Adani Green Energy is very well positioned to leverage the currency wave of renewable energy buzz in the country.- The company’s shares have jumped 18% in the last five days and 45% in the last one month.
- Expectations of higher fund allocation to this sector in the budget is another reason for the rally in the stock.
Indian Prime Minister Narendra Modi’s speech in Glasgow, at the COP26 Summit in October 2021, had mentioned a target of achieving 500 gigawatts of installed power capacity from non-fossil sources by 2030 and becoming net zero by 2070.
As a result, shares of the Adani Group company, Adani Green Energy, and several other
Moreover, there is a big expectation that there may be big bucks allocated in the budget to promote the construction of new capacity in solar, wind and hydropower projects.
“The whole green energy space is in an uptrend since India signed the Paris Agreement and Narendra Modi said India declared India is going to be carbon neutral by 2050. Moreover, the upcoming union budget is expected to provide some tax relief to the whole renewable energy sector,” Kranthi Bathini, director of equity strategy at WealthMills Securities told Business Insider.
Adani Green Energy made a profit of ₹183 crore in FY21 after making a loss in the preceding two years.
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