IREDA Shares Jump 7% on Strong Buying After September-Quarter Results

Indian Renewable Energy Development Agency shares rallied nearly 7% on Monday, November 9, driven by heavy trading volume and strong buyer interest. The stock opened at 111.62 rupees on the National Stock Exchange, up from its previous close of 111.46 rupees, and climbed to an intraday high of 119.58 rupees. More than 3 crore shares changed hands by 1:30 pm.

Financial Results

For the September quarter of fiscal year 2027, the state-owned lender posted a net profit of 552 crore rupees, which is a marginal 0.5% increase compared to 549 crore rupees in the same period last year. Operating profit grew 16.5% year-on-year to reach 904 crore rupees, up from 776 crore rupees. Asset quality also improved compared to the previous quarter, as gross non-performing assets dropped to 3.57% from 3.76%, and net non-performing assets eased to 1.08% from 1.23%.

Market Performance

Despite Monday's sharp gains, the stock has dropped about 20.6% over the past 12 months and trades well below its 52-week peak of 153.48 rupees. However, the one-week return has turned positive by roughly 15.8% due to improving near-term momentum. Mahesh M Ojha, who is the VP of Research and Business Development at Kantilal Chhaganlal Securities, notes that the stock has near-term upside potential. He suggests a stop loss at 108 rupees and upside targets at 124, 132, and 145 rupees.

Context

State-backed lenders like this one play a key role in funding green energy projects across the country as the nation works toward its long-term climate and power goals. Stock prices often react quickly to quarterly earnings reports and changes in asset quality numbers like bad loans.