20% upper circuit: Solar stock in focus after receiving multiple orders worth ₹225 crore

Synopsis: Waa Solar Limited has secured ₹225 crore solar contracts under the PM KUSUM-C scheme, nearly eight times its FY25 revenue and about three times its current market capitalisation.

Penny Solar Stock, engaged in developing, owning and operating solar power plants and supplying electricity generated under long-term power purchase agreements, hit a 20 percent upper circuit after receiving multiple orders worth Rs. 225 crore from M.P. Urja Vikas Nigam Limited, a Government of Madhya Pradesh enterprise.

With a market capitalization of Rs. 73.79 crores, the shares of Waa Solar Limited hit a 20 percent upper circuit of Rs. 55.62 per share on Monday, up from its previous closing price of Rs. 46.35 per share. Waa Solar Limited has secured multiple Letters of Award from M.P. Urja Vikas Nigam Limited, a Government of Madhya Pradesh enterprise, for the implementation of grid-connected solar PV-based power plants. 

The projects will be executed under the Surya Mitra Krishi Feeders Scheme with feeder solarisation components of the PM KUSUM-C scheme for the sale of power to MPPMCL. The domestic contracts are valued at approximately Rs. 225 crore and are to be completed within 18 months from the date of signing the power purchase agreements. 

Waa Solar Limited has a market capitalisation of about Rs. 73.79 crore and reported revenue of Rs. 28.25 crore in FY25. Compared with this, the Rs. 225 crore order value is nearly 7.96 times its company’s FY25 revenue and about 3.05 times (around more than 205 percent) its current market capitalisation. This order strengthens the company’s order book, improves revenue visibility, and is expected to support future growth and profitability.

Waa Solar Limited’s main business is to set up solar photovoltaic (PV) power projects and sell the electricity generated under long-term power purchase agreements. The company’s portfolio includes a 10.25 MW (DC) ground-mounted solar PV plant at Tikar in Surendranagar, Gujarat, and a 10.42 MW project in Koppal, Karnataka, along with smaller plants like a 100 kW rooftop/airport installation at Raja Bhoj Airport in Bhopal and two 4 MW solar PV projects in Vadodara, Gujarat, and Mansa, Punjab.

Waa Solar Limited is an Indian renewable energy company primarily engaged in generating electricity from solar power projects. It develops, owns and operates grid-connected solar power plants and also invests in special purpose vehicle (SPV) companies that run solar projects. The company was originally incorporated as Waa Solar Private Limited on 9 November 2009 and is based in Gujarat and association with the Madhav Group.

Coming into financial highlights, Waa Solar Limited’s revenue has decreased from Rs. 14.38 crore in H1 FY25 to Rs. 8.81 crore in H1 FY26, which is a drop of 38.73 percent. The net profit of the company has converted from negative to positive,  from a net loss of Rs. 0.29 crore in H1 FY25 to a net profit of Rs. 1.82 crore in H1 FY26. In terms of return ratios, the company’s ROCE and ROE stand at 3.22 percent and 3.78 percent, respectively. Waa Solar Limited has an earnings per share (EPS) of Rs. 6.84, and its debt-to-equity ratio is 0.88x.

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