The smart meter market is expected to grow from $219.7 million in 2023 to $3,179.5 million by 2032, reflecting a CAGR of 34.57 percent from 2024 to 2032. As of January 2024, around 8.6 million smart consumer meters have been installed, with 3.02 million added in FY24 alone.
As part of government initiatives, the Smart Meter National Program (SMNP) aims to replace 250 million conventional electricity meters with prepaid smart meters nationwide by 2025. This initiative aims to significantly improve the efficiency of energy management and reduce aggregate technical and commercial (AT&C) losses.
The program carries an estimated capital expenditure of Rs 1.5 lakh crores, with implementation planned over the next five fiscal years.
Following are a few smart meter stocks with a high Piotroski Score of up to 9:
Tata Power Company Limited
With a market capitalisation of Rs. 1.37 lakh crores and a Piotroski score of 7, the shares of one of India’s largest integrated power companies moved up by around 1.2 percent on BSE, to reach an intraday high of Rs. 437.65 on Monday.
Additionally, Tata Power has reported a Return on Equity (ROE) of 11.3 percent and a Return on Capital Employed (ROCE) of 11.1 percent.
In Q2 FY25, the company witnessed a marginal decline in its revenue from operations, reaching Rs. 15,698 crores, a year-on-year decrease of around 0.3 percent. In contrast, its net profit grew by nearly 7.5 percent to Rs. 1,093 crores, during the same period.
Over the last one year, the stock has delivered positive returns of about 68 percent, and has gained nearly 31 percent year-to-date.
Tata Power Company Limited is one of India’s largest integrated power companies with a presence across the power value chain viz. generation of renewable and conventional power including hydro and thermal energy; transmission, distribution and trading.
The company is significantly involved in the deployment and implementation of smart meters, which are advanced digital devices that enhance electricity consumption monitoring and management.
Techno Electric & Engineering Company Limited
With a market capitalisation of Rs. 18,358.5 crores and a Piotroski score of 7, the shares of India’s leading power infrastructure company moved up by around 1.2 percent on BSE, to reach an intraday high of Rs. 1,635.7 on Monday.
Additionally, Techno Electric has reported a Return on Equity (ROE) of 13.1 percent and a Return on Capital Employed (ROCE) of 16.5 percent.
In Q1 FY25, the company witnessed a significant growth in its revenue from operations, reaching Rs. 375 crores, a year-on-year increase of around 37 percent. This was accompanied by a net profit growth of nearly 292 percent to Rs. 98 crores, during the same period.
Over the last one year, the stock has delivered multibagger returns of about 162.7 percent, and has gained nearly 94 percent year-to-date.
Techno Electric & Engineering Company Limited, India’s leading power infrastructure company, provides engineering, procurement and construction (EPC) services to the three segments of power sector including generation, transmission and distribution.
The company is also engaged in the generation of wind power through Wind Turbine Generators in Tamil Nadu & Karnataka.
It is significantly involved in the smart metering sector, particularly through the acquisition of large-scale projects and the development of advanced metering infrastructure (AMI).
In April 2024, the company received an order worth Rs. 1,571 crores from REC Power Distribution Company Limited for the installation and operation of Smart Meters in Tripura, Ranchi and Indore on DBFOOT Basis.
Earlier in December 2023, Techno Electric secured contracts worth Rs. 1,750 crore related to smart metering and transmission projects. This included the implementation of AMI for nearly 7.27 lakh smart meters in Kashmir.
HPL Electric & Power Limited
With a market capitalisation of Rs. 3,259.7 crores and a Piotroski score of 9, the shares of a leading electrical equipment manufacturer in India moved up by nearly 0.6 percent on BSE, to reach an intraday high of Rs. 516.05 on Monday.
Additionally, HPL Electric & Power has reported a Return on Equity (ROE) of 5.45 percent and a Return on Capital Employed (ROCE) of 11.1 percent.
In Q1 FY25, the company witnessed a significant growth in its revenue from operations, reaching Rs. 393 crores, a year-on-year increase of around 22.4 percent. This was accompanied by a net profit growth of nearly 143 percent to Rs. 17 crores, during the same period.
Over the last one year, the stock has delivered multibagger returns of about 142 percent, and has gained nearly 85.3 percent year-to-date.
HPL Electric & Power Limited is one of the leading manufacturers of electrical and power distribution equipments. Its products range from Industrial and domestic circuit protection switchgears, cables, Energy Saving Meters, LED lamps and luminaries, and modular switches covering the entire range of household, commercial and industrial electrical needs.
The company is a market leader in electric meters and on-load changeover switches, holding a 50 percent share in the domestic on-load changeover switch market, a 20 percent share in the domestic electric meter market, and a 5 percent share in the low-voltage switchgear market.
Recently on 12th September, HPL Electric received word orders worth 143.77 crores for the supply of smart meters & conventional meters.
India Power Corporation Limited
With a market capitalisation of Rs. 1,743 crores and a Piotroski score of 9, the shares of one of the leading power utilities in India moved up by about 2.3 percent on NSE, to reach an intraday high of Rs. 18.25 on Monday.
Additionally, IPCL has reported a Return on Equity (ROE) of 1.69 percent and a Return on Capital Employed (ROCE) of 4.36 percent.
In Q1 FY25, the company witnessed a decline in its revenue from operations, reaching Rs. 171.7 crores, a year-on-year marginal decrease of around 4 percent. In contrast, its net profit grew by nearly 10.8 percent to Rs. 3.1 crores, during the same period.
Over the last one year, the stock has delivered negative returns of about 32 percent, as well as nearly 8.4 percent returns year-to-date.
Established in 1919, India Power Corporation Limited (IPCL), formerly known as DPSC Limited, has built a diversified portfolio across India, encompassing power distribution, smart metering, digital transformation and both renewable and conventional power generation.
The company has installed more than 2.5 lakh smart meters in Madhya Pradesh and aims to secure contracts for 20 million smart metres over the next 5-7 years.
Written by Shivani Singh
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