It must be mentioned that the end of the shareholder lock-in period does not mean that all the shares will be sold in the open market, although they do become eligible to be traded.
Premier Energies shares made their stock market debut in September last year, becoming one of the most successful listings of the year. The stock had debuted at more than double of its issue price of ₹450 per share and went on to make a post-listing high of ₹1,388.
Since then, the stock has been in correction mode, in-line with the sell-off witnessed in the broader markets.Most of that fall has come during the first two months of 2025 as the stock is down 31% year-to-date. Concerns over US President Donald Trump’s policies with regards to renewable energy has been a key overhang on the stock.
Kotak Institutional Equities has a “sell” rating on Premier Energies with a price target of ₹840 per share, implying further downside from current levels.
Further capacity commissioning by Premier and the ability of competitors to stabilize cell lines will be key monitorables for Premier’s profitability, the brokerage wrote in its note on February 4.
Shares of Premier Energies have opened 5.3% lower at ₹875. The stock is now down 37% from its post-listing high of ₹1,388.
First Published: Feb 28, 2025 6:34 on IS
