Waaree Renewable Technologies stock slips even as order value surges

Shares of Waaree Renewable Technologies slipped over a percent in early deals even as the firm announced an expanded scope of work under an existing contract, enhancing its Engineering, Procurement, and Construction (EPC) responsibilities for a ground-mounted solar photovoltaic (PV) project. The stock slipped 1.05% to Rs 974.50 on BSE in early deals. Market cap of the firm fell to Rs 10,158 crore. 

"We are pleased to inform you that WAAREERTL has received a revised scope of work under the existing contract for the execution of Engineering, Procurement, and Construction (EPC) works for a ground-mounted solar PV project of 2012.47 MWp capacity," the company stated in an official exchange filing. This adjustment is part of a significant commercial order from a domestic entity focused on renewable energy projects, potentially elevating the project value to Rs 1,480 crore.

On Friday, the company's shares closed 4.4% higher at Rs 984.80 on the Bombay Stock Exchange (BSE), reflecting positive market reception to the announcement. Over the past year, Waaree's stock has faced volatility, declining by 51.22%, yet showing resilience recently with a 16.70% gain in the last three months. Despite a 3.60% dip in the past month, the shares are currently trading above key exponential moving averages, with the Relative Strength Index (RSI) indicating moderately strong momentum at 59. 

The company confirmed in its regulatory filing that "the revised scope pertains to the execution of EPC works for the ground-mounted solar PV project with a capacity of 2012.47 MWp." This development places Waaree in a competitive position within the renewable energy sector, aligning with its growth strategies and enhancing its market presence. As the project progresses, it is expected to influence both the company's financial health and its stock performance positively, given the scale and significance of the order. The strategic expansion is likely to bolster investor confidence and drive further interest in the company's shares.