Shares of the Indian Renewable Energy Development Agency Ltd. (IREDA) continued to decline, reaching their lowest point in nearly four months on Wednesday. The stock briefly interrupted a seven-session losing streak earlier in the day but ultimately remained under pressure. Over the past week, the stock has dropped by 9.31%, struggling to recover since October 11 due to negative sentiment stemming from disappointing net profit estimates for the July–September period.
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On October 10, IREDA’s shares saw a brief increase of over 2% after the company announced a year-on-year net profit increase of 36.14%, amounting to Rs 388 crore, compared to Rs 285 crore. However, this figure fell short of Bloomberg’s projected estimate of Rs 410 crore for the quarter, contributing to the stock’s negative outlook.
Additionally, IREDA reported a rise in net non-performing assets, increasing to 1.04% during the July–September quarter from 0.95% in the same period of the previous fiscal year. This uptick further added to investor concerns regarding the company’s financial health.
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As of 11:27 a.m. on Wednesday, IREDA’s share price had declined by 5.54%, trading at Rs 199.52, marking its lowest level since June 26. At one point during the session, the stock gained 1.69% but ultimately remained below the previous closing price.
Despite the recent downturn, IREDA’s shares have shown significant growth over the past year, rising by 233.68%, with a year-to-date increase of 94.55%. The total trading volume for the day was 1.6 times its 30-day average, with the relative strength index reported at 31.51, indicating oversold conditions.
