Tata Power shares slide 6%: Q4 FY26, targets, dividend

What happened to Tata Power stock today

Tata Power shares fell more than 6% in intraday trade after the company reported March quarter (Q4 FY26) numbers and brokerages published mixed views. The stock hit an intraday low around ₹390.80-₹390.95 versus the previous close of ₹418.40, implying a decline of about 6.5%-6.6%. It later recovered part of the move, trading around ₹406.35 (down 2.88%) near 10:55 am in one update, while another update had it around ₹398 (down 4.9%) at 10 am. The selling also extended a short losing streak mentioned in the provided text. The fall marked the fifth consecutive session of declines, with the stock down more than 11% over that stretch. Over the same period, the Nifty 50 was cited as down around 4%.

Intraday snapshot and broader market context

Tata Power opened sharply lower, with one report noting the stock opened down 6.5% near ₹391. The day’s trading range was reported as roughly ₹390.80 to ₹407.40. Around 6.5 million shares reportedly changed hands in the first 45 minutes of trade, pointing to heavy early activity. In the same time window, the NSE Nifty was down 0.3% in one update. Tata Power was also described as the top loser on the Nifty Next 50 index, while that index slipped 0.25%. The 52-week range cited in the text was about ₹342.50-₹464.90.

Q4 FY26 earnings: the key numbers investors are reacting to

Across the provided sources, the clearest common factor was a sharp year-on-year decline in revenue. Revenue from operations was reported at about ₹14,900 crore for Q4 FY26, down 13% year-on-year from roughly ₹17,096 crore. EBITDA was reported up 10% year-on-year to ₹4,216 crore, suggesting margins held up better than topline growth.

Net profit numbers, however, were reported differently across the included excerpts. One section said consolidated net profit was ₹996 crore in Q4 FY26, down 4% from ₹1,043 crore a year ago. Another section said consolidated net profit rose to ₹1,415.52 crore, up over 8% year-on-year, from ₹1,306.09 crore. The provided text also said profit after tax was below market estimates in one brokerage view, and that in another view the quarter was weak with EBITDA about 13% below estimates and PAT influenced by a “positive regulatory deferral balance.”

Why the market sold off despite EBITDA growth

Multiple triggers were cited for the sell-off even as EBITDA increased. One report highlighted that profit after tax missed expectations due to weaker renewable energy generation and lower contribution from joint ventures. Another report pointed to operating performance being weaker than expected, alongside the stock’s valuation becoming a focal point after results. The Economic Times was cited as highlighting concerns around the quarterly performance even as renewable energy and solar manufacturing businesses continued to grow.

A separate excerpt linked the quarter’s dip to a temporary shutdown at the Mundra Ultra Mega Power Plant. That excerpt added that the Mundra plant resumed operations from April 1, 2026 after a new power purchase agreement. The same portion also said the solar manufacturing segment showed strong growth.

Brokerage calls: Goldman Sachs vs Motilal Oswal and JM Financial

The broker split in the provided text was sharp. Goldman Sachs maintained a “Sell” rating with a target price of ₹300, implying about 28% downside from current levels as described. The brokerage reportedly said Q4 profit after tax was 13% below its estimates and flagged concerns around renewable energy execution, transmission constraints, and curtailments in renewable power generation. Goldman also reportedly argued that the current valuation already reflects much of the future optimism around renewables.

On the other side, Motilal Oswal Financial Services retained a “Buy” rating with a target price of ₹490. JM Financial also maintained a “Buy” call with a target of ₹485, and one excerpt noted its SOTP-based target was revised to ₹485 from ₹429 earlier. Another excerpt said the target price of ₹490 implied an upside of 22% from the then current market price.

Dividend: what Tata Power’s board recommended

The board recommended a final dividend of ₹2.50 per share for FY26, subject to shareholder approval. The approval is scheduled to be sought at the company’s 107th Annual General Meeting on July 7, 2026. Separately, a transcript segment included in the provided text mentioned June 23 as a record date, though the board/AGM detail was the clearer formal step cited.

Full-year FY26 context and renewables performance

While the market reaction focused on the quarter, the provided text also carried full-year figures. Tata Power was said to have delivered a record full-year consolidated PAT of ₹5,118 crore, up 7%. FY26 EBITDA was reported at ₹16,090 crore, up 11%, and annual revenue at ₹63,681 crore. The renewables business, before exceptional items, was said to have posted PAT of ₹1,994 crore, up 59% year-on-year. These numbers were presented as evidence of longer-term momentum even if the quarter was volatile.

Key data table

Market impact for investors watching Tata Power

The immediate impact was a sharp repricing, with the stock down more than 6% at the session low and underperforming the benchmark indices mentioned. The move also reinforced how quickly “miss vs estimates” narratives can override headline growth in EBITDA, particularly when valuation concerns are raised by global brokerages. The mixed reporting and commentary around profit and operating performance in the provided text also shows why investors tend to focus on management explanations, segment drivers, and one-off items such as regulatory balances.

At the same time, the numbers cited for FY26 and renewables profitability indicate why the stock continues to attract Buy ratings. Investors tracking the stock are likely to focus on operational stability (including plant availability such as Mundra), the pace of renewable project execution, and whether transmission constraints and curtailments ease, as flagged by Goldman Sachs.

Conclusion

Tata Power’s more-than-6% intraday fall followed Q4 FY26 numbers, a 13% revenue decline, and divergent brokerage views ranging from Goldman Sachs’ Sell to Buy calls from Motilal Oswal and JM Financial. The next formal milestone in the provided text is shareholder consideration of the ₹2.50 final dividend at the July 7, 2026 AGM.