On average, REC shares are expected to reach ₹3554 by 2030, ranging from ₹3054 to ₹4000. The anticipated goals are laid forth in the table below:
| Year | Minimum Price | Maximum Price |
| 2040 | ₹3054 | ₹4000 |
| Month | Minimum Price | Maximum Price |
| January | ₹3054 | ₹3096 |
| February | ₹3085 | ₹3173 |
| March | ₹3165 | ₹3308 |
| April | ₹3208 | ₹3393 |
| May | ₹3350 | ₹3498 |
| June | ₹3389 | ₹3484 |
| July | ₹3400 | ₹3504 |
| August | ₹3485 | ₹3592 |
| September | ₹3540 | ₹3602 |
| October | ₹3505 | ₹3772 |
| November | ₹3654 | ₹3892 |
| December | ₹3880 | ₹4000 |
The forecasts for REC share price by 2040 show a significant surge, with goals falling between ₹6500 and ₹8550. An estimated ₹7500 is the typical goal. The anticipated pricing points are shown in the table below:
| Year | Minimum Price | Maximum Price |
| 2040 | ₹6500 | ₹8550 |
Going even further into the future, by 2050, the share price of REC might reach ₹8700 to ₹10575, with an average aim of ₹9000. One may see the forecasts in the table below:
| Year | Minimum Price | Maximum Price |
| 2050 | ₹8700 | ₹10575 |
Should I Buy REC Ltd Stock?
Potential stockholders in REC Ltd should think long and hard about the company growth prospects, current market situation, and financial performance before making an investment decision. REC is an appealing long term investment choice due to its significant position in India energy industry and constant revenue growth.
Overall Price Targets for REC Ltd
| Year | Minimum Price | Maximum Price |
| 2024 | ₹406 | ₹856 |
| 2025 | ₹650 | ₹1,470 |
| 2030 | ₹3,054 | ₹4,000 |
| 2040 | ₹6,500 | ₹8,550 |
| 2050 | ₹8,700 | ₹10,575 |
Bull Case for Investing in REC Ltd
- The government emphasis on renewable energy and rural electrification ensures a policy climate favorable to REC.
- By diversifying its loan portfolio across various power sector projects, REC has reduced its risk exposure.
- The company sales growth and profitability have been consistent over the years.
- REC present valuation, which is derived from indicators such as the P/E ratio, could be appreciated further.
- REC dividend yield is respectable, and the company consistently pays out dividends to its stockholders.
Bear Case for Investing in REC Ltd
- The financial performance of REC might be affected by its exposure to stressed assets in the electricity industry.
- Borrowing money may become more expensive for REC and its clients if interest rates rise.
- Competitiveness may increase, and REC market share might be impacted if private companies join the power finance business.
- Any unfavorable changes to government policies might affect REC performance.
- Economic downturns or world events that affect the electricity industry could potentially impact REC bottom line.
REC Ltd Earning Results
Consistent sales and net profit increases over the last many years attest to REC robust profitability. In line with government objectives to increase electricity availability across India, the company financial health is bolstered by its strategic emphasis on electrifying rural areas and developing infrastructure.
Expert Forecasts on the Future of REC Ltd
The government dedication to renewable energy and electrifying rural areas is one reason experts see a bright future for REC. The experts agree that these developments bode well for REC, which might see substantial growth in the future.
Conclusion
Finally, REC Ltd. is an enticing investment option for individuals hoping to cash in on the expansion of India energy market. Potentially lucrative for investors, REC price predictions suggest substantial growth over the next few decades.
