On October 28, Waaree Energies marked a remarkable debut on the NSE, listing at ₹2,500, a striking 66.3% premium over its issue price of ₹1,503. The BSE listing saw a similar spike, with shares opening at ₹2,550, translating to an impressive 69.66% gain.
This listing was supported by a robust subscription during the IPO period from October 21 to October 23, attracting retail and institutional investors.
Strong Subscription and Market Interest
Key Subscription Highlights:
The IPO drew 79.44 times the total bids available, with considerable interest across all investor categories.
| Investor Segment | Subscription Rate |
|---|---|
| Retail Investors | 11.27x |
| Non-Institutional | 65.25x |
| Qualified Institutional | 215.03x |
Company Background & Growth Potential
Founded in December 1990, Waaree Energies is India’s largest manufacturer of solar PV modules, with an installed capacity of 12 GW. Waaree specializes in producing both multi- and monocrystalline PV modules and has introduced innovative solar technologies like TopCon modules and bifacial PV options.
The IPO’s proceeds are earmarked for expanding production capabilities, including a new 6 GW facility in Odisha and a 3 GW unit in the United States to meet the surging global demand for clean energy. Waaree’s strategic expansion is well-positioned to capitalize on the global renewable energy push, offering a competitive edge in the market.
Waaree Energies IPO Financial Highlights
Analysts are optimistic about Waaree’s impressive financial growth. The company reported a CAGR of 99.8% in revenue from FY22 to FY24. The net profit also increased from ₹796.5 million in FY22 to ₹12,743.77 million in FY24, a testament to Waaree’s expanding market share and efficient operations.
Financial Performance:
| Financial Metric | FY22 | FY24 | Growth Rate (%) |
|---|---|---|---|
| Revenue (₹ Crore) | 5,700 | 11,398 | 69% |
| Net Profit (₹ Million) | 796.5 | 12,743.77 | ~1500% |
| Return on Equity (RoE) | 17.69% | 30.26% | – |
Analyst Recommendations
Brokerage firms Motilal Oswal and StoxBox have rated Waaree’s IPO as a ‘subscribe’ based on its competitive pricing, large order book, and robust financial trajectory. Motilal Oswal points to the company’s dominance in India’s solar sector, favorable government policies, and global expansion as key growth drivers.
StoxBox highlighted Waaree’s strong return on equity, strategic pricing, and operational efficiency, suggesting a promising outlook for medium- to long-term investors.
Investment Considerations for Waaree Energies
With the shift towards green energy, Waaree Energies’ entry into the stock market aligns with growing investor interest in sustainable assets. However, potential investors should consider market volatility and global energy policy fluctuations that may impact Waaree’s operational costs and growth trajectory.
Disclaimer
This article is intended for informational purposes only. Investors should perform their own due diligence or consult a financial advisor before making investment decisions.
