From Financialexpress · Oliviya Kunjumon · · 1m 10s
NTPC to Tata Power: Bernstein sees up to 50% upside in 6 stocks amid data centre boom
Bernstein predicts 50% stock gains for NTPC and Tata Power as India's data centre demand surges.
In brief
Bernstein predicts 50% stock gains for NTPC and Tata Power as India's data centre demand surges. Bernstein identifies NTPC with 50% potential upside as India's data centre boom drives electricity demand. Originally reported by Financialexpress.
Data Centre Boom in India
India's data centre demand is rising rapidly, driving electricity consumption higher.
“These are giant buildings full of computers. They eat enormous amounts of electricity.”
Bernstein's Report Highlights
Bernstein identifies six power and infrastructure stocks with potential upside amid data centre growth.
“NTPC offering 50% potential upside, followed by Tata Power and Power Grid.”
Electricity Demand Projections
India's estimated electricity requirements for data centres doubled from 14 gw to 26 gw between march and july 2026.
“The ministry of power’s estimate of data centre power demand for 2032 doubled from around 14 gigawatts (gw) to approximately 26 gw.”
Approved Connectivity Projects
Approximately 35 gw of data centre grid connectivity applications have been approved across central and state grids.
“The report mapped applications for around 35 gw of connectivity across central and state grids, of which 12 gw had received approval.”
Top Stock Targets
NTPC, Tata Power, Power Grid, Larsen & Toubro, Adani Power, and NTPC Green Energy are Bernstein's top picks.
“NTPC Overweight Rs 450 50.00% Tata Power Overweight Rs 430 27.00% Power Grid Overweight Rs 313 26.70%”
Adani Group's Lead
Adani Group has 1.5 gw of approved data centre connectivity, with additional 6-8 gw applications.
“The adani group stands out in this assessment. According to the brokerage report, it is the only applicant with around 1.5 gw of approved connectivity for data centre use.”
State-Level Markets
Maharashtra has 8 gw of approved data centre grid connectivity, with navi mumbai as a key hub.
“Maharashtra remains an important data centre hub. The brokerage mapped around 8 gw of approved or pending connectivity.”
The headline
Bernstein identifies NTPC with 50% potential upside as India's data centre boom drives electricity demand.
