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Renewable Energy Penny Stocks India

The transition from dirty energy towards cleaner energy sources presents a big money-making opportunity for investors.

More so when you invest via penny stocks.

A quick way to earn fast returns, penny stocks can be a great way to create wealth. However, it is not as easy as it seems.

While penny stocks carry the potential to multiply your wealth ten-fold, they can also erode your entire investment value.

So, it is important to do your research. Understand the sector and analyse the company before you invest in it.

For instance, the primary risk to earnings in solar energy, one of the largest renewable energy segments, is technological uncertainty.

The rapid technological change often reshuffles the companies in the supply chain. Moreover, the inherent irrational pricing system hampers the ability to predict revenue streams and profitability.

Such knowledge can prepare you to handle the risks and swings that come with investing in penny stocks in the renewable energy sector.

A good way to start is to go through the existing players in the renewable energy sector.

You can also checkout our playlist on Renewable Energy Stocks on Equitymaster's YouTube channel.


IREDA: Leading the Charge in India's Green Energy Revolution

Apr 2, 2024

This state-owned company is capitalising on India's transition to a low-carbon economy. Take a look.

Should You Invest in Solar Penny Stocks in 2024?

Feb 28, 2024

Here are two high potential solar plays to watch out this year.

Why IREDA Share Price is Falling

Feb 14, 2024

The government's renewable energy targets will need financing requirements of around Rs 30 trillion out of which Rs 12 trillion will be from power financing NBFCs like IREDA.

Why SJVN Share Price is Falling

Feb 12, 2024

SJVN is strategically important to the Indian government for improving the share of power from renewable sources, especially hydropower.

Top 10 Power Stocks to Watch Out for in India in 2024

Feb 9, 2024

Power stocks have found favour after a long wait. Here's what lies ahead for them and how you can invest in the best power companies.

5 Things to Know about NTPC Green Energy IPO

Feb 1, 2024

India's largest power company is planning an IPO for its green energy arm. More details inside...

Why 2024 is a Good Time to Invest in the Best Indian Solar Stocks

Jan 24, 2024

There are less than 1 million households with rooftop solar installations at present and Modi wants to take this up to 10 million... clearly, the opportunity is massive.

Best Green Hydrogen Stocks in India (2024) for Long Term Investment

Dec 24, 2023

Here are three reasons why 2024 could be the year of green hydrogen stocks.

Why IREDA Share Price is Rising

Dec 11, 2023

The company recently announced the launch of its retail division, marking a significant step towards expanding lending services.

Why Adani Green Shares are Rising Today

Dec 6, 2023

In just five sessions, Adani Green shares have zoomed over 50%! All eyes are on Adani stocks these days. Should you be cautious?

Top 5 Penny Stocks to Watch Out for in India's Booming Power Sector

Mar 26, 2024

Power stocks have found favour after a long wait. Here's what lies ahead for them and how you can invest in the best power companies.

ONGC Share Price: Risk Reward Equation in Favor of Investors?

Feb 15, 2024

ONGC is investing heavily to achieve its onshore wind energy target of 2 GW by 2030. This is one of the highly advanced tech-led projects in the renewable energy space.

Best OMC Stock: BPCL vs HPCL

Feb 13, 2024

Oil demand in India is expected to double by 2045. And this OMC stock has a competitive advantage compared to its listed peers.

Best Renewable Energy Stock: KP Energy vs Inox Wind

Feb 10, 2024

These two companies are among the few wind EPC players in India.

This Renewable Energy Stock is Up 10,000% in 5 Years

Feb 2, 2024

The company's board recently approved a stock split along with rewarding shareholders with bonus shares.

Why ONGC Share Price is Rising

Jan 30, 2024

ONGC zooms 8%, hits 52-week high. What's driving the rally?

Why SJVN Share Price is Rising

Jan 17, 2024

After zooming 190% in 2023, shares of the company hit an all time high today. What's driving the rally?

IREDA is Getting all the Attention. But No One's Talking about this Little-Known Stock

Dec 14, 2023

This stock has moved up by 24% in the past one month and it looks like the rally is just getting started.

Why Tata Power Share Price is Rising

Dec 8, 2023

Tata Power becomes the sixth Tata group company to cross Rs 1 trillion in market cap. The stock is up over 15% in two days.

Why GAIL Share Price is Rising

Dec 4, 2023

After rallying 45% in 2023 so far, GAIL shares are gearing up for a multi-year breakout.


Which are the top renewable energy companies in India?

Based on marketcap, these are the top renewable energy companies in India:

You can see the full list of renewable energy stocks here.

And for a fundamental analysis of the above companies, check out Equitymaster’s Indian stock screener which has a separate screen for best renewable energy stocks in India.

What are the top gainers and top losers within the renewable energy sector today?

Within the Renewable Energy sector, the top gainers were WAAREE RENEWABLE TECH (up 5.0%) and INSOLATION ENERGY (up 2.5%). On the other hand, WEBSOL ENERGY (down 5.0%) and SURANA SOLAR (down 5.0%) were among the top losers.

How should you value renewable energy companies?

Investing in stocks requires careful analysis of financial data to find out a company's true worth. However, an easier way to find out about a company's performance is to look at its financial ratios.

Two commonly used financial ratios used in the valuation of stocks are -

Price to Earnings Ratio (P/E) - It compares the company's stock price with its earnings per share. The higher the P/E ratio, the more expensive the stock.

Price to Book Value Ratio (P/BV) - It compares a firm's market capitalization to its book value. A high P/BV indicates markets believe the company's assets to be undervalued and vice versa.

To know more about the energy sector's past and ongoing performance, have a look at the performance of the NIFTY energy Index and BSE energy Index.

What are penny stocks?

Penny stocks are shares of listed companies priced below Rs 100. In the US market, these stocks trade for less than a dollar i.e. for pennies. Hence the name.

Penny stocks have the potential for above-average returns. However, they are extremely risky. Therefore, investing in them requires care and caution.

You can see the list of Indian penny stocks and how they are performing here...