Buy CESC; target of Rs 204 : ICICI Securities

ICICI Securities research report on CESC

We attended the RP-Sanjiv Goenka Group Investor Day 2025 this week where CESC unveiled its ‘Growth Vision 2030’. At the crux, it seeks to double profits by FY30 via the levers of Distribution Company (DISCOM) capex, RE generation and solar manufacturing. In order to achieve this, management has outlined an INR 320bn capex plan; within which, INR 230bn shall be earmarked for RE generation capacity, INR 60bn for distribution assets and INR 30bn for solar manufacturing over the next five years. Apart from building its businesses, CESC aims to win DISCOM bids. UP plans to privatise its DISCOMs due to AT&C losses of >30%. The DISCOMs have 17.5mn customers with consumption of ~65BU. Five major bids at UP are expected in the medium term. Retain BUY and TP of INR 204.

Outlook

We reiterate BUY with an SoTP-based TP of INR 204.

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CESC - 09092025 - icici