Surana Solar, Indosolar sizzle on bourses on recent slide on solar power tariffs
Surana Solar Limited and Indosolar Limited on Wednesday’s trade are sizzling on the bourses, with gains as much as 6% and 8.8% respectively at around 1045 hours. Surana Solar witnessed a huge spurt in volume by more than 2.8 times, whereas Indosolar Limited witnessed a huge spurt in volume by more than 2.21 times on the BSE. Indosolar Limited hit its 52-week high of Rs 11.17 per share during the trade.
The uptrend of the solar stocks can be mainly attributed to the price of solar energy in India recently witnessing a decline to a new record low, making it cheaper than fossil-fuel generated power. At an auction in Rajasthan earlier, Phelan Energy and Aaada Power offered to charge 2.62 rupees per kilowatt-hour (kWH) of solar-generated electricity. A previous record for the lowest bid was set last month with a price 3.15 rupees per kWH.
The price of solar has been falling in the last three years as Indian Prime Minister Narendra Modi’s government aimed to boost its green footprint.
Indosolar Ltd is currently trading at Rs 11.15, up by Rs 0.95 or 9.31% from its previous closing of Rs 10.2 on the BSE. The scrip opened at Rs 10.51 and has touched a high and low of Rs 11.17 and Rs 10.47 respectively. So far 14652653(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs 365.29 crore.
The BSE group ‘B’ stock of face value Rs 10 has touched a 52 week high of Rs 10.2 on 16-May-2017 and a 52 week low of Rs 5.72 on 22-Nov-2016. Last one week high and low of the scrip stood at Rs 10.2 and Rs 5.9 respectively. The promoters holding in the company stood at 57.66 % while Institutions and Non-Institutions held 4.52 % and 37.83 % respectively. The stock is currently trading above its 200 DMA.