Green Stocks March 7: Wind Stocks Fly High

On a day when the broader markets tended to trade with a negative bias most of the time. most of the green energy stocks did well to hold their own. While larger firms like Waaree Energies, Acme Solar, Premier Energies and NTPC Green gained, some like Adani Green, Tata Power continued to shed gains made earlier this week.
The troubles at Gensol continued with a further loss of almost 4% today, taking the firm almost 75% from its all time highs. EPC stocks gained however, with Shakti Pumps the lead performer yet again, followed by KPI Green, Sterling and Wilson Solar. Waaree RTL however failed to keep the momentum going. EPC stocks currently trade at what would be considered very fair valuations when we look at their past growth and guidance for the coming few quarters. It remains to be seen whether they face any disruptions, because otherwise, these stocks should recover some of the lost ground in due course.

The situation is a lot more complicated for the large manufacturing stocks, and the large developers especially, as issues linked to tender delays and cancellations are still to be resolved in a substantive way. A worst scenario is the spectre of almost 15% cancellations or substantial delays due to lack of offtakers could certainly dampen enthusiasm if it plays out, although the huge rise of residential segments and corporate buys will help maintain momentum as well. These are relatively unaffected by the problems plaguing the utility scale segment.