IREDA - Indian Renewable Energy Development Agency Ltd.

Date: 7-Jan-2024
Rating: Buy (Mid Term as well as Long Term Opportunity)
LTP: Rs. 105.10
Target: (1) Rs. 123 --> (2) Rs. 140 --> (3) 168 ++
SL: 85

Technical View:
Since the listing, IREDA is in its primary uptrend. Recently it has given break-out from its secondary down trend and been consolidating between 101 & 105. This break-out and consolidation is giving a bullish signal for a start of new swing within it’s current primary uptrend.

Mid-Term View:
• IREDA is likely to make it to the MSCI Smallcap index, according to Nuvama Alternative & Quantitative Research. If research firms to believed then MSCI may make the official announcement on February 13, with adjustments set to take place on February 29.
• Any inclusion or increase in stock weightage in global indices like MSCI and FTSE leads to inflows from passive funds, which track that index.

Long-Term View:
• IREDA provides a comprehensive range of financial products for promoting, developing, and extending financial assistance for new and renewable energy (RE) projects, and energy efficiency and conservation (EEC) projects.
• In it’s National Electricity Plan (NEP), India has charted out to triple its renewable energy capacity by 2030 to meet it’s commitment of a sustainable energy future. However, realizing this vision comes with a significant price tag, requiring a substantial investment of USD 293 billion.

Disclaimer: I am not a SEBI registered analyst/consultant and not recommending anyone to take any BUY or SELL position in stock market. Investing in stock market is risky and one should do a self analysis and validation before investing in stock market.

Comment:

Updates: 16-Jan-2024
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LTP: 119.50
IREDA - 1st target of Rs. 123 reached on 16-Jan. 14% up from suggested level.

NEXT TARGET: 140

Comment:

Updates: 22-Jan-2024
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LTP: 148.85
IREDA - 2nd target of Rs. 140 reached on 20-Jan. 42% up from suggested level.

NEXT TARGET: 168

Comment:

Updates: 26-Jan-2024
LTP: 169.80 (on 25-Jan-2024)
IREDA - 3rd target of Rs. 168 reached on 25-Jan. 62% up from suggested level.

NEXT TARGET: Technicals are still showing strength which may take it to next target of 195.

Comment:

Updates: 4-Feb-2024
LTP: 195.05 (on 2-Feb-2024)
IREDA - 4th target of Rs. 195 reached on 2-Feb. 86% up from suggested level.

NEXT TARGET: Technicals are still showing strength which may take it to next target of 212.

Comment:

Updates: 6-Feb-2024
LTP: 209.45
IREDA - 5th target of Rs. 212 reached. 99% up from suggested level.

NEXT TARGET: Technicals are still showing strength which may take it to next target of 227.

Comment:

Updates: 13-Feb-2024
MSCI has announced to add IREAD to its index starting 29-Feb which will lead inflow of passive FII funds. Hope to see some reversal in coming sessions.

Comment:

Updates: 15-Feb-2024
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LTP: Rs. 177.05
With recent fall, IREDA has retraced 28% from previous high. Post that it again started showing the strength. Revising the targets post current retracement.

NEXT TARGETS: (6) Rs. 214 --> (7) Rs. 252

Comment:

Updates: 28-Feb-2024
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MSCI Index adjustments announced on 13-Feb will be effective from tomorrow, 29-Feb. According to calculations by Nuvama Alternative & Quantitative Research, India could witness upwards of $1.2 billion FII passive inflow on February 29 when the adjustments are made by funds, ETFs that benchmark against MSCI indices.

According to NDTVProfit.com, IREDA will bring inflows worth $12 million.