Nuvama, a well-known Indian brokerage and wealth management firm, has predicted strong growth for Premier Energies, saying the stock could rise by 32% in the coming months.
Shares of Premier Energies were in focus on Wednesday, November 26, after Nuvama initiated coverage with a “buy” rating and set a target price of ₹1,270 per share. The stock had closed at ₹961.7 in the previous session.
Nuvama believes Premier Energies is in the right position to benefit from the rapid growth of the new energy sector, while its main solar business continues to perform well.
The brokerage expects the company’s revenue and EBITDA to grow quickly, with projected CAGRs of 49% and 43% between FY26 and FY28. It also said fears of excess industry capacity are overstated due to tough funding conditions.
Although margins may soften slightly, Premier Energies’ move toward backward integration, starting its own production of wafers, BESS units, transformers, and inverters, gives it stronger control over operations and reduces risks. Since the company is still early in a high-growth cycle, Nuvama believes it deserves a higher valuation.
Out of 11 analysts covering the stock, seven recommend a “buy,” while two each suggest “hold” and “sell.”
Premier Energies’ stock ended the previous session 2.8% lower at ₹961.7. It has fallen 12.6% in the past month and 27.8% so far this year.
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