FUNDAMENTAL ANALYSIS OF TATA POWER

Abstract

Researcher has conducted the analysis for long term and mid-term investments which is also known as delivery based investments or trading. The main aim of the study relies upon the evaluation and understanding the company before investing whether it is advisable to invest or not. In the analysis, researcher have looked at the prevailing economy, present industry specifics and firm performance to predict the future outcome of the company. After careful qualitative consideration of the same, he has assumed a growth rate for the company and projected its financial i.e. the P&L, Balance sheet and CFS. Analysis was conducted with the help of statements like P&L account, Balance sheet, and Cash flow statement and MD&A taken from Company’s Annual Report. Report focuses on Income based Valuation and Market Based based Valuation only. Only 3 years data was projected as the market is too volatile and projection for long term is not advisable. Learning: During the analysis, researcher learnt how to analyze the financial statements of the company and get useful insights, how to find out the intrinsic value of the firm and provide recommendation of company’ share whether to buy, hold or sell the company’s share.