Best Solar Stocks in India 2026

Just ten years ago, India's solar story was only beginning, with panels limited to a few rooftops and desert projects.

Fast forward today, the country has achieved a historic milestone, India has overtaken Japan to become the world's third-largest solar power producer.

As per the International Renewable Energy Agency (IRENA), India generated +1,08,494 GWh of solar power, surpassing Japan's 96,459 GWh.

The country's solar capacity has also grown rapidly, touching 119.02 GW as of July 2025.

This includes 90.99 GW from ground-mounted plants, 19.88 GW from rooftop systems, 3.06 GW from hybrid projects, and 5.09 GW from off-grid installations-showcasing India's diversified approach to renewable energy.

On the manufacturing front, India is building a strong solar ecosystem. In just one-year, solar module capacity nearly doubled from 38 GW in March 2024 to 74 GW in March 2025, while solar PV cell capacity surged from 9 GW to 25 GW.

India marked a big milestone with its first 2 GW ingot-wafer facility, strengthening self-reliance and cutting import dependence.

With solar energy now at the heart of India's clean energy push, it's no surprise that investors are eyeing opportunities in this space.

In this article, we take a look at some of the top solar energy stocks in India, shortlisted from Equitymaster's screener of the Best Solar Energy Stocks in India.

What are Solar Stocks?

Solar stocks are shares of companies that operate in the solar energy industry. These companies are involved in different parts of the solar value chain, such as:

• Manufacturing: Firms that make solar panels, PV cells, ingots, wafers, or other equipment used in solar power generation.
• Power Generation: Companies that set up and operate solar power plants and sell electricity.
• Engineering & Infrastructure: Players that provide EPC (engineering, procurement, and construction) services to build solar projects.
• Ancillary Businesses: Firms that supply materials, components, or technologies supporting solar energy, like inverters, glass, or batteries.

When you invest in a solar stock, you're essentially buying a slice of a company that earns revenue from the growing demand for solar power.

List of Best Solar Stocks in India

Here is a list of the best Solar stocks in India for 2025, selected based on market capitalisation and a debt-to-equity ratio equal or below 1, using Equitymaster's "Best Solar Stocks" stock screener.

Note: All the information regarding shares is recorded as of 1 October 2025.

Overview of Best Solar stocks in India

Now that we've identified the top solar stocks in India, let's take a closer look at a few of these companies to understand their business operations.

# Waaree Energies

As India's largest solar module manufacturer, Waaree Energies boasts a robust 12 GW production capacity, supported by four advanced manufacturing facilities. The company provides a diverse range of solar solutions, including modules, inverters, batteries, and rooftop solar systems.

Waaree Energies specialises in manufacturing solar PV modules using multi-crystalline and monocrystalline cell technologies, along with innovations such as Tunnel Oxide Passivated Contact (TopCon).

Additionally, it produces semi-flexible solar panels for global customers, catering to a wide market through direct enterprise sales.

As a vertically integrated player, Waaree further strengthened its manufacturing capabilities by acquiring Indo Solar, adding 5.4 GW to its capacity.

It is also the largest Indian exporter of solar modules with 10+GW of solar modules supplied to more than 20 countries.

Also, Indian solar PV manufacturer Waaree Energies Limited has announced plans to spread out some of its planned 6 GW integrated solar manufacturing in Odisha to multiple locations within India.

Waaree's 6 GW plans for Odisha comprised establishing ingot, wafer, solar cell and module manufacturing capacity, to be financed from Rs 30 billion (bn) raised via an initial public offering (IPO).

The management explained that the decision is aimed at accelerating project momentum, optimising resource utilisation, and ensuring timely execution in line with its IPO objectives, as it experiences delays at the current location.

Out of the 6 GW integrated planned capacity, 3 GW of module capacity will be diverted to Samakhiali in Gujarat, 3 GW module capacity to Gujarat/Tamil Nadu or any other location, 6 GW solar cell capacity to Unn in Gujarat, and 6 GW ingots and wafers at Nagpur in Maharashtra.

