IREDA shares climb 20% in seven sessions; what should existing investors do?

Shares of Indian Renewable Energy Development Agency Ltd (IREDA) extended their upward run for the seventh consecutive session on Monday, rising 7.38 per cent to close at Rs 119.71 on BSE. The latest gain takes the stock's seven-session jump to 20.19 per cent.

Despite this, IREDA shares remain down 14.09 per cent year-to-date (YTD), 19.82 per cent over the past one year and 40.38 per cent over the past two years.

IREDA Q2 performance

The state-run renewable energy financier reported a net profit of Rs 552 crore for the September quarter, marginally higher than Rs 549 crore in the corresponding quarter last year, registering a year-on-year (YoY) growth of 0.5 per cent.

Operating profit, meanwhile, increased 16.5 per cent YoY to Rs 904 crore from Rs 776 crore in Q2 FY26. Revenue from operations rose 13.9 per cent to Rs 2,344 crore, compared with Rs 2,057 crore in the year-ago quarter.

The company's asset quality also improved sequentially during the quarter. Gross non-performing assets (NPAs) declined to 3.57 per cent in Q2 FY27 from 3.76 per cent in Q1 FY27. Net NPAs eased to 1.08 per cent from 1.23 per cent over the same period.

IREDA's outstanding loan book stood at Rs 97,411 crore at the end of Q2 FY27, up 15.3 per cent from Rs 84,477 crore in the corresponding quarter of the previous financial year.

What should existing investors do?

Kranthi Bathini, Equity Strategist at WealthMills Securities, advised existing IREDA investors to consider selling on rallies, while recommending that fresh positions be avoided at current levels.

Echoing a similar view, Vishnu Kant Upadhyay, AVP of Research at Master Capital Services, suggested that investors holding the stock consider exiting on the rise.

IREDA, a 'Navratna' public sector undertaking under the Ministry of New and Renewable Energy (MNRE), provides financial products and services for renewable energy projects and related activities. As of September 2026, the government held a 71.76 per cent stake in the company.