By Mohit Bhambhani
Inox Wind’s stock price has shown a 48% growth over last one year. That’s impressive when compared with the market return of 8.6%. And as will see, this is not without reason too. In fact a research house recently predicted a further upside for Inox Wind, based on its estimates. Let’s find out what’s going on at Inox Wind, and why it turned in a relatively solid stock price performance.

Let us start with understanding Inox Wind’s business and company’s guidance for FY25 and FY26.
Inox Wind’s Business
Inox Wind is a part of INOXGFL Group which has a legacy of over nine decades. The INOXGFL Group is primarily focused on Chemicals and Renewable energy. With over 13 years of operational track record, Inox Wind provides end to end turnkey solutions, as well as equipment supply for the wind energy market. The company is a fully integrated wind energy player providing end-to-end solutions from commissioning to execution to Operations and maintenance (O&M).
The company has manufacturing capacity of over 2.5GW across its 4 facilities in Gujarat, Madhya Pradesh, and Himachal Pradesh, and its product portfolio includes 2MW and 3MW Wind Turbine Generators (WTGs), while the company has secured license for 4MW WTGs also. The company also has a robust order book of over 3.3GW with a large order pipeline.
Inox Wind Ltd. has two subsidiaries viz.
- Inox Green Energy Services Ltd. – only listed wind O&M services company of India
- Resco Global Wind Services Pvt. Ltd. – provides EPC services and other services for wind projects.
The company completed 189MW of execution in Q3 FY25, an 82% growth as compared to Q3 FY24. The execution increased to 469MW in 9M FY25, a 90% growth over 9M FY24. And the company has provided the guidance for FY25 and FY 26.

As per FY25 guidance provided by the company, the execution target is nearly 800 MW, a 113% growth over FY24. The company has a strong order pipeline, with current order book of over 3.3GW. This year, the company has achieved a net cash status, and the full year profitability is to be the largest in company’s history.
Similarly, as per FY26 guidance, the execution target is over 1,200 MW, a 50% growth over FY25 estimates. The execution target is backed by large order book and strong pipeline of orders. The company has already secured license for 4MW WTG, and plans to launch 4MW WTG platform in FY26. The company foresees a large jump in profitability and cash flows.
Recently, in January 2025, CARE Ratings upgraded the ratings of Inox Wind Ltd. to CARE A1+ for short term Bank facilities, and to CARE A+/Stable for Long term Bank facilities.
Inox Wind’s Financials Explained
For Q3 FY25, Inox Wind reported revenues of Rs 994 crores, a 96% growth over the revenues of Q3 FY24. Net profit came in at Rs 111.6 crores for Q3 FY25. Over last three years, Inox Wind has reported a compounded sales growth of 35%; while the compounded profit growth too has been 24% over last three years.
Further, as per company’s presentation, the National Electricity Plan indicates nearly 80GW of wind capacity is to be added over next 8 years, which provides a visibility of over Rs 6 lakh crores for the wind Original Equipment Manufacturers and Operation and Maintenance service providers.
Inox Wind’s Return on capital employed (ROCE) has increased to 4% in March 2024 from a negative return of -7% in March 2023 which represents an improving operational efficiency; while for Suzlon Energy, ROCE has been 25% in March 2024, as compared to 20% in March 2023; and for Adani Green Energy, the ROCE has been 10% in March 2024, as compared to 8% in March 2023.
The median return on equity (ROE) has been negative (–6%) over last 10 years for Inox Wind, while considering last three years, Inox wind’s ROE has been -28%, as compared to Adani Green Energy’s ROE for 18% over last three years.
The company definitely has some work to do when it comes to improving its efficiency and profitability.
Inox Wind is trading at around 8.6x its book value of Rs 20.5, while its peers Suzlon Energy is trading at around 18.3x its book value of Rs. 3.32; and Adani Green Energy is trading at around 15.5x its book value of Rs 66.8. The lower valuation is understandable given the poor return ratios.
Coming to the shareholding pattern of Inox Wind, as of December 2024, the Promoters have decreased their share to 48.3%, as compared to 52.9% in December 2023. Foreign institutional investors (FIIs) have increased their holdings to about 15.3%, as compared to 9.5% holdings in December 2023; while the domestic institutional investors have marginally decreased their holdings to about 9.8%, as compared to 9.9% in December 2023. The holding of public at large has decreased to 26.7% in December 2024, from 27.8% in December 2023.
What Analysts Say?
In January 2025, Systematix Institutional Equities recommended a “Buy” on the company’s shares. It set a target share price of Rs 275 based on 16x the company’s 2026 PE estimates. This implies a return of over 50% from current levels.
Further, in December 2024, ICICI Securities recommended a “Buy”, with a target price of Rs 245, based on company’s guidance of execution of 800MW in FY25, and company’s goals of 1.2GW for FY26 and 2GW for FY27.
To sum up, and based on what reports suggest, Inox Wind may show an upside from current levels, considering the levels of projects and its execution, as well as company’s guidance for FY25 and FY26. However, monitoring the speed of execution as well as completion of the projects is important. Only time will tell how far it can grow from current levels.
Note: We have relied on data from www.Screener.in throughout this article. Only in cases where the data was not available, have we used an alternate, but widely used and accepted source of information.
The purpose of this article is only to share interesting charts, data points and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educative purposes only.
Mohit Bhambhani is a seasoned financial professional with over 13 years of experience in the field of financial research and corporate advisory. He also has substantial experience in Indian stock markets. With an analytical approach, he studies the performance of companies deeply, bringing value to the readers.
Disclosure: The writer and his dependents do not hold the stocks discussed in this article.
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