4 HVDC Stocks to Watch as India's Silent Power Transmission Megatrend Gains Momentum

#2 GE Vernova T&D India

Coming second on the list is GE Vernova T&D India, the listed arm of GE Vernova's Electrification and Grid Solutions business in India, possessing over a century of presence in the country.

The company is primarily engaged in building power transmission and distribution infrastructure, offering a comprehensive suite of solutions that facilitate the seamless connection and evacuation of power from various generation sources onto the national and regional grids.

It delivers turnkey solutions for substation engineering and construction, High Voltage DC (HVDC) systems, Flexible AC Transmission Systems (FACTS), power electronics, and maintenance support.

The company provides advanced digital software solutions and smart grid automation systems for modernising the grid and integrating intermittent renewable energy sources.

It also provides critical grid automation and software, such as their GridOS platform and Asset Performance Management (APM) solutions, to regional load dispatch centres, enabling real-time monitoring, predictive maintenance, and cyber-security.

Coming to its financial performance, the company has delivered a top-line growth of 12% CAGR over 3 years and a net profit CAGR of 81%.

The last 3-year ROE has been 21%.

The company's order backlog reached a record Rs 143.8 bn as of December 2025. It has become debt-free with strong cash generation, with Rs 15.9 bn in cash and equivalents as of 31 December 2025.

Looking ahead, with an order backlog of Rs 143.8 bn (which represents about 2.5-3 years of revenue execution), management anticipates strong continued revenue growth.

About 70-75% of revenue is targeted to come from products, while projects make up the remaining 25-30%, a strategy explicitly chosen to reduce risk and enhance margins.

The management has indicated an endeavour to sustain EBITDA margins in the "mid-20s" range, shifting their focus toward growing absolute EBITDA.

They target maintaining exports at roughly 30-35% of the total revenue and order backlog, given that export orders generally command better pricing and margins.

The company is investing Rs 1.4 bn to expand its existing facility in Chennai for HVDC Thyristor and VSC Valves, and to build a new HVDC Controls facility in Noida.

For more details, check out GE Vernova T&D India's financial factsheet.

#3 BHEL

At number three comes Bharat Heavy Electricals Limited (BHEL), India's largest engineering and manufacturing enterprise, established in 1964 to serve the core sectors of the economy.

BHEL manufactures steam generators, steam turbines, gas turbines, boilers, and emission control equipment (like Flue Gas Desulphurization systems). It commands over a 50% market share in India's installed thermal generation capacity.

It's the sole Indian manufacturer of nuclear steam turbines and generators, and it holds the distinction of being the only Indian company associated with all three stages of the nation's Nuclear Power Programme.

It also operates in Defence & Aerospace, Rail Transportation and Oil & Gas and Industrial Products etc.

Coming to its financial performance, the company has delivered a top-line growth of 10% CAGR over a 3-year period and a net profit CAGR of 6%.

The last 3-year ROE has been 2%.

BHEL's gross margins have been declining over the past seven years due to elevated commodity prices and legacy fixed-price contracts.

Management confirmed this declining trajectory is going to turn around. As legacy orders are completed over the next 1-2 years and newer, better-priced contracts (which account for updated commodity rates) begin major execution phases, both EBITDA and gross margins are expected to improve.

The company expects strong ordering momentum to continue, estimating an annual thermal capacity ordering of 10-12 GW over the next few years.

BHEL is actively executing massive diversification orders, including manufacturing 80 Vande Bharat trainsets (revenue recognition to start around June 2025) and fulfilling major nuclear orders (fleet mode procurement for 700 MWe PHWRs).

The massive influx of orders has fundamentally altered the company's revenue visibility. The book-to-bill ratio improved from 3.9x in FY23 to 6.9x in FY25, and further to a robust 7.8x in 9MFY26.

For more information, check out BHEL's financial factsheet.

#4 Siemens Energy India

Fourth on the list is Siemens Energy India, a pure-play energy technology company that provides a comprehensive portfolio of products, solutions, and services across the entire energy value chain, focusing specifically on power generation, power transmission, storage, industrial electrification, and decarbonisation.

Furthermore, Siemens Energy India delivers extensive lifecycle services, modernisation, and digitalisation solutions, serving a diverse range of sectors that include utilities, oil and gas, cement, steel, marine, and emerging industries like data centres.

For HVDC expansion specifically, the company is very well positioned to capture upcoming opportunities, anticipating 1-2 new HVDC projects per year.

Siemens Energy focuses heavily on Voltage Source Converter (VSC) HVDC technology, which is superior for renewable integration due to built-in intelligence and grid-stabilising capabilities.

Over time, management expects the Indian market to migrate from older LCC technology to this VSC technology, where the company holds a significant global edge.

The broader energy transition also drives demand for the company's offerings in thermal plant modernisation (allowing existing plants to ramp up/down quickly alongside intermittent renewables), grid stabilisation devices like STATCOMs and Synchronous Condensers (SYNCONs), and industrial decarbonisation solutions like waste heat recovery and green hydrogen.

The company closed FY25 with a record order backlog of Rs 162 bn, and management has indicated that current gross margins are sustainable.

As volumes scale to execute the massive order backlog, the company expects operating leverage to kick in, meaning employee and operational expenses will naturally become a smaller proportion of overall revenues, further aided by digitalisation initiatives.

To capture growing domestic and export demand, the company announced a major Rs 7,400 m capital expenditure to expand manufacturing capacities.

This includes expanding power transformer capacity in Kalwa (expected to be ready by late 2026 or early 2027) and breaking ground for a switchgear expansion in Chhatrapati Sambhajinagar.

Management is also monitoring regulatory changes that might open up the Indian nuclear sector, where they could supply large steam turbines.

For more information, check out Siemens Energy India's financial factsheet.

Conclusion

What makes this theme interesting is not just the scale, but where it sits in the value chain. HVDC is not a "nice to have" layer; it's the constraint. Without it, renewable ambitions remain numbers on paper.

The numbers already hint at this shift: order books at record highs, margins stabilising or improving, and capex cycles kicking in across the board.

But more importantly, visibility has improved.

Of course, execution will matter. Large infra themes often look clean on paper but get messy in reality-delays, cost overruns, working capital stretch.

While the opportunity is real, so is the need to track how these companies convert order books into cash flows.

Investors should conduct thorough research on financials and corporate governance before making any investment decisions, ensuring they align with your financial goals and risk tolerance.

Happy investing.

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