Strong fundamental growth prospects help gain NTPC 8 per cent intraday high

The shares of NTPC Ltd gained more than 6 per cent on Monday and traded as the top gainer in thirty share benchmark index-Sensex. The gains were on the back of good quarterly numbers as well as due to the commencement of fly ash production in Uttar Pradesh plant during the first quarter of FY20.

The company reported that it has developed facilities at Rihand project in Uttar Pradesh. This infrastructure is aimed at the transport of fly ash in bulk to its leading user, cement plants. 

The fly ash has multiple applications in the cement industry, where the industry has seen a substantial usage of the same. During FY20, as per the data by the Ministry of Power, almost 44.33 million tonnes of fly ash was utilised for various productive purposes. This stands as 73.31 per cent of the total ash generated during the year. NTPC Group has a total installed capacity of 62.9 GW, 70 power stations comprising of 24 coal, 7 combined cycle gas/liquid fuel, 1 hydro, 13 renewables along with 25 subsidiary & JV power Stations. The group has over 20 GW of capacity under construction, including 5 GW of renewable energy projects.

The shares were trading at its intraday high of Rs 96.20 on BSE.