Multibagger IREDA Shares Hit Fresh Record After Q1 Profit Jumps 30%

Shares of Indian Renewable Energy Development Agency Ltd. hit fresh record high on Monday after its profit jumped 30% in the first quarter.

The non-banking financial institution net profit jumped 30% year-on-year to Rs 384 crore in the quarter ended June 2024, the company said in an exchange filing after market hours on Friday.

The total loan book outstanding as of June 30, 2024 was at Rs 63,150 crore, up 33.77% over Rs 47,207 crore in April-June FY24, the filing said.

Shares of IREDA rose as much as 9.06% during early trade to hit life high of Rs 310 apiece on the NSE. It was trading 5.36% higher at Rs 299.4 apiece, compared to a 0.19% advance in the benchmark Nifty 50 as of 9:26 a.m.

The stock has risen 401% since its listing on Nov. 11, 2023 and 191.7% on an year-to-date basis. The relative strength index was at 85, implying that the stock is overbought.

One out of the two analysts tracking the company have a 'buy' rating on the stock and another one suggests a 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 54%.