Block deal effect: Clean Max shares surge 8%, hit one-month high  

Shares of Clean Max Enviro Energy Solutions Ltd rose over 8% on Thursday after the commercial and industrial (C&I) renewable energy provider saw block deals in early morning deals. The stock hit a high of Rs 1359 on an intra day basis against the previous close of Rs 1256.75. Market cap of the firm rose to Rs 15,193 crore. It hit its highest since August 6 this year. On August 6, the stock hit a high of Rs 1416.55 on BSE.

Total 0.39 lakh shares changed hands amounting to turnover of Rs 5.22 crore.

According to Bloomberg, about 1.63 million shares changed hands on NSE in two pre-market block deals. The stock is in an uptrend for the third straight session. Trading volume of the firm rose over 1.4 times three-month full-day average. Buyers and sellers in the deal were not immediately known.

On August 31, Nomura initiated coverage on the renewable energy company with a "Buy" call. It fixed a target price of Rs 1,510 per share for the stock.

Nomura's target implied an upside of around 21% from closing price of Rs 1,250.90 on August 28.

The brokerage sees Clean Max's revenue and EBITDA to rise at a compound annual growth rate (CAGR) of 39% and 50%, respectively, over FY26-29.

The global brokerage said the skewed tariff structure in India's power market lead to commercial and industrial (C&I) consumers paying 60% - 120% more than subsidised segments.

This provides ample opportunities for independent power producers (IPPs) such as Clean Max to undercut grid tariffs through direct power supply. For customers, the Commercial and Industrial (C&I) renewable energy model offers 20%-60% savings compared with grid tariffs, while developers benefit from higher equity returns due to the tariffs charged to C&I customers, Nomura said.

Clean Max Q1 earnings 

The green energy supplier logged a strong Q1FY27, with revenue more than doubling year-on-year. Revenue rose 107% to Rs 832 crore, while adjusted Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) climbed 74% to Rs 494 crore.

The company reported a PAT of Rs 55 crore compared with a loss of Rs 16.6 crore in the year-ago quarter. However, EBITDA margin narrowed to 50% from 70.6%.