Green Stocks October 17- Sterling & Wilson Continues to Shock With Poor News

It was a poor day for the markets, with market breadth negative, despite the priming of a select few stocks to show a rise before Diwali, perhaps. For the Green pack, it was a day when the past came back to haunt one particular firm, perhaps reminding investors of the risks associated with the business. The company in question, Sterling and Wilson Renewable Energy, has been no stranger to disappointing market watchers, this time surprising with a fresh provision of over Rs 2600 crores towards a write-off. Be it dues from erstwhile promoters, customer disputes outside India and within, failure to read the outcome in a case under arbitration, and finally, counting its chickens on a contract based on an MoU, the firm continues to shock when it comes to management and accounting. The stock duly fell over 6%, with hopes perhaps back that the Reliance group, for whom this was one of their priciest 'new energy' acquisitions, will step in to clean up yet again.  

Most other stocks in the green pack surrendered gains today, with KPI Green a notable exception on the back of an order win and a record of clean books, perhaps when taken in the context of Sterling and Wilson Renewable Energy. 

It is clear that investor confidence remains thin, and as mentioned earlier, triggers in the form of a trade deal (to support manufacturing firms), the beginnings of visibility on large green hydrogen projects that will provide an additional demand boost, or even strong quality results from the remaining firms in the pack, would help. For SW Renewable, one would have to say, the situation is not looking good, and the firm needs to take far more visible and strong measures to show it has learnt from past mistakes.

List Of Green Stocks