Reliance Power : Worth the bet?

Hello,

Good Morning and have a great Friday.

Here is my 2cents on Reliance Power. Without getting deep into fundamental or technical analysis, I decided to see it from a KISS perspective. The stock has been trading near 60s and it has not been a maket favorite due to the events post the IPO. Is it the time to be greedy when others are fearful? I feel so. I think RPower could be a potential multi-bagger from these levels. 

The usual disclaimer for any investment risks apply :)
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For those who are interested to buy some stocks in India, I find Reliance Power to be attractive from a long-term perspective. The IPO came at a price of Rs 450 in Jan 2008 to complete the 6 projects across the countries, the completion dates for which are from December 2009 to March 2014.  Due to no revenue generating projects, market conditions and the over priced IPO, the stock has corrected the last few years and it's currently around 60 levels. As we are getting closer to the project completion date, I would probably feel it's worth taking a risk at current levels and could be a potential multi-bagger. 

I feel at current levels,

1) The valuations are attractive considering the status of these power projects and expected improvements in revenue with the addition of new projects.

2) The stock is close to its all time lows

The risk-reward is in favour at the current prices if the projects are completed as scheduled.

Status of Power Projects (Source : Wikipedia)

Rosa Thermal Power Station

Electricity tansmission grid in eastern India.

UMPP (Ultra Mega Power Project)

• Krishanapatnam UMPP - 3960MW------------------Under Construction
• Sasan UMPP - 3960MW------------------Under Construction
• Tilaya UMPP - 3960MW

Other Thermal & Gas Based Power Project

• Samalkot Gas power plant - 2400MW------Under Construction
• Rosa power plant - 1200MW-------------Operational
• Goa power project -48MW--------------Operational
• Hisar Power project - 1200MW---------Operational (EPC)
• Dadri power plant - 8000MW------------------Shelved
• Chitrangi power project - 4000MW--------------Under Construction
• Butibori power project - 600MW--------------Under Construction

Renewable Energy Based Power Project

• Wind Power Projects - 40MW------------Operational
• Dhirubhai Ambani Solar Park - 40MW--------Operational
• Hydro Power Projects - 2500MW