This distribution will not significantly impact its overall project cost, which is estimated at Rs 90.5 bn (US$1.04 bn).

For more details, see the WAAREE ENERGIES LTD. company fact sheet and quarterly results.

# NTPC Green Energy

The company has rapidly established itself as a key player in India's renewable energy transition, with a strong presence in the solar space.

NTPC Green has consolidated 15 renewable energy assets and 100% shares of NTPC Renewable Energy Limited (NREL) through strategic acquisitions.

As of March 2025, it operates large-scale solar projects across regions including Rajgarh, Anantpur, Bhadla, Mandsaur, and Fatehgarh, with capacities ranging from 40 MW to 300 MW.

Several new projects such as Nokhra, Shimbhoo Ka Burj-2, and Ayodhya have further strengthened its footprint, taking the total commercial capacity to nearly 2,900 MW.

It is further expanding its solar capacity through its subsidiary, NTPC Renewable Energy Ltd (NTPCREL).

NTPCREL is responsible for developing utility-scale solar, wind, and hybrid projects, and has been commissioning solar capacity at projects like the Khavda Solar Project in Gujarat.

NTPC Green also participates in solar capacity development through joint ventures, such as the one with IRCON Renewable Power Limited.

For more details, see the NTPC GREEN ENERGY LTD. company fact sheet and quarterly results.

# Premier Energies

The company specialises in manufacturing integrated solar cells and solar panels. Its product portfolio includes solar cells, solar modules, monofacial and bifacial modules, as well as EPC and O&M solutions.

The company went public with an IPO in September 2024 and is notably backed by GEF Capital Partners, a Washington D.C. based private equity firm with a focus on climate solutions.

As of FY25, Premier Energies operated with a manufacturing capacity of 5.1 GW for modules and 3.2 GW for solar cells, comprising 2 GW of PERC cells and 1.2 GW of TOPCon cells added in June 2025.

The company's business is heavily concentrated on the domestic Indian market, a strategic choice that provides a degree of insulation from global trade policy fluctuation.

Premier Energies is recognised as an early mover in the adoption of advanced technologies, being among the first Indian companies to produce n-type TOPCon cells.

The company's strategic roadmap, called "Mission 2028", is exceptionally bold, with a planned capital expenditure of Rs 125 bn to establish a fully integrated 10 GW solar manufacturing system across the entire value chain - from Ingots, wafer, cell, and module production by FY28.

Premier Energies has entered into a joint venture with Taiwan-based Sino-American Silicon Products Inc. (SAS) to establish a 2 GW wafer manufacturing facility in India by June 2026. This is part of its backwards integration to reduce reliance on imports and enhance cost efficiency.

The company also has plans to diversify into allied verticals such as battery energy storage systems (BESS) and solar inverters.

For more details, see the PREMIER ENERGIES LTD. company fact sheet and quarterly results.

# Websol Energy Systems

Next on our list is Websol Energy System (Websol).

The company has been a pioneer in solar photovoltaic cell and module manufacturing since 1994.

As one of the first global manufacturers of solar cells and modules, Websol leads with cutting-edge technology and innovation. The company's fully automated mono PERC cell and module line ensures high efficiency and durability, delivering superior photovoltaic products.

With a state-of-the-art manufacturing facility in Falta SEZ, West Bengal, Websol stands as India's leading integrated solar cell and module manufacturer.

The Falta facility spans 7 acres, housing a current production capacity of 600 MW for solar cells and 550 MW for modules. The facility operates at an effective cell utilisation rate of over 90 percent, using mono PERC technology. An additional 600 MW Mono PERC solar cell line is under development.

Upon commissioning, the new line will increase the company's total cell manufacturing capacity to 1.2 GW.

For more details, see the WEBSOL ENERGY company fact sheet and quarterly results.

# Insolation Energy

Next on our list is Insolation Energy.

Founded in 2015, Insolation Energy has emerged as a leading solar panel manufacturer in India, headquartered in Jaipur, Rajasthan.

It has a state-of-the-art automated manufacturing facility spread across 8,90,000 square feet.

