Best Green Energy Stocks in India in October 2024 – 5yr CAGR Basis

India is set to see a big jump in its energy needs over the next few years because of its large population and the chance to grow and develop more. India plans to use more green, renewable energy to handle this increase in a way that’s good for the planet. The country aims to have no net carbon emissions by 2070 and wants half of its electricity to come from renewable sources like wind and solar by 2030. This is a big deal in the fight against climate change. In this article, let’s look at some of the best green energy stocks in India for October 2024 based on the 5-year CAGR.

Best Green Energy Stocks in October 2024 – 5yr CAGR Basis

Note: The list of green energy stocks in India here are sorted as per the 5-yr CAGR as of September 30, 2024. 

Overview of Best Green Energy Stocks in India in October 2024

• Ujaas Energy Limited

Ujaas Energy Limited, previously known as M and B Switchgears Ltd, is a leading provider of solar power solutions in India. The company specialises in developing, operating, owning, and maintaining a diverse range of solar energy power plants under the brand name ‘UJAAS.’ Ujaas Energy operates in three main areas: Transformer services, Solar Power Plant Operations, and the Manufacturing and Sale of Solar Power Systems.

For the quarter ended June 2024, the company’s revenue decreased to ₹6.29  crore from ₹6.84 crore in the preceding quarter. Meanwhile, the net profit increased to ₹3.82 crore from ₹-4.14 crore in the previous quarter. 

Key metrics: 

• Earning per share (EPS): ₹3.67
• Return on equity (ROE): 43.34%
• Adani Green Energy Limited

Adani Green Energy Limited, established in 2015, acts as a parent company for various subsidiaries focused on renewable power generation. The company mainly engages in producing renewable energy and related activities.

For the quarter ended June 2024, the company’s revenue decreased to ₹3,383.00 crore from ₹7,304.00 crore in the preceding quarter. Meanwhile, the net profit increased to ₹-89.00 crore from ₹-195.00 crore in the previous quarter. 

Key metrics: 

• EPS: -₹2.71
• ROE: -5.73%
• K.P. Energy (KPEL)

K.P. Energy (KPEL) is part of the KP Group based in Surat. The company focuses on building large-scale wind power generation facilities. Its main activities include finding locations for wind farms, acquiring land and permits, managing the engineering, procurement, construction, and commissioning (EPCC) of wind projects, and developing supporting infrastructure. KPEL also owns and operates wind turbine generators (WTGs) and solar power plants as an independent power producer (IPP). The company primarily works on projects in Gujarat.

For the quarter ended June 2024, the company’s revenue decreased to ₹125.67 crore from ₹206.21 crore in the preceding quarter. Meanwhile, the net profit decreased to ₹18.50 crore from ₹25.43 crore in the previous quarter. 

Key metrics: 

• EPS: ₹9.20
• ROE: 33.84%
• Jaiprakash Power Ventures Ltd

Jaiprakash Power Ventures Ltd is a company within India’s prominent infrastructure group, Jaypee Group. It focuses on generating power, producing both thermal and hydropower. Additionally, it is involved in cement grinding and operates its own coal mining operations.

For the quarter ended June 2024, the company’s revenue increased to ₹1,754.70 crore from ₹1,514.83 crore in the preceding quarter. Meanwhile, the net profit increased to ₹348.48 crore from ₹252.84 crore in the previous quarter. 

Key metrics: 

• EPS: ₹1.23
• ROE: 7.35%
• Orient Green Power Company Limited

Orient Green Power Company Limited is an independent renewable energy producer. It develops, owns, and operates a variety of wind energy power plants.

For the quarter ended June 2024, the company’s revenue increased to ₹6.93 crore from ₹5.48 crore in the preceding quarter. Meanwhile, the net profit decreased to ₹-29.84 crore from ₹-1.26 crore in the previous quarter. 

Key metrics: 

• EPS: -₹0.28
• ROE: -3.48%

Green Energy Sector Outlook

India has set ambitious goals to cut the carbon intensity of its economy by less than 45% by 2030, achieve 50% of its electricity from renewable sources by 2030, and reach net-zero carbon emissions by 2070. The country’s low-carbon technologies could create a market valued at up to $80 billion by 2030.

India targets to produce 5 million tonnes of green hydrogen by 2030, with its electrolyser manufacturing capacity expected to reach 8 GW per year by 2025. The green hydrogen market in India could be worth $8 billion by 2030, and the country will need at least 50 GW of electrolyzers to boost hydrogen production.

By 2040, it is predicted that renewable energy will generate about 49% of total electricity, with improved batteries helping to reduce solar energy costs by 66%. Transitioning from coal to renewable sources could save India ₹54,000 crore (approximately $8.43 billion) each year. Additionally, around 15,000 MW of wind-solar hybrid capacity is expected to be added between 2020 and 2025.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.