Geojit bullish on solar module makers; bets big on Waaree, Premier Energies

At the current market price, Geojit sees a 15 per cent upside for Waaree Energies shares, and 17 per cent for Premier Energies, initiating coverage on both stocks with Buy ratings

Brokerage firm Geojit Investments is bullish on solar module manufacturers and has initiated coverage on Waaree Energies, and Premier Energies with 'Buy' ratings, citing that India’s renewable energy sector remains structurally attractive, supported by strong long-term electricity demand growth, policy commitment to decarbonisation, and the national target of 500 GW of non-fossil capacity.

 

“Waaree Energies, and Premier Energies exemplify the strategic pivot underway in India’s solar manufacturing sector—from pure capacity expansion toward integration, diversification, and solution-led growth,” wrote Arun Kailasan, research analyst at Geojit, in a report.

 

The analyst noted that renewable capacity expansion is entering a more calibrated phase, with policy and procurement increasingly favouring storage-backed, hybrid, and dispatchable solutions over standalone solar and wind.

 

Waaree Energies | Buy | Target Price: ₹3,650

Geojit has initiated coverage on Waaree Energies with a Buy rating, citing that the country’s largest solar module manufacturer is executing a comprehensive “Waaree 2.0” strategy. This combines deep backward integration across the polysilicon-ingot-wafer-cell-module chain with horizontal expansion into EPC, battery storage, inverters, transformers, renewable infrastructure, and green hydrogen.

 

“Its scale, diversified order book, and global presence position it to navigate module oversupply while capturing value across the broader energy transition ecosystem,” said the brokerage in its report.

 

Amidst this, Waaree Energies shares were quoted trading with gains of 2.93 per cent at ₹3,177 apiece on the NSE at 12:34 PM on Wednesday. The assigned target price implies an upside of 14.88 per cent from the current market price. 

Premier Energies | Buy | Target Price: ₹1,066

Geojit has also initiated coverage on Premier Energies with a Buy call and a target price of ₹1,066 per share, citing that the company represents a fast-scaling, integrated manufacturer with a balanced expansion across cells and modules, complemented by selective diversification into inverters, transformers, and battery energy storage.

 

“With strong domestic demand visibility, ALMM-driven tailwinds, and improving utilisation, Premier illustrates how mid-to-large manufacturers can transition beyond a manufacturing-only model while managing execution and capital-intensity risks,” said Geojit.

 

Premier Energies shares were trading with gains of 2.60 per cent at ₹912 apiece on the NSE at 12:34 PM on Wednesday. The assigned target price implies an upside of 16.88 per cent from the current market price.  CHECK Stock Market LIVE Updates

Bright futures for solar industry

Geojit remains upbeat on the sector’s outlook and expects solar PV capacity to lead renewable capacity additions during the 2025–2030 period. The brokerage highlighted that global renewable additions are expected to reach 4,600 GW, with solar PV contributing 77 per cent of the build-out, making it the dominant growth engine, according to the International Energy Agency (IEA).

 

Rooftop and C&I solar are expected to deliver 42 per cent of total PV additions, driven by high retail tariffs, energy security needs, and the rising adoption of solar-plus-storage solutions, according to Geojit.

 

Onshore wind additions are expected to rise 45 per cent versus 2019–2024, reaching 732 GW, supported by policy reforms reducing bottlenecks in emerging markets. “Offshore wind is projected to grow 140 GW, more than doubling prior-period additions, but faces downward revisions due to cost inflation, permitting delays, and project cancellations in the US, Europe, and Japan,” said Geojit.

 

That said, the IEA has downgraded the global growth outlook by 5 per cent due to regulatory tightening and market challenges, with the US facing the most severe revision (50 per cent across technologies) due to tax credit phase-outs and FEOC restrictions.

 

However, Geojit believes regions such as India, ASEAN, MENA, and parts of Europe could see strong additions due to aggressive auctioning, improved permitting, and accelerated large-scale deployments.  (Disclaimer: View and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers' discretion is advised.)