IP
IndiaPulse

Indian Renewable Energy Development Agency Limited (IREDA)

Mid Cap

Financial Services stocks · Mid cap · NSE

India’s largest pure-play green financing NBFC with over 39 years of experience. It holds Infrastructure Finance Company status by RBI and is a Systemically Important Non-Deposit Taking NBFC. 71.76% owned by Government of India, a Navratna & 'Schedule A' CPSE, playing a strategic role in GoI’s RE sector initiatives.

₹113.64
+0.64 · +0.57%
Quote04 Sept, 03:57 pm IST
Fundamentals05 Sept 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags15 Aug 2026
Coverage12/14 · 86%
Valuation2026-07-20 · Rf 6.8% · Financial Services P/E 18.5 (n=240)
Data confidence
Fresh enough for analysis
Investor decision lenses

One read, four checks

75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.

Weak fundamentals, management trust needs verification, price trend argues for patience, and recent execution is consistent.

Suggested next step
Research, do not rush
The four lenses are not strongly aligned. Compare peers and wait for a cleaner setup.
U-Score
WATCHLIST
42

Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.

Trust
Weak Trust
54

low confidence · 0/0 claims checked

Technical
Strong Bear
18

Timing lens: price trend and sector relative strength.

Result consistency
stable
79

Rolling lens: recent quarterly delivery, not the latest single-result score.

Latest result

Quarter ended 30 Jun 2026

Good · 65/100

Rev +15% YoY · PAT +37% YoY · operating leverage

Filed 30 Jun 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹2,249 Cr+15.4%+3.4%
EBITDANDFNDFNDF
Operating marginNDFNDFNDF
PAT₹339 Cr+37.3%-31.2%
PAT margin15.1%+239 bps-760 bps

NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.

Business & thesis

Growth engines, tailwinds/headwinds, and risk radar from management commentary

Business and thesis

Where growth can come from, and what can break the case

Thesis intactReviewed 2026-06-14T07:55:20.947Z
Management commentary snapshot

IREDA reported strong FY26 performance with Revenue from Operations up 23% YoY to Rs 8309 Cr and PAT up 10% YoY to Rs 1873 Cr. Outstanding Loan book grew 22% YoY to Rs 93069 Cr. Asset quality saw a QoQ improvement in Net NPA to 1.29% from 1.68%.

The company demonstrated robust financial growth in FY26, driven by significant expansion in its loan book. Asset quality, while showing a YoY increase in Gross NPA, improved sequentially in Net NPA. The strong government backing and strategic role in India's RE targets provide a solid foundation for continued growth.

Current business mix

Outstanding Loans by Sector as of March 31, 2026

Latest issuer-disclosed distribution across 12 reported categories.

Businessmix
Solar Energy26.0%
Loan facility to state utilities23.0%
Wind Power11.0%
Manufacturing10.0%
Hydro Power9.0%
Ethanol8.0%
Hybrid Wind & Solar4.0%
Short Term & Medium Loans to private2.0%
Smart Meters2.0%
Biomass Power & Cogeneration1.0%
Loans to NBFCs1.0%
Biomass (Briquetting, Gasification & Methanation from Industrial Effluents)1.0%
Growth engines

India's RE Sector Growth

Outlook for India’s RE sector is positive, with major policy announcements & ambitious targets.

Government of India's RE Targets

India has a target of 500 GW non-fossil fuel-based energy by 2030.

Emerging Technologies Financing

Financing for Battery Storage System, Green Hydrogen, Pumped Storage Hydro, Smart Meters, EV & Charging Infra.

Diversified Financial Products

Offers a comprehensive suite of financial products and related services for the RE Sector.

Capacity and execution

Loan Sanction Growth

Sanction increased 9% YoY to Rs 51883 Cr in FY26.

Loan Disbursement Growth

Disbursement increased 16% YoY to Rs 34946 Cr in FY26.

Tailwinds

Government Support & Policy

Plays a strategic role in GoI’s initiatives for promotion & development of RE sector.

Strong Credit Ratings

Highest Domestic Credit Ratings of ‘AAA/Stable’ and S&P Global Ratings ‘BBB’’ with Stable Outlook.

Access to Diverse Funding

Raised JPY 26 Billion ECB Facility from SBI Tokyo and ₹2,005.90 crore through a Qualified Institutional Placement (QIP) in 2025.

