Multibagger Green energy stock gained 5 percent after it bagged an order from Rajasthan Urja Vikas Nigam Limited (RUVNL) for development and commissioning of a 100 MW Solar project for a consideration of 600 Cr.
At 2:20 p.m the shares of SJVN were trading at Rs. 74.45 up 5 percent from its previous day close price and the market capitalization of the company is 28,722 Cr.
As per the company’s filing, SJVN Green Energy Limited(SGEL), a wholly owned subsidiary of SJVN, received letter of award from Rajasthan Urja Vikas Nigam Limited (RUVNL), for development of 100 MW Solar Power Project to be situated anywhere in the state of Rajasthan.
The Solar project shall be developed on Build Own and Operate (BOO) basis and the tentative cost of construction / Development of this project is around INR 600 Cr. It is expected to generate about 252 MUs (Million units) in the 1st year and the cumulative energy generation over a period of 25 years would be about 5866 MU (Million units).
The Project shall be commissioned in a period of 18 Months from the date of signing of Power purchase agreement(PPA). The PPA shall be signed between RUVNL and SGEL for 25 years. The commissioning of this Project is expected to reduce 2,87,434 Tonnes of carbon emission and would contribute to the GoI mission of reduction in carbon emission.
It has delivered multibagger returns of 122 percent in the last six months and 127 percent in a year. A shareholder’s investment of Rs. 1 Lakh would be worth Rs. 2.27 Lakh in a year.
The company’s revenue increased by 21.57 percent from 2,417 Cr in FY22 to 2,938.35 Cr in FY23, accompanied by increasing profits of 989.8 Cr to 1,359.3 Cr.
The company reported a return on equity (ROE) of 10.06 percent and return on capital employed (ROCE) of 9.08 percent, this indicated that the company is able to make decent returns on its equity and capital employed.
According to the latest shareholding data available for the June 2023 quarter, the company’s Promoters hold 81.85 percent stake, the Domestic Institutional Investors hold 5.73 percent and the Foreign Institutional Investors (FII) hold 0.91 percent.
SJVN Limited is engaged in the business of generation, transmission and consultancy of renewable energy sources like hydro energy, wind energy and solar energy.
Written by: Bharath K.S
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
