Inox Wind share price jumps 5% after stake sale in subsidiary at ₹7,400 cr valuation. Should you buy, sell or hold?

Inox Wind share price rose by almost 5 per cent to ₹147.86 apiece on Tuesday, August 19, after the company announced the sale of shares worth ₹175 crore in its subsidiary, Inox Renewable Solutions Ltd., to investors at a valuation of ₹7,400 crore.

Inox Wind shares have remained in red in short-term. The stock has descended over 13.59 per cent in a month and 15 per cent in six months.

Inox Renewable Solutions, earlier operating as Resco Global Wind Services Pvt Ltd, is engaged in executing EPC contracts within the renewable energy space. The company stated that the divestment is aimed at enhancing business efficiency and unlocking value.

Inox Wind Q1 results 2025

The announcement follows Inox Wind’s June-quarter earnings, where the company reported a 134 per cent surge in net profit to ₹97.3 crore in Q1 FY26, up from ₹41.6 crore in the same period last year. Profit before tax rose 167 per cent to ₹138 crore, while cash profit jumped 168 per cent to ₹186 crore.

Revenue for the quarter grew 29.2 per cent year-on-year to ₹826.3 crore, compared with ₹639.2 crore a year earlier.

The company’s EBITDA rose 36.5 per cent year-on-year to ₹183.8 crore in the June quarter, compared to ₹134.7 crore in the same period last year. Its EBITDA margin also improved, increasing to 22.2 per cent from 21 per cent a year earlier.

Order execution came in at 146 MW, below the street’s expectation of 180 MW. However, the company maintained a healthy order book of approximately 3.1 GW.

Inox Wind share price - Should you buy, sell or hold?

Brokerage firm Axis Securities has maintained ‘buy’ rating on Inox Wind with a target price of ₹190. “We assign a target P/E multiple of 30x (Unchanged) to our FY27 EPS estimate. After adjusting for the minority stake in Inox Green Energy Services Ltd and Resco Global (~7%), we arrive at a TP of ₹190/share. We maintain our BUY rating on the stock, with a potential upside of 39% from the CMP,” the firm said.

Meanwhile, brokerage firm ICICI Securities has also reiterated its ‘buy’ tag with a target price of ₹230. “We believe the lower order inflow (OI) - of 51MW in Q1 reduces the visibility of revenues in FY27E. Thus, we are tapering FY27E estimates on execution to 1.5GW (from 1.7GW earlier). The company is undergoing restructuring of its various businesses to streamline the balance sheet (discussed below). Given the industry tailwinds and sharp drop in the stock price, we maintain a BUY on the stock with a revised TP of INR 170 (vs INR 230 earlier),” it said.

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