Buy Sterling and Wilson Renewable Energy, target price Rs 377: Axis Securities

Axis Securities has buy call on Sterling and Wilson Renewable Energy with a target price of Rs 377. The current market price of Sterling and Wilson Renewable Energy is Rs 333.2. Time period given by analyst is 3-4 weeks when Sterling and Wilson Renewable Energy price can reach defined target. Axis Securities recommended to keep stop loss at Rs 299.

Sterling and Wilson Renewable Energy, incorporated in the year 2017, is a Mid Cap company (having a market cap of Rs 6343.35 Crore) operating in Engineering sector.

Sterling and Wilson Renewable Energy key Products/Revenue Segments include Income From Contracts, Other Services, Scrap for the year ending 31-Mar-2022.


Financials
For the quarter ended 31-12-2022, the company has reported a Consolidated Total Income of Rs 417.65 Crore, up 1.67 % from last quarter Total Income of Rs 410.80 Crore and down -72.20 % from last year same quarter Total Income of Rs 1502.23 Crore. Company has reported net profit after tax of Rs -99.15 Crore in latest quarter.

The company’s top management includes Mr.Khurshed Yazdi Daruvala, Mr.Pallon Shapoorji Mistry, Mr.Balanadu Narayan, Mr.Saurabh Agarwal, Mr.Keki Manchersha Elavia, Ms.Rukhshana Jina Mistry, Ms.Naina Krishna Murthy, Mr.Cherag Balsara. Company has Kalyaniwalla & Mistry LLP as its auditors. As on 31-12-2022, the company has a total of 19 Crore shares outstanding.

Investment Rationale
Sterling and Wilson Solar on the weekly chart has decisively broken out above the “Falling Channel” pattern at Rs 305 level indicating a positive bias.

Promoter/FII Holdings
Promoters held 72.73 per cent stake in the company as of 31-Dec-2022, while FIIs owned 3.53 per cent, DIIs 4.74 per cent.