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NHPCNSE:NHPC -0.23%77 5-Year Yield-on-Cost % is 2.93 as of Jul. 17, 2026, which is 42% below its 10-year median of 5.09. GuruFocus rates NSE:NHPC with a GF Score™ of 77/100 and a GF Value™ of ₹107.09 (Modestly Undervalued). The stock has 7 warning signs investors should review. Among 237 Utilities - Independent Power Producers companies, NHPC ranks worse than 56.96% on this metric.
NHPC's yield on cost for the quarter that ended in Mar. 2026 was 2.93.
The historical rank and industry rank for NHPC's 5-Year Yield-on-Cost % or its related term are showing as below:
NSE:NHPC'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 1.29 Med: 5.09 Max: 11.95
Current: 2.93
During the past 13 years, NHPC's highest Yield on Cost was 11.95. The lowest was 1.29. And the median was 5.09.
NSE:NHPC's 5-Year Yield-on-Cost % is ranked worse than 56.96% of 237
companies
in the Utilities - Independent Power Producers industry
Industry Median: 3.79
vs NSE:NHPC: 2.93
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
NHPC 5-Year Yield-on-Cost % Related Terms
NHPC 5-Year Yield-on-Cost % Competitor Comparison
For the Utilities - Renewable subindustry, NHPC's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
NHPC 5-Year Yield-on-Cost % vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, NHPC's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where NHPC's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
NHPC (NSE:NHPC) has a 5-Year Yield-on-Cost % of 2.93 as of Jul. 17, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on NHPC and its competitors. This is 42% below median its historical median of 5.09. Over the past decade, NHPC's 5-Year Yield-on-Cost % has ranged from 1.29 to 11.95. According to the industry distribution chart, NHPC ranks #135 out of 237 companies in the Utilities - Independent Power Producers industry, placing it in the top 57%.
Is NHPC's 5-Year Yield-on-Cost % too high?
NHPC's current 5-Year Yield-on-Cost % of 2.93 is 42% below median its 10-year median of 5.09. Over the past 10 years, this metric has ranged from a low of 1.29 to a high of 11.95. The Utilities - Independent Power Producers industry median 5-Year Yield-on-Cost % is 3.79. NHPC's value of 2.93 is 22.7% below this industry median. Based on the distribution chart, NHPC ranks #135 out of 237 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, NHPC has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does NHPC's 5-Year Yield-on-Cost % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, NHPC ranks #135 out of 237 companies for 5-Year Yield-on-Cost %. This places NHPC in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 3.79. NHPC's value of 2.93 is 22.7% below this benchmark. Historically, NHPC's own 5-Year Yield-on-Cost % has ranged from 1.29 to 11.95 over the past decade. While the company's 10-year median is 5.09 vs. the industry median of 3.79, NHPC has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for an Utilities - Independent Power Producers company?
The median 5-Year Yield-on-Cost % among Utilities - Independent Power Producers companies is 3.79, based on 237 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NHPC's current 5-Year Yield-on-Cost % of 2.93 is 22.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on NHPC and its competitors. For the Utilities - Independent Power Producers industry, the median 5-Year Yield-on-Cost % is 3.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NHPC's current 5-Year Yield-on-Cost % is 2.93, which is 42% below median its own 10-year median of 5.09. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NHPC stock overvalued right now?
Based on GuruFocus' analysis, NHPC (NSE:NHPC) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹107.09, compared to a current price of ₹78.91 — trading 26.3% below its estimated fair value. The current 5-Year Yield-on-Cost % is 2.93, which is 42% below median its 10-year median of 5.09 and 22.7% below the Utilities - Independent Power Producers industry median of 3.79. NHPC's overall GF Score™ is 77/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For NHPC (NSE:NHPC), the current 5-Year Yield-on-Cost % is 2.93 as of Jul. 17, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is NHPC (NSE:NHPC) Overvalued in 2026?
Based on GuruFocus' analysis, NHPC stock appears to be undervalued.
The current stock price of ₹78.91 is trading 26.3% below its estimated GF Value™ of ₹107.09.
GuruFocus considers NHPC to be Modestly Undervalued.
Key valuation signals for NSE:NHPC:
5-Year Yield-on-Cost %: 2.93 (42% below median its 10-year median of 5.09)
GF Value™: ₹107.09 vs. price of ₹78.91 (26.3% below fair value)
Industry Position: 22.7% below the Utilities - Independent Power Producers median (#135 of 237)
No single metric tells the full story. See the NSE:NHPC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NHPC Ltd is an electric utility company, of which the Indian government owns the vast majority of shares. The company produces electricity through the operation of its portfolio of hydroelectric power plants located across India. Electricity generation (including income from embedded Finance/ Operating leases) is the principal business activity of the Company. NHPC generates a majority of its revenue from the sale of energy to state electricity boards, state energy departments, and their successor companies via long-term agreements. The company has made efforts to expand its electric production capacity with thermal, wind, and solar power generating facilities. NHPC operates its power development and secondary consulting businesses exclusively in India.
77GF Score
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