Its product portfolio includes high-efficiency solar panels, batteries, and power conditioning units (PCUs).

Insolation Energy holds the distinction of being the first solar module manufacturing company in India to be listed on the stock exchange (BSE SME).

Today, it is recognised as the largest solar panel, battery, and inverter manufacturer in North India.

With a presence across 100+ districts, the company has successfully completed more than 500 projects, deployed 5.5 GW of solar PV modules, and built a customer base of over 15,000, supported by 800+ channel partners across the country.

As part of its strategic growth, its wholly owned subsidiary, Insolation Green Energy Pvt. Ltd., has commenced operations of a 4.5 GW PV module manufacturing plant located on the Delhi-Ajmer Expressway in Jaipur.

The subsidiary has also signed an MoU worth Rs 100 bn with the Rajasthan government to develop solar power generation projects (IPP), component manufacturing, EPC projects, and solar parks by 2030.

Further expansion includes a 45-acre land allotment at the Madhya Pradesh Global Investors Summit 2024 for setting up a 4.5 GW solar cell manufacturing facility and an 18,000 MT aluminum framing unit.

For more details, see the INSOLATION ENERGY company fact sheet and quarterly results.

Pros of Investing in Solar Stocks

• Fast-Growing Sector

  India's solar energy capacity is expanding at a remarkable pace. From around 79?GW today, the country aims to reach nearly 195?GW in the next five years. With the sector growing at nearly 20% annually, solar has become one of the fastest-growing energy industries in India.

• Strong Government Backing

  Government initiatives like the National Solar Mission, along with state-level programs, are driving large-scale solar projects and boosting domestic manufacturing. This policy support creates a favourable environment for solar companies and adds confidence for investors.

• Sustainable and Reliable

  Solar energy isn't just clean and eco-friendly-it's a smart, future-ready investment. Many Indian solar companies lock in long-term power purchase agreements (PPAs) with state agencies, which means predictable, steady revenues.

Cons of Investing in Solar Stocks

• Technological Risks

  Solar technology is advancing fast, and older products can quickly become outdated. The companies that fail to innovate, may risk losing their competitive edge.

• Regulatory Challenges

  Shifts in government rules or policies can affect how solar companies perform. This can impact the profitability of the company.

• Competition from Traditional Energy

  Solar companies in India still compete with coal, oil, and gas, which remain major sources of energy in India.

Should You Invest in Solar Stocks?

India's renewable energy sector is gaining momentum, driven by focused policies and strategic planning at the national level.

As part of its COP26 commitments, India is working toward generating 500?GW of electricity from non-fossil fuel sources by 2030.

The country's geography gives it a natural advantage in solar energy. Located in the tropical region, with the Tropic of Cancer passing through several states, India has high solar potential, estimated at 748?GW.

States such as Rajasthan, Jammu & Kashmir, Maharashtra, Madhya Pradesh, and Andhra Pradesh stand out as key contributors to solar growth, providing ample opportunities for both energy generation and investment.

The sector has already shown impressive growth. By July 2025, India's solar power capacity had increased by 4,000%, pushing the total renewable energy capacity to 227?GW.

Palli village in Jammu & Kashmir became India's first carbon-neutral panchayat, running entirely on solar power-showing how solar energy can be implemented successfully at a local level.

Strong government support, vast solar potential, and ongoing technological innovation make solar stocks a compelling option.

At the same time, investors should be mindful of market swings, policy changes, and project execution risks that could affect their returns.

Conclusion

The growth of India's solar sector is being strongly supported by government initiatives and policy measures.

Under the National Renewable Energy Mission, investments in both large-scale and decentralised projects are set to rise. Strengthening of the solar grid with Rs 15 bn and the extension of the Production-Linked Incentive (PLI) scheme further boost domestic solar manufacturing and reduce reliance on imports.

Requirements for using Indian-made panels in major schemes, along with the basic customs duty on imports, are boosting local solar manufacturing. At the same time, companies remain exposed to global price swings for key materials.

Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.

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Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. Learn more about our recommendation services here...