Synopsis:
Reliance Power’s stock surged up to 14% on Friday, October 10. The rally was driven by strong trading volumes and renewed investor confidence following the company’s clarification regarding a recent SEBI notice.
This company, established to develop, construct and operate power projects both in India as well as internationally, is now in the spotlight after intense trading activity and renewed buying interest and regulatory clarity.
With market capitalization of Rs. 19,930 cr, the shares of Reliance Power Ltd are currently trading at Rs. 48.88 per share, increasing 14% in today’s market session making a high of Rs. 50.73, from its previous close of Rs. 44.45 per share.
Heavy Trading Volumes and Market Activity
Approximately 12 crore equity shares of Reliance Power changed hands during the session, significantly higher than the company’s one-week and one-month average volumes of 2 crore shares each. The sharp jump in trading volumes signals robust investor participation and heightened enthusiasm, often seen when market sentiment turns decisively positive.
SEBI Notice and Clarification
Earlier in the week, Reliance Power received a Show Cause Notice from the Securities and Exchange Board of India (SEBI), which was related to a probe involving Reliance Infrastructure Limited’s business dealings with CLE Private Limited.
Reliance Power promptly issued a regulatory clarification stating that it has zero exposure or financial connection with CLE Private Limited and is not directly implicated in the SEBI investigation. This transparent response reassured investors and removed a key overhang regarding potential regulatory risks.
Overall Market Sentiment
Despite the regulatory scrutiny, the timely and detailed clarification issued by Reliance Power has helped inject confidence among both retail and institutional investors. As a result, the stock emerged as one of the most actively traded counters on the NSE for the day.
About the company
Reliance Power Ltd is engaged in the development, construction, and operation of power projects across India. The company operates a diverse portfolio that includes coal, gas, and renewable energy-based power plants. In recent times,
The company’s sales declined from Rs. 1,978 crore in Q4 FY25 to Rs. 1,886 crore in Q1 FY26. Operating profit also fell from Rs. 590 crore to Rs. 565 crore, while net profit dropped significantly from Rs. 126 crore to Rs. 45 crore during the same period.
Written by Manideep Appana
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. Trade Brains Technologies Private Limited 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.
