Multibagger green energy stock loses steam in short term, do price targets indicate recovery?
The multibagger stock closed 0.56% higher at Rs 190.10 against the close of Rs 189.05 on November 18 on BSE. Market cap of the firm rose to Rs 24,785 crore.
- Nov 20, 2024,
- Updated Nov 20, 2024 12:48 PM IST
Shares of Inox Wind Ltd have turned weak in the short term. The stock slipped 27.47% in two months from its record high on BSE. The multibagger stock hit record high of Rs 262.10 on September 23, 2024. Of the 27% fall, half (13.10%) of it came in the last two weeks. In three months too, the stock is down 11%. However, the green energy stock has risen 202% in a year and zoomed 556% in two years.
In the previous session, Inox Wind stock closed 0.56% higher at Rs 190.10 against the close of Rs 189.05 on November 18 on BSE. Market cap of Inox Wind rose to Rs 24,785 crore on BSE.
Total 2.96 lakh shares of the firm changed hands amounting to a turnover of Rs 5.70 crore on BSE. Inox Wind shares have a beta of 1.6, indicating very high volatility in a year. The multibagger green energy stock is trading lower than the 5 day, 10 day, 20 day, 30 day , 50 day, 100 day but higher than the 150 day and 200 day moving averages.
Axis Securities has a buy call on the stock with a price target of Rs 270.
"With a robust order book, strong execution capability, technological readiness, and net interest-free debt, along with the government’s renewed focus on wind energy, Inox Wind is well positioned to build on its growth momentum. We expect the company’s Revenue/EBITDA to grow by 83%/90% CAGR over FY24-FY27. We expect the profit after tax to reach to Rs 1,399 cr by FY27," said the brokerage.
"We recommend a BUY rating on the stock with a target price of Rs 270/share. We assign a target P/E multiple of 35x to our FY26 EPS estimate after adjusting for the minority stake in Inox Green Energy Services Ltd. and Resco Global (7%)," added Axis Securities.
Another brokerage Systematix Institutional Equities is positive on the stock with a buy call.
"We expect Inox Wind to deliver 800MW/1,301MW/1,669MW turbines in FY25/FY26/FY27 based on the current order book status and the estimated completion timeline of current and prospective orders. We introduce FY27 estimates and value Inox Wind 30x FY27E P/E SOTP basis to arrive at a revised target price of Rs 275/share (Rs 208/share earlier) and maintain BUY rating on the stock," said Systematix.
Inox Wind is an India-based integrated wind energy solutions provider. The company is engaged in the business of manufacture and sale of wind turbine generators (WTGs). It also provides erection, procurement and commissioning (EPC), operations and maintenance (O&M) and common infrastructure facilities services for WTGs and wind farm development services.
Shares of Inox Wind Ltd have turned weak in the short term. The stock slipped 27.47% in two months from its record high on BSE. The multibagger stock hit record high of Rs 262.10 on September 23, 2024. Of the 27% fall, half (13.10%) of it came in the last two weeks. In three months too, the stock is down 11%. However, the green energy stock has risen 202% in a year and zoomed 556% in two years.
In the previous session, Inox Wind stock closed 0.56% higher at Rs 190.10 against the close of Rs 189.05 on November 18 on BSE. Market cap of Inox Wind rose to Rs 24,785 crore on BSE.
Total 2.96 lakh shares of the firm changed hands amounting to a turnover of Rs 5.70 crore on BSE. Inox Wind shares have a beta of 1.6, indicating very high volatility in a year. The multibagger green energy stock is trading lower than the 5 day, 10 day, 20 day, 30 day , 50 day, 100 day but higher than the 150 day and 200 day moving averages.
Axis Securities has a buy call on the stock with a price target of Rs 270.
"With a robust order book, strong execution capability, technological readiness, and net interest-free debt, along with the government’s renewed focus on wind energy, Inox Wind is well positioned to build on its growth momentum. We expect the company’s Revenue/EBITDA to grow by 83%/90% CAGR over FY24-FY27. We expect the profit after tax to reach to Rs 1,399 cr by FY27," said the brokerage.
"We recommend a BUY rating on the stock with a target price of Rs 270/share. We assign a target P/E multiple of 35x to our FY26 EPS estimate after adjusting for the minority stake in Inox Green Energy Services Ltd. and Resco Global (7%)," added Axis Securities.
Another brokerage Systematix Institutional Equities is positive on the stock with a buy call.
"We expect Inox Wind to deliver 800MW/1,301MW/1,669MW turbines in FY25/FY26/FY27 based on the current order book status and the estimated completion timeline of current and prospective orders. We introduce FY27 estimates and value Inox Wind 30x FY27E P/E SOTP basis to arrive at a revised target price of Rs 275/share (Rs 208/share earlier) and maintain BUY rating on the stock," said Systematix.
Inox Wind is an India-based integrated wind energy solutions provider. The company is engaged in the business of manufacture and sale of wind turbine generators (WTGs). It also provides erection, procurement and commissioning (EPC), operations and maintenance (O&M) and common infrastructure facilities services for WTGs and wind farm development services.