IREDA shares jump 6% today; should you 'sell-on-rally'?

Shares of Indian Renewable Energy Development Agency (IREDA) rose sharply in Monday's trade, pausing their two-day losing run. The stock surged 6.30 per cent to hit a day high of Rs 166.25. Last checked, it was up 5.95 per cent at Rs 165.70. At this price, the scrip has corrected 25.29 per cent year-to-date (YTD).

The state-run renewable energy financier recorded a 48.66 per cent year-on-year (YoY) jump in its consolidated net profit for the March 2025 quarter (Q4 FY25). During the quarter under review, profit came at Rs 501.55 crore as against Rs 337.39 crore in the corresponding period last year (Q4 FY24).

Revenue from operations climbed 36.93 per cent to Rs 1,905.06 crore in Q4 FY25 compared to Rs 1,391.26 crore in the year-ago period. The state-owned firm recently said its loan order book registered a 28 per cent (YoY) growth during the financial year 2024-25. In FY25, the figure stood at Rs 76,250 crore compared to Rs 59,698 crore in the March 2024 fiscal.

A few technical analysts said support on the counter could be seen in the 128-121 zone. One of them advised a 'sell-on-rally' approach around Rs 170 level.

Kunal Kamble, Senior Technical Analyst at Bonanza, said, "Investors should 'sell-on-rally' near Rs 170 levels. On the higher end, strong resistance may be seen around Rs 185 level."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi, said, "The stock's key support zones lie in the Rs 128-121 range. Investors are advised to exercise caution and wait for a confirmed breakout above the trendline before initiating new positions."

The company is a 'Navratna' PSU under the administrative control of the Ministry of New and Renewable Energy. As of March 2025, the government held a 75 per cent stake in it.

The organisation offers 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.