Should I buy CG Power stock in 2025? Complete Analysis for Indian Investors

What is CG Power?

How much is CG Power stock?

The price of CG Power stock is rising this week. CG Power is currently trading at ₹696.65, showing a marginal 24-hour gain of +₹0.20 (+0.03%) and a robust 1-week increase of 7.87%.

As valuations remain high and market movement active, investors should watch for potential price swings as well as ongoing growth opportunities.

Our full analysis on CG Power stock

Having rigorously reviewed CG Power and Industrial Solutions Ltd’s latest financials alongside its impressive multi-year stock performance, our analysis leverages proprietary algorithms synthesizing not only financial metrics but also technical indicators, market positioning, and competitive intelligence. In an environment marked by rapid transformation across India’s industrial and infrastructure sectors, CG Power demonstrates a compelling combination of growth, profitability, and corporate strength. So, why might CG Power stock once again become a strategic entry point into the electrical engineering and industrial solutions arena in 2025?

Recent Performance and Market Context

CG Power has delivered stellar returns, registering a 305.62% gain over three years and maintaining its upward trajectory with an 8.34% increase over the past twelve months, despite short-term volatility. The current share price, at ₹696.65 (as of May 19, 2025), positions the stock comfortably within its 52-week range of ₹517.70 to ₹874.70 and reflects renewed investor interest following robust Q4 FY25 results.

Notably, the company reported a 26.09% year-on-year revenue surge in the most recent quarter, alongside a 16.42% jump in net profits. These figures are driven by high-value contracts such as the ₹450 crore Vande Bharat train order and an aggressive export push, with strong demand emerging from Southeast Asia, the Middle East, and Africa. This performance is underpinned by a buoyant macroeconomic environment: government-backed infrastructure investments, ongoing electrification initiatives, and a favorable policy backdrop continue to drive structural demand for electrical equipment and integrated engineering solutions across India.

Technical Analysis

From a technical perspective, CG Power reveals a distinctly bullish undertone. All major simple moving averages—from 5-day (₹669.12) to 200-day (₹685.95)—are sloping upward, underscoring a persistent positive trend across short-, medium-, and long-term horizons. The Moving Average Convergence Divergence (MACD) indicator is positive at 7.25, a further sign of strengthening momentum.

While the Relative Strength Index (RSI-14) stands at 67.66, nearing the overbought threshold, it remains in neutral territory—suggesting there is scope for additional upside before entering overheated conditions. Stochastic oscillators (86.64) and Stochastic RSI (100.00) may point to some short-term consolidation, but such signals have historically preceded further bullish moves in a structurally strong trend. Key support zones (₹680.40, ₹664.35, ₹652.70) provide a solid technical foundation, while resistance at ₹708.10, ₹719.75, and ₹735.80 offers clear markers for future breakouts. The low ADX (15.68) hints that the current move could be at an early stage of trend development—often favorable for investors seeking early entries.

Fundamental Analysis

CG Power’s underlying financials are a testament to its operational excellence and aggressive expansion model. In FY25, total revenues reached ₹9,909 crore (up 23% YoY), while net profit soared to ₹973 crore, reflecting both volume growth and margin improvement. The EBITDA for Q4 FY25 stood at ₹392 crore with a healthy 14.24% margin—a level that demonstrates strong cost controls and pricing power.

The debt-free capital structure (debt-to-equity ratio: 0.00) offers financial flexibility to pursue strategic acquisitions, like the recent $36 million Renesas Electronics deal, and invest in product innovation. A stellar Return on Equity (25.44%) and an industry-leading ROCE (36.95%) signal remarkable efficiency and capital discipline. Although the Price-to-Earnings (P/E) ratio is elevated at 109.30—well above historical and sector averages—this premium appears justified when considering the company’s robust growth, expanding order book (₹10,631 crore, up 66% YoY), and strong execution pipeline. CG Power’s market brand, innovative capacity, and leadership in core segments such as industrial systems and power systems set it apart amidst mounting competition.

