Multibagger stock: Waaree Renewable Technologies soars 5% on ₹990 crore order win

Waaree Renewable Technologies, the solar EPC arm of Waaree Group, saw its shares surge by 5% to ₹4,650 each in today's intraday trading. This increase followed the company securing a significant Letter of Award (LOA) for executing engineering, procurement, and construction (EPC) duties for a solar power plant of 980 MWp.

The contract, valued at ₹990.60 crore, was granted by one of India’s leading renewable energy firms. With this new order, the company's unexecuted order book now stands at 2.141 GW, as the per the company's exchange filing. 

Also Read: Paytm stock hits 5% upper circuit for 3rd straight day; 5 factors driving the rally

The company is primarily engaged in the business of renewable energy solutions, with a specific focus on solar power. The company operates as a solar engineering, procurement, and construction (EPC) company. It is also a solar developer that finances, constructs, owns, and operates solar projects.

Fueled by strong order wins, the company's shares have witnessed remarkable growth, soaring by 626% over the past year. Impressively, they have surged by 1164% and 13719% over the last two and three years, respectively. Reflecting on the past five years, the stock has delivered an astonishing return of 34345%.

Also Read: Citi replaces RIL with BPCL post Q3 earnings; a look at its model portfolio and earnings upgrades/downgrades

On the fundamental front, the company reported a 158% jump in its consolidated net profit to ₹64.46 in Q3 FY24 crore as compared to ₹24.98 crore for the same period last year. In the preceding September quarter, the company reported a PAT of ₹18.30 crore, which is an increase of 252.26%. 

Its revenue for Q3 FY24 stood at ₹324.19 crore, representing a growth of 338.78% YoY as compared to ₹73.88 crore in Q3 FY23. EBITDA for Q3 FY24 came in at ₹87.81 crore as compared to ₹35.80 crore in Q3 FY23, representing a growth of 145.30% YoY. 

The company board announced a stock split of the face value of equity shares in the ratio of 1:5 per share, subject to the approval of shareholders. 

India's renewable energy sector continues to play a pivotal role in the nation's pursuit of sustainable growth and energy security. As of August 2023, solar energy accounts for an impressive 17% of the installed power generation capacity, reflecting a significant increase from 2.8% in FY19 to 6.3% in FY23 in power consumption. 

Also Read: ICICI Bank share price up 14% since November; what should investors do? Experts weigh in

On February 13, Prime Minister Narendra Modi launched the PM Surya Ghar: Muft Bijli Yojana to provide free electricity to its beneficiaries. 

As per the scheme, the central government will provide 300 units of free electricity per month to its beneficiaries by investing ₹75,000 crore. The free electricity scheme was earlier announced by Finance Minister Nirmala Sitharaman in her interim budget speech on February 1.

Also Read: PM Modi launches 'Muft Bijli Yojana' to provide 300 units electricity per month

India has set forth an ambitious roadmap for its energy future, aiming to elevate its non-fossil energy capacity to an impressive 500 GW by 2030. In a significant commitment to sustainability, the nation pledges to derive 50% of its energy needs from renewable sources within the same timeframe.

Looking ahead to its long-term vision, India sets a formidable target to achieve net-zero emissions by the year 2070, solidifying its commitment to a greener and more sustainable future.

Disclaimer: We advise investors to check with certified experts before taking any investment decisions.