Adani Power Limited's (NSE:ADANIPOWER) Price Is Right But Growth Is Lacking
Nov 20
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Indian (NIFTY) Renewable Energy Industry Analysis
UpdatedNov 20, 2024
DataAggregated Company Financials
Companies30
- 7D-4.8%
- 3M-16.7%
- 1Y47.3%
- YTD10.3%
Over the last 7 days, the Renewable Energy industry has dropped 4.8%, driven by a pullback from Adani Green Energy of 7.3%. In the past year, the industry has gained 47%. Earnings are forecast to grow by 25% annually.
Industry Valuation and Performance
Has the Indian Renewable Energy Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 20 Nov 2024 | ₹11.0t | ₹3.3t | ₹564.3b | 27x | 19.5x | 3.3x |
| Fri, 18 Oct 2024 | ₹12.3t | ₹3.3t | ₹547.0b | 44.5x | 22.4x | 3.8x |
| Sun, 15 Sep 2024 | ₹12.5t | ₹3.3t | ₹547.8b | 44.4x | 22.8x | 3.8x |
| Tue, 13 Aug 2024 | ₹12.6t | ₹3.3t | ₹546.8b | 40x | 23.1x | 3.9x |
| Thu, 11 Jul 2024 | ₹12.7t | ₹3.2t | ₹575.6b | 51.4x | 22.1x | 4x |
| Sat, 08 Jun 2024 | ₹12.5t | ₹3.2t | ₹576.4b | 43x | 21.7x | 4x |
| Mon, 06 May 2024 | ₹11.8t | ₹3.1t | ₹483.4b | 26.8x | 24.3x | 3.8x |
| Wed, 03 Apr 2024 | ₹11.3t | ₹3.1t | ₹507.9b | 27.4x | 22.2x | 3.7x |
| Fri, 01 Mar 2024 | ₹11.1t | ₹3.1t | ₹508.5b | 32.3x | 21.8x | 3.6x |
| Sun, 28 Jan 2024 | ₹10.3t | ₹3.1t | ₹533.5b | 21.5x | 19.4x | 3.4x |
| Tue, 26 Dec 2023 | ₹9.4t | ₹3.0t | ₹505.5b | 16.7x | 18.6x | 3.1x |
| Thu, 23 Nov 2023 | ₹7.3t | ₹3.0t | ₹505.5b | 14x | 14.4x | 2.4x |
| Sat, 21 Oct 2023 | ₹6.7t | ₹2.9t | ₹389.3b | 14.9x | 17.3x | 2.3x |
| Mon, 18 Sep 2023 | ₹7.0t | ₹2.9t | ₹389.1b | 14.2x | 18.1x | 2.4x |
| Wed, 16 Aug 2023 | ₹6.2t | ₹2.9t | ₹389.3b | 15.4x | 15.9x | 2.1x |
| Fri, 14 Jul 2023 | ₹5.6t | ₹2.9t | ₹345.5b | 19x | 16.2x | 1.9x |
| Sun, 11 Jun 2023 | ₹5.6t | ₹2.9t | ₹359.0b | 12.6x | 15.5x | 1.9x |
| Tue, 09 May 2023 | ₹5.3t | ₹2.8t | ₹361.5b | 13.2x | 14.6x | 1.9x |
| Thu, 06 Apr 2023 | ₹4.9t | ₹2.8t | ₹332.1b | 12x | 14.7x | 1.7x |
| Sat, 04 Mar 2023 | ₹4.3t | ₹2.8t | ₹332.1b | 12.4x | 12.9x | 1.5x |
| Mon, 30 Jan 2023 | ₹6.0t | ₹2.8t | ₹345.9b | 14.5x | 17.4x | 2.2x |
| Wed, 28 Dec 2022 | ₹6.9t | ₹2.7t | ₹344.5b | 13.8x | 20x | 2.6x |
| Fri, 25 Nov 2022 | ₹7.4t | ₹2.7t | ₹348.8b | 15.4x | 21.3x | 2.7x |
| Sun, 23 Oct 2022 | ₹4.2t | ₹2.5t | ₹333.4b | 14.2x | 12.5x | 1.7x |
| Tue, 20 Sep 2022 | ₹4.5t | ₹2.5t | ₹332.8b | 18.1x | 13.5x | 1.8x |
| Thu, 18 Aug 2022 | ₹4.3t | ₹2.5t | ₹332.8b | 15.1x | 12.8x | 1.7x |
| Sat, 16 Jul 2022 | ₹3.6t | ₹2.2t | ₹275.1b | 17.7x | 13x | 1.6x |
| Mon, 13 Jun 2022 | ₹3.7t | ₹2.2t | ₹287.1b | 15.9x | 12.7x | 1.6x |
| Wed, 11 May 2022 | ₹3.7t | ₹2.1t | ₹286.4b | 18.2x | 13x | 1.7x |
| Fri, 08 Apr 2022 | ₹3.6t | ₹2.1t | ₹220.2b | 18.7x | 16.3x | 1.7x |
| Sun, 06 Mar 2022 | ₹2.9t | ₹2.1t | ₹220.2b | 18.8x | 13x | 1.4x |
| Tue, 01 Feb 2022 | ₹3.0t | ₹2.1t | ₹214.4b | 34.8x | 13.8x | 1.4x |
| Thu, 30 Dec 2021 | ₹2.7t | ₹2.0t | ₹204.7b | 28.4x | 13.3x | 1.3x |
| Sat, 27 Nov 2021 | ₹2.8t | ₹2.0t | ₹204.7b | 22.4x | 13.4x | 1.3x |
Price to Earnings Ratio
13.4x
Current Industry PE
- Investors are optimistic on the Indian Renewable Energy industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 19.5x which is higher than its 3-year average PE of 17.3x.
- The 3-year average PS ratio of 2.5x is lower than the industry's current PS ratio of 3.3x.
Past Earnings Growth
- The earnings for companies in the Renewable Energy industry have grown 40% per year over the last three years.
- Revenues for these companies have grown 17% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Indian Utilities industry?
| IN Market | -1.80% | |
| Utilities | -4.65% | |
| Renewable Energy | -4.75% | |
| Independent Power Producers and Energy Traders | -4.49% | |
| Renewable Energy | -5.36% | |
Industry PE
- Investors are most optimistic about the Renewable Energy industry which is trading above its 3-year average PE ratio of 44.8x.
- Analysts are expecting annual earnings growth of 52.2%, which is higher than its past year's earnings decline of 14.9% per year.
- Investors are most pessimistic about the Independent Power Producers and Energy Traders industry, which is trading close to its 3-year average of 13.8x.
Forecasted Growth
- Analysts are most optimistic on the Renewable Energy industry, expecting annual earnings growth of 52% over the next 5 years.
- This is better than its past earnings decline of 15% per year.
- In contrast, the Independent Power Producers and Energy Traders industry is expected to see its earnings grow by 9.4% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 542323 KPI Green Energy | ₹760.00 | -2.5% ₹5.8b | 87.9% | PE43.4x | |
| 539686 K.P. Energy | ₹580.30 | 8.1% +₹2.9b | 201.9% | PE49.6x | |
| 512329 SG Mart | ₹393.15 | 0.9% +₹397.8m | -13.1% | PE47.4x | |
| GVKPIL GVK Power & Infrastructure | ₹5.21 | 3.2% +₹252.7m | -48.2% | PE1.5x | |
| INDOWIND Indowind Energy | ₹21.15 | 0.8% +₹21.9m | 19.5% | PE40.4x |