Volume and Liquidity

With a robust average daily volume of 1.97 million shares, CG Power enjoys deep liquidity—an important marker of institutional confidence and investor participation. The shareholding structure further reinforces this view: 58.06% promoter holding, significant institutional interest (FII: 12.97%, DII: 13.59%), and a reasonably balanced float. Such dynamics enable both entry and exit flexibility without excessive price impact, fostering an environment conducive to dynamic valuation re-ratings.

Catalysts and Positive Outlook

Several powerful catalysts underscore CG Power’s position at the heart of structural sector growth:

• Record Order Intake: The FY25 order intake of ₹14,684 crore (+40% YoY) and an unexecuted backlog of ₹10,631 crore (+66% YoY) guarantee revenue visibility well into FY26 and beyond.
• Strategic Expansion: The planned acquisition of Renesas Electronics and the major Vande Bharat order expand the company’s technological reach and sector footprint.
• Export Growth: Penetration of international markets continues to accelerate, cushioning against domestic cyclical swings.
• Government Policy Tailwinds: Initiatives such as ‘Make in India’ and heavy investments in electrification and digital infrastructure catalyze further demand for CG Power’s solutions.
• Product Innovation: Sustained R&D outlay ensures a steady pipeline of smart, energy-efficient products and solutions geared for both legacy and greenfield projects.
• ESG Momentum: Strong governance and an increasing focus on sustainable manufacturing align CG Power with ESG-focused capital allocators.

Investment Strategies

The current market setup offers multiple entry strategies for investors with varying horizons:

• Short-Term: Recent consolidation near strong technical support levels (₹680–₹685) could provide attractive entry points for those seeking momentum trades, especially with the stock positioned to challenge near-term resistance at ₹708–₹735.
• Medium-Term: Anticipated order execution, coupled with potential news on acquisition integration and export deal announcements, may act as catalysts for the next leg up. Investors may find the current price band ideal ahead of further news flow.
• Long-Term: The stock’s exceptional 3-year (305.62%) and 5-year (11,510.83%) returns, strong brand, industry tailwinds, and financial resilience suggest continued outperformance as India’s infrastructure, railways, and industrial sectors modernize and expand. CG Power’s sustained capital discipline and robust balance sheet reinforce its standing as a foundation holding in the industrial tech basket.

Is it the Right Time to Buy CG Power?

Synthesizing all available data, CG Power and Industrial Solutions Ltd emerges as an enterprise with demonstrated growth, operational excellence, and sector leadership—supported by deep order books, margin expansion, and a debt-free structure. The current technical setup, underpinned by sustained volume and positive institutional flows, suggests that the stock may be entering a new bullish phase, with near-term catalysts lined up in the form of order wins and strategic integration.

While valuations remain elevated, they appear well supported by future earnings potential and sector-wide growth drivers. This results in a favorable risk-reward profile—particularly for investors with a growth orientation and a medium-to-long-term outlook. The fundamentals, competitive strengths, and pending catalysts justify renewed interest, and the present consolidation phase seems to represent an excellent opportunity to accumulate exposure before the next major leg up.

For those seeking participation in India’s infrastructure renaissance and industrial modernization, CG Power offers a compelling strategic entry point—one that is underpinned by historic returns, a future-ready business model, and a suite of bullish catalysts on the horizon. For investors ready to look ahead to 2025 and beyond, few stocks in the industrial technology sector seem as ideally positioned as CG Power.

How to buy CG Power stock in India?

Buying CG Power stock online is a straightforward and secure process when you use a SEBI-regulated broker. Indian retail investors can choose between two main approaches: buying actual shares ("spot buying," where you own the stock outright) or trading Contracts for Difference (CFDs), which allow you to speculate on price movements without owning the underlying shares. Both methods can be accessed entirely online, offering real-time execution and robust investor protections. Further down this page, you’ll find a broker comparison to help you select the platform best suited to your needs.

