IREDA shares extend gains as stock jumps 10% in two days; will this upmove sustain?

Shares of Indian Renewable Energy Development Agency Ltd (IREDA) continued their upward run for the second straight session on Tuesday. The stock surged 5 per cent to hit its upper circuit limit of Rs 149.75. At this price, it has gained 10.39 per cent in two trading days. Despite the mentioned rise, the scrip has declined 30.35 per cent from its all-time high price of Rs 215, a level seen on February 6 last year.

The renewable energy state-run financier has recorded highest ever loan sanctioned, at Rs 37,354 crore, during the financial year 2023-24 (FY24). "Loan disbursement came at Rs 25,089 crore during FY24. Loan book stands at Rs 59,650 crore, a record growth of 26.71 per cent," it stated.

Technical analysts largely suggested that the stock looked 'bullish' on daily charts.

Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking, said, "The stock looked strong on daily charts. It can hit a near-term target of Rs 160. Keep stop loss placed at Rs 142."

AR Ramachandran from Tips2trades said, "IREDA stock price is bullish on daily charts with strong support at Rs 142.65. A daily close above resistance of Rs 155 could lead to an upside target of Rs 182 in the near term."

IREDA is a mini Ratna firm under the administrative controls of the Ministry of New and Renewable Energy.

The organisation offers a comprehensive array of financial products (fund- and non-fund-based) associated services, from project inception to post-completion, for renewable energy projects and related activities like equipment manufacturing and transmission.