Solar energy recorded the highest capacity addition in FY25, with 23.83 GW installed—up significantly from 15.03 GW in the previous year. India’s renewable energy sector is projected to attract investments exceeding $250 billion, including around $15.5 billion for solar PV projects and $2.7 billion for battery manufacturing. Between 2025 and 2030, power generation from solar and wind projects is expected to remain cost-competitive compared to thermal power in India.
Following are a few solar stocks with a PEG less than 1 to keep in your radar:
Waaree Energies Limited
With a market cap of Rs. 1.01 lakh crores, the stock surged by around 1.2 percent on BSE, rising to Rs. 3,544.4 on Friday. The company has reported a low PEG ratio of 0.24, indicating that the stock may be undervalued. Additionally, the company has a Return on Equity (ROE) of 27.4 percent and a Return on Capital Employed (ROCE) of 34.9 percent.
Waaree Energies Limited is India’s largest solar module manufacturer and leading renewable energy company. The company offers a wide range of solar solutions, including panel manufacturing, EPC services, project development, and rooftop solar systems.
Premier Energies Limited
With a market cap of Rs. 47,457.5 crores, the stock surged by around 1 percent on BSE, rising to Rs. 1,063.45 on Friday. The company has reported a low PEG ratio of 0.15, indicating that the stock may be undervalued. Additionally, the company has a Return on Equity (ROE) of 53.6 percent and a Return on Capital Employed (ROCE) of 41.1 percent.
Premier Energies Limited is one of India’s largest fully integrated solar cell and module manufacturers, with an annual installed capacity of 3.2 GW for solar cells and 5.1 GW for modules spread across three factories in Telangana. It holds nearly a 100 percent market share in solar cell exports from India to the United States.
Insolation Energy Limited
With a market cap of Rs. 4,336.3 crores, the stock surged by around 2 percent on BSE, rising to Rs. 203.05 on Friday. The company has reported a low PEG ratio of 0.22, indicating that the stock may be undervalued. Additionally, the company has a Return on Equity (ROE) of 49.9 percent and a Return on Capital Employed (ROCE) of 56.6 percent.
Insolation Energy Limited is mainly engaged in the business of manufacturing a wide range of solar products, including solar modules, solar PCUs, and solar batteries, all marketed under the brand name of INA.
Websol Energy System Limited
With a market cap of Rs. 5,452 crores, the stock surged by around 0.5 percent on BSE, rising to Rs. 1,296.9 on Friday. The company has reported a low PEG ratio of 0.18, indicating that the stock may be undervalued. Additionally, the company has a Return on Equity (ROE) of 80.2 percent and a Return on Capital Employed (ROCE) of 59.2 percent.
Websol Energy System Limited is engaged in the business of manufacturing solar photovoltaic (PV) cells and modules, specialising in producing high-efficiency solar cells and modules incorporating advanced Mono PERC technology.
Written by Shivani Singh
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