Waaree Energies IPO Day 3: GMP, subscription status, review, other details. Should you apply?

Waaree Energies IPO: The Waaree Energies IPO has had a successful two-day bidding period, with strong participation from non-institutional investors and subsequently from retail investors.

Market experts are showing a preference for subscribing to the Waaree Energies IPO compared to the Deepak Builders & Engineers India IPO and Godavari Biorefineries IPO, which are not garnering as much enthusiasm among experts.

Subscription for the initial public offering (IPO) of Waaree Energies Limited began on 21st October 2024 and will remain open for bidders until 23rd October 2024. The solar PV module maker company has fixed Waaree Energies IPO price band at ₹1427 to ₹1503 per equity share. The company aims to raise ₹4,321.44 crore, out of which ₹3.600 crore is aimed through the issuance of fresh shares. As per the Waaree Energies IPO subscription status, the public issue received a decent response from the Indian primary market investors. Meanwhile, after the decent reaction by investors, the grey market has gone highly bullish on the Waaree Energies IPO. According to stock market observers, Waaree Energies' share price is trading at a premium of 100 per cent.

Waaree Energies IPO GMP today

According to market observers, Waaree Energies IPO GMP (Grey Market Premium) today is ₹1,375, which is 91.48% higher than the issue price of ₹1,503, according to investorgain.com experts. Grey market activity over the last ten sessions indicates that today's IPO GMP is moving upward and that a strong listing is anticipated. According to investorgain experts, the lowest GMP is ₹0 and the highest is ₹1,545.

Waaree Energies IPO subscription status

On Tuesday, the solar panel manufacturer Waaree Energies Ltd's initial public offering was oversubscribed by 8.81 times on the second day of the share sale. Non-institutional investors subscribed 24.38 times, while retail investors subscribed 6.39 times. Qualified Institutional Buyers (QIBs) subscribed 1.73 times and the employee segment was booked 3.11 times. 

According to BSE data, Waaree Energies IPO was subscribed 3.32 times on the first day. Retail investors subscribed 3.17 times, non-institutional investors subscribed 8.09 times, and QIBs were allotted 8% of the shares. The employee portion was booked 1.57 times. 

Waaree Energies IPO review

Assigning a 'subscribe' tag to the book build issue, Sagar Shetty, Research Analyst at StoxBox, said, "On the financial front, the company's operational revenue grew at an outstanding CAGR of 99.8% from FY22 to FY24. Profit after tax rose from Rs. 796.50 million in FY22 to Rs. 12,743.77 million in FY24, while return on equity (ROE) improved from 17.69% to 30.26%. The company's global expansion, competitive pricing, and strong order book ensure revenue stability, business continuity, and sustainable growth while optimising worldwide sourcing and supply chain costs. The company is valued at a PE ratio of 31.4x on the upper price band based on FY24 earnings, which is lower than its peers. Given its strong financial growth and substantial order book, the company is well-positioned to grow within the sector. Therefore, we recommend a "SUBSCRIBE" rating for medium to long-term investment."

Motilal Oswal has also assigned a 'subscribe' tag to the public issue, saying, "The IPO is reasonably priced at 26.9x Q1FY25 P/E (on a diluted basis). With Waaree Energies being a market leader in the solar module segment and positive factors like growing global demand for solar energy, strong government focus on the renewable sector, and impetus on the China Plus One Policy, the company is favourably positioned. Hence, I recommend 'SUBSCRIBE' on the issue. Given the current buoyant market and high interest for renewable energy-related stocks, the issue could catch investors' fancy and see listing gains."

Aditya Birla Securities, Canara Bank Securities, Choice Broking, Geojit Securities, Marwadi Shares and Finance, Monarch Networth Capital, Ventura Securities and Swastika Investmart have also assigned the public issue a 'subscribe' tag.

Waaree Energies IPO details

Waaree Energies IPO allotment date is most likely on 24th October 2024 and the most likely Waaree Energies IPO listing date is 28th October 2024.

Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.