Risk radar

Asset Quality Volatility

Gross NPA increased to 3.49% in FY26 from 2.45% in FY25, though Net NPA improved QoQ.

Concentration Risk

Solar Energy (26%) and Loan facility to state utilities (23%) comprise nearly half of the outstanding loan book.

Management accountability

What management said, and what results must prove

Management accountability

What management said, and what results must prove

Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.

Analyst reading lens
Compare BOTH

Annual (YoY) comparison is crucial for assessing the overall financial health and growth trajectory of a financial institution over a full business cycle. Quarterly (QoQ) comparison is important for tracking sequential momentum in loan book growth, asset quality trends, and profitability, especially for an NBFC.

Sector KPIs management disclosed

Outstanding Loan book

Outstanding Loan book of Rs 93069 Cr in FY26, a 22% Y-o-Y change.

Gross NPA (%)

Gross NPA was 3.49% in FY26, compared to 3.75% in Q3 FY26 and 2.45% in FY25.

Net NPA (%)

Net NPA was 1.29% in FY26, compared to 1.68% in Q3 FY26 and 1.35% in FY25.

Yield on Loan Assets (%)

Yield on Loan Assets (Gross) was 9.54% in FY26, down from 10.03% in FY25.

Management forward view

Commitment to Shareholder Value

Declared interim dividend of Rs 0.60 per equity share reflecting commitment to delivering long term value to shareholders.

ESG Integration

Committed for the development and implementation of projects that are environmentally and socially sustainable.

ESG Reporting

Planned Third BRSR with reasonable assurance and First sustainability report for FY26.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
Net NPA1.29% (FY26)Sustained sequential improvement and stability below 1.5%.
Loan Book Growth22% YoY (FY26)Continued double-digit growth in sanctions and disbursements.
Net Interest Margin (NIM)3.65% (FY26)Stability or improvement in NIM amidst changing interest rate environment.
Provision Coverage Ratio63.88% (FY26)Continued strengthening of provision coverage.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Technical timing lens

Trend score and candlestick chart

18Strong Bear

full bear SMA stack · SMA20 -3.9% / mo · MACD − · near 52W low

Stock trend: 18
Sector RS:

Technical chart

IREDAdaily · 1Y · AUTO-1.7%
Latest close ₹113.64 on 2026-09-04
Bar
+0.1%
RSI
39
MACD hist
-0.19
52W pos
9%
2026-09-04O ₹113.50H ₹114.60L ₹113.25C ₹113.64Vol 26.3L sh
₹106.94₹116.35₹125.75₹135.16₹144.5652L113.642026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Bearish setup

Trend is weak — long-term trend down. RSI 39.

  • Price < SMA20 < SMA50 < SMA200 — full bearish stack.
  • SMA20 falling (~4.0% over last month) — short-term momentum negative.
  • RSI(14) at 39 — falling, no extreme reading.
  • MACD below signal, histogram expanding negatively — bearish momentum building.
  • Within 5% of 52-week low — testing support.

Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.

Nifty 500 leadership

Relative Strength & Trend Stage

18
RS percentile
Stage 4 Downtrend
1M return
-5.1%
3M return
-7.2%
6M return
-2.9%
1Y return
-25.7%
RS 1D
-1
RS 20D
-5
Sector rank
#9
Industry rank
-
Stage evidence
  • Price is 7.7% below the 30-week proxy.
  • The 50-DMA is below the 30-week proxy and its slope is falling -1.7%.
  • Both 3-month and 6-month returns are negative.
50-DMA
price below
200-DMA
price below
Sector
neutral
Industry
unranked
Relative-strength line vs Nifty 500 (base 100)
264 observations
04 Sept 2026Value 76.82+0.56%
758392101109Aug 25Dec 25Apr 26Sept 2677
RS vs Nifty 50077

Valuation & score drivers

U-Score 42 · WATCHLIST · pillar breakdown, sector model, fair-value anchor

42U-SCORE
Growth at Value

Fundamental score breakdown

WATCHLIST
Valuation13/30
Growth19/25
Quality8/20
Balance Sheet0/15
Cash Flow0/10
Piotroski
3/9 (+1)
Penalties
1
Raw sum
42

Why this score?

Top U-Score contributors and drags from the latest stored fundamentals.

42/100 · WATCHLIST

Positive drivers

  • Fair-value margin of safety is positive at 41.5%.
  • Growth contributes 19/25 to the score.
  • Valuation contributes 13/30 to the score.

