Mon Oct 28 13:23:33 UTC 2024: ## Waaree Energies Shares Soar on Listing, Then Plunge on Profit-Taking

**Mumbai, October 28, 2024:** Shares of solar panel manufacturer Waaree Energies made a spectacular debut on the stock market today, opening at ₹2,550 on the BSE, a premium of 69.66%. The stock briefly touched ₹2,600, representing a premium of 72.98%. On the NSE, the shares listed at ₹2,500, a premium of 66.33%. This explosive listing propelled the company’s market capitalization to ₹68,983.88 crore.

However, the initial euphoria quickly faded as investors rushed to lock in profits, leading to a sharp decline in share prices. On the NSE, the stock plummeted by 8% to ₹2,300, while on the BSE, it dropped by almost 10% to ₹2,294.55.

**Should Investors Buy, Sell, or Hold?**

Market experts offered mixed opinions on Waaree Energies. Narendra Solanki, Head of Fundamental Research at Anand Rathi Shares, suggested a long-term hold, citing Waaree’s strong fundamentals and government support for the renewable energy sector. However, he advised short-term investors to consider booking profits.

Sagar Shetty, Research Analyst at StoxBox, praised Waaree’s global expansion, robust order book, and supply chain management, recommending a medium-to-long-term hold.

However, Prashant Tapse, Senior Vice-President at Mehta Equities Ltd, took a different stance. He argued that the hefty listing gains had significantly inflated the company’s valuation, suggesting that investors should consider booking profits immediately.

**Waaree Energies: Financial Health and Future Plans**

Financially, Waaree Energies has experienced impressive growth. Revenue increased at an annual rate of 99.8% between FY22 and FY24, while net profit surged from ₹79.6 crore in FY22 to ₹1,274.3 crore in FY24. The company’s RoE also climbed from 17.69% to 30.26%.

The IPO, worth ₹3,600 crore, included the issuance of new equity shares and the sale of 48 lakh shares through an OFS. Waaree intends to utilize the proceeds to establish a 6 GW manufacturing facility in Odisha, producing solar cells, ingots, and PV modules.

**Disclaimer:** Opinions and investment advice provided by experts/brokerage firms on Moneycontrol are their own and not those of the website or its management. Moneycontrol encourages users to consult certified experts before making any investment decisions.

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