American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Business

Waaree Energies shares dip 9% despite 66% listing gains: here’s why

by admin October 28, 2024
October 28, 2024
Waaree Energies shares dip 9% despite 66% listing gains: here’s why

Waaree Energies, a leading solar panel manufacturer, made a strong stock market debut with a nearly 70% premium over its issue price, reflecting investor confidence in India’s booming renewable energy sector.

Listing at Rs 2,550 on the Bombay Stock Exchange (BSE), the shares marked a 69.66% gain and later reached Rs 2,600, a 72.98% increase from the issue price.

Despite the impressive start, Waaree’s stock quickly faced profit booking, leading to an 8-10% decline on both the BSE and National Stock Exchange (NSE).

Experts offer varying views on Waaree’s long-term potential amid India’s renewable energy transition.

Stock debuts with high premiums on NSE and BSE

Shares of Waaree Energies opened at Rs 2,550 on the BSE, significantly above the issue price, while listing at Rs 2,500 on the NSE, reflecting premiums of 69.66% and 66.33%, respectively.

The company’s market capitalization reached Rs 68,983.88 crore on the NSE, signaling solid initial demand.

Profit booking led to a swift decline, with shares dipping to an intraday low of Rs 2,300 on the NSE, while on the BSE, they dropped to Rs 2,294.55.

Should investors hold or sell?

Market analysts hold differing views on Waaree Energies’ growth trajectory. Narendra Solanki, Head of Fundamental Research at Anand Rathi, believes long-term investors should hold, citing Waaree’s strong market positioning and government support for renewable energy initiatives.

Meanwhile, Prashanth Tapse from Mehta Equities advises caution, suggesting that investors consider partial profit booking after the sharp listing gains.

Waaree Energies has strategically strengthened its market position through backward integration, extensive capacity expansion, and international market penetration.

With India’s rooftop solar market driven largely by commercial and industrial demand, the company’s focus on utility-scale installations positions it well for future growth.

Sagar Shetty of StoxBox sees Waaree’s global supply chain and robust order book as favorable for medium- to long-term investors.

Waaree Energies has demonstrated impressive financial growth, with revenue expanding at a CAGR of 99.8% between FY22 and FY24.

Net profit rose from Rs 79.6 crore in FY22 to Rs 1,274.3 crore in FY24, with return on equity (ROE) increasing from 17.69% to 30.26%, indicating financial resilience and operational efficiency.

The company raised Rs 3,600 crore through its IPO, including a fresh issue and an Offer-for-Sale (OFS) component.

Proceeds from the fresh issue will fund a new 6 GW manufacturing facility in Odisha for ingots, wafers, solar cells, and solar PV modules, enhancing Waaree’s production capacity and meeting rising solar demand.

This expansion reflects Waaree’s commitment to driving India’s renewable energy sector forward.

While grey market expectations hinted at a 100% listing premium, Waaree Energies’ 70% gain remains a notable debut.

The performance signals both strong demand and the potential for volatility, as evidenced by the intraday dips from profit booking.

The stock’s resilience amid these fluctuations will be a key factor for investors considering long-term prospects.

The post Waaree Energies shares dip 9% despite 66% listing gains: here’s why appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
AMD stock price forecast: buy or sell ahead of earnings?
next post
Xpeng starts construction of new plant to produce 10,000 flying cars annually

Related Posts

Shipping stocks tumble as US port strike ends...

October 4, 2024

Amazon’s $4 billion investment in AI firm Anthropic...

August 10, 2024

Boeing, NASA say Starliner astronaut launch will move...

May 27, 2024

Pop Mart shares fall on China’s blind-box alert,...

June 20, 2025

Super Bowl LIX payouts: How much do players...

February 10, 2025

BP shifts gears, scales back renewables to regain...

October 7, 2024

Risk alert: ‘mild recession’ could crash the S&P...

April 26, 2025

Salesforce stock gets pricey as CRM hits ATH:...

November 12, 2024

These 2 European semiconductor stocks are Bernstein’s top...

December 28, 2024

Powell warns Trump’s steep tariffs may trigger higher...

April 5, 2025

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • Kraft Heinz plans breakup, weighs $20 billion grocery spin-off: report

      July 13, 2025
    • Trump’s 50% tariff on Brazil imports to brew trouble for Starbucks and Dutch Bros

      July 13, 2025
    • US to announce 30% tariff on EU and Mexico says Trump

      July 13, 2025
    • Why India is rushing to build bigger banks and what’s standing in the way

      July 13, 2025
    • Wall Street braces for weakest earnings season since 2023 amid market highs

      July 13, 2025

    Categories

    • Business (3,388)
    • Investing (2,615)
    • Latest News (2,017)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved