Can ReNew Energy Global (RNW)–Google Solar Deal Reframe RNW’s Corporate Clean Power Demand Story?

• ReNew Energy Global Plc recently announced it has signed a long-term agreement with Google to support a new 150 MW solar project in Rajasthan, expected to be commissioned in 2026 and generate about 425,000 MWh of clean power annually.
• The deal expands ReNew’s committed commercial and industrial portfolio to 2.7 GW, underlining how large-tech corporate power buyers are increasingly turning to the company to meet their decarbonisation goals and support India’s clean energy build-out.
• We’ll now examine how this long-term Google solar offtake agreement might reshape ReNew’s investment narrative around corporate clean energy demand.

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ReNew Energy Global Investment Narrative Recap

To own ReNew Energy Global, you need to believe in India’s long-term shift to clean power and ReNew’s ability to secure bankable, long-term contracts while managing project and balance sheet risks. The new Google offtake deal strengthens visibility in its commercial portfolio but does not materially change the near term risk that intense renewables bidding and land or grid-related execution snags could still affect margins, project timing and cash flow.

Among recent announcements, the Microsoft green attribute sale in 2024 stands out alongside the Google agreement, together highlighting how large global tech buyers are becoming an important demand anchor for ReNew’s growth pipeline. These corporate PPAs complement government auctions, potentially smoothing revenue visibility, but they do not remove the underlying competitive and execution pressures that remain central to the stock’s near term catalyst and risk profile.

Yet against this backdrop, investors still need to be aware that intensifying competition in renewables bidding could...

Read the full narrative on ReNew Energy Global (it's free!)

ReNew Energy Global's narrative projects ₹195.5 billion revenue and ₹15.7 billion earnings by 2028. This requires 20.0% yearly revenue growth and an earnings increase of about ₹7.0 billion from ₹8.7 billion today.

Uncover how ReNew Energy Global's forecasts yield a $7.95 fair value, a 49% upside to its current price.

Exploring Other Perspectives

The single fair value estimate from the Simply Wall St Community sits at US$7.95, showing one clear view of upside potential. You should weigh that against risks such as increasingly aggressive renewables bidding, which could pressure ReNew’s margins and shape how its recent big tech PPAs translate into long term performance.

Explore another fair value estimate on ReNew Energy Global - why the stock might be worth just $7.95!

Build Your Own ReNew Energy Global Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your ReNew Energy Global research is our analysis highlighting 4 key rewards and 3 important warning signs that could impact your investment decision.
• Our free ReNew Energy Global research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate ReNew Energy Global's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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