Spot Buying (Cash Purchase)

When you purchase CG Power stock via the “cash” (spot) method, you are buying real shares listed on the National Stock Exchange of India (NSE), and you become a direct shareholder. The main fees involved are typically a fixed commission per order plus standard regulatory charges—these vary by broker, but a common brokerage fee is around ₹400 (approx. $5).

Important information

Example: Suppose the current CG Power share price is around ₹696.65 (about $8.35 as of May 2025). With a $1,000 investment (approximately ₹83,600), after factoring in a brokerage fee of roughly $5, you could buy about 119 shares of CG Power on the Indian stock market.
✔️ Gain scenario: If the CG Power share price increases by 10%, your investment would be worth $1,100.
Result: That’s a gross gain of $100, or +10% return on your initial investment.

Trading via CFD

CFD trading on CG Power shares allows you to speculate on price movements using leverage, without owning the underlying shares. You enter into a contract with your broker to exchange the difference in the price from when you open to when you close your position. CFD fees typically include the spread (the difference between buy and sell prices) and overnight financing if you hold the position beyond a trading day.

Important information

Example: Imagine you open a CFD on CG Power with a $1,000 margin and 5x leverage, giving you a market exposure of $5,000.
✔️ Gain scenario: If CG Power shares rise by 8%, your position would gain 8% × 5 = 40%.
Result: That’s a $400 gain on your $1,000 stake (excluding spreads and overnight fees).

Final Advice

Before investing, it’s essential to compare brokers’ fees, trading conditions, and regulatory protections to ensure you’re selecting the right platform for your risk profile and goals. Whether you opt for cash buying (for direct ownership) or CFDs (for leveraged trading), your choice should reflect your investment objectives and risk appetite. To help you start confidently, a comparison of top brokers is provided further down this page.

Our 7 tips for buying CG Power stock

The latest news about CG Power

CG Power delivered robust Q4 FY25 results with revenue up 26% and net profit rising 16.4% year-on-year. This strong operational performance underscores the company's ability to capitalize on India's infrastructure momentum, demonstrating notable scalability across both its Industrial and Power Systems segments. The continued revenue growth, improved profitability, and healthy EBITDA margin of 14.24% point to effective cost control and execution, factors that continue to bolster investor confidence and support the company’s premium market valuation.

The company’s order book surged by 40% year-on-year, reaching ₹14,684 crore, with a 66% increase in backlog. Such significant growth in unexecuted orders as of March 31, 2025, signals accelerating demand for CG Power’s products, driven by sustained infrastructure spending and its strong position in the electrical equipment sector. The healthy pipeline not only provides future revenue visibility but also underpins the company’s ability to maintain its current growth trajectory, a critical factor for market participants assessing long-term value.

Recent acquisition approval of the Renesas Electronics business marks a strategic expansion initiative for CG Power. The $36 million deal, greenlit in the past week, aligns with the company’s focus on technological advancement and product portfolio diversification. This move is poised to strengthen its market reach and capabilities, supporting innovation-led growth and enhancing competitiveness in both domestic and export markets—factors often viewed favorably by institutional investors.

CG Power secured a ₹450 crore order for Vande Bharat train components, reinforcing its leadership in India’s railway electrification drive. This major win not only consolidates its relationship with the Indian Railways but also reflects CG Power’s expertise and reliability in the high-growth transportation infrastructure sector. Such contracts support both near-term revenue and longer-term positioning within strategic national projects, which continue to attract government and institutional interest.

Technical analysis over the last week indicates a bullish momentum, with key short-term and long-term moving averages trending upwards. All major simple moving averages (5-day to 200-day) are positive, the MACD remains bullish, and the stock has delivered a 7.87% return in the past week alone. This technical environment is complemented by strong analyst sentiment, where 70% of experts maintain a “Buy” recommendation backed by fundamentals such as a debt-free balance sheet, double-digit ROE and ROCE, and consistent order inflow.

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P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.