Main drags

  • Altman Z is 0.5, in distress territory.
  • Balance sheet is weaker at 0/15; verify the latest quarterly trend.
  • Cash flow is weaker at 0/10; verify the latest quarterly trend.
Sector valuation model

NBFC valuation: P/B, ROA, borrowing cost, and asset quality

Lenders can look optically cheap before credit losses emerge, so valuation is tied to book quality.

NBFC P/B
Primary lens
P/B adjusted for ROA/ROE and leverage quality.
Secondary checks
AUM growth, spreads, credit cost, liquidity and ALM risk.
Main risk check
Fast growth with weak asset quality deserves a discount.
PE
16.2
PB
2.3
EV/EBITDA
2494.8
ROE
15.6%
ROCE
8.7%
FCF Yield
Debt/Equity
5.7
MoS
+41.5%
Score movement

Stored run vs live recompute

This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.

Stored run: 05 Sept 2026
v4.3-runtime-valuation
Final score
42
Previous: 42
Verdict
WATCHLIST
Previous: WATCHLIST
Margin of safety
+41.5%
Previous: +41.5%

Score history

12 stored score snapshots. Latest stored move: +0 points.

05 Sept 2026
v4.3-runtime-valuation
39
39
41
41
41
39
42
42
41
42
42
42

Factor attribution

No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.

Modelled fair value

Graham Number
₹87.94
-29.2% MoS
Growth-justified P/E
27.8
Growth-justified Value
₹194.25
+41.5% MoS
PEG
0.53

Trust score

Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth

Trust Score
54Weak Trust · low confidenceTrust Lite

Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.

Weak Trust: Claim history is still being built. It ranks around the 13th percentile of the scored universe and 21st percentile within Financial Services. Main check: balance sheet trust is weak at 22/100.

Mixed Trust Lite: Promoter holding is 71.8%. Key concern: Operating cash flow is negative at ₹-14477 Cr.

Computed 05 Sept 2026
management-trust-v1
23 docs text-extracted · 0 concalls text-extracted
Score band
Weak Trust

Management or financial behaviour needs caution. Demand stronger valuation compensation.

Relative rank
13th percentile

overall median 67 · Financial Services: 21st pctile, median 62 · Mid: 5th pctile, median 76

Evidence depth
Financial-only

23 documents have extracted text, but claim history is not strong enough yet.

Claim delivery
Outcome history still building

0 claims extracted · No contradicted claim yet

How to read this Trust Score

Weak Trust · low confidence
What it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Needs extra due diligence; demand valuation comfort and recent improvement.

Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.

Forensic breakdown

Read low sub-scores as due-diligence warnings, not automatic sell signals.

Promoter
86
strong · holding, pledge, alignment
Cash flow
28
weak · profit to cash conversion
Balance sheet
22
weak · leverage and solvency
Discipline
68
acceptable · capital discipline
Results
79
strong · quarterly consistency

Trust positives

  • Promoter holding is 71.8%.
  • Promoter pledge is zero.
  • 4/4 latest quarters had positive YoY revenue growth.
  • 3/4 latest quarters had positive YoY PAT growth.

Trust risks

  • Operating cash flow is negative at ₹-14477 Cr.
  • Debt/equity is 5.65.
  • Altman Z is 0.46.
  • Only 0 years of positive FCF.

Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.

Financials

Full fundamentals table and 10-year revenue / profit / ROE history

Fundamentals

Valuation

P/E
16.20
P/B
2.32
EV/EBITDA
2494.77
Market Cap
31924.00Cr

Profitability

ROE
15.60%
ROCE
8.69%
ROA
2.00%
Dividend Y
1.19%

Growth (CAGR)

Revenue 5Y
26.00%
EPS 5Y
40.00%
Revenue 3Y
16.00%
EPS 3Y
16.00%

Balance Sheet

Debt/Equity
5.65
Interest Coverage
Altman Z
0.46
Book Value
49.10

Cash Flow

FCF Yield
FCF Positive Y
0/5
OCF
-14477.00 Cr
EPS TTM
7.00

Shareholding

Promoter Hold
71.76%
Promoter Pledge
0.00%
Momentum 52W
9%

Financial History

Updated 5/9/2026

Revenue

₹ Cr
No data

Net Profit

₹ Cr
No data

Return on Equity

%
No data

Peers

Business-comparable names in Financial Services, ranked by similarity

Verify on:NSE India ↗
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.