Should You Buy IREDA Stock in India in 2025?

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At HelloSafe, our expert has been tracking the performance of IREDA for over three years. Every month, over a million users in India trust us to decipher market trends and identify the best investment opportunities. Our analyses are provided for informational purposes and do not constitute investment advice. In accordance with our ethical charter, we have never been, and will never be, compensated by IREDA.

What is IREDA?

The Price of IREDA Stock

The price of IREDA stock is falling this week. As of today, IREDA trades at ₹167.50, showing a 24-hour decline of 0.51%, while the weekly change is not available. The company's market capitalization stands at ₹46,835 crores, with an average three-month volume of 15.29 million shares. IREDA currently trades at a P/E ratio of 27.6 with no active dividend yield, and the stock’s beta has not been disclosed. After a significant slide from its all-time high, investors should weigh both recent volatility and the long-term growth opportunity in India’s renewable finance sector.

Our Full Analysis of the IREDA Stock

We have thoroughly reviewed IREDA’s most recent financial results as well as the stock’s trajectory over the past three years. Our analysis draws on a blend of financial indicators, up-to-date technical signals, market trends, and relative comparisons with sector peers, all synthesized through proprietary algorithms developed for the Indian market. So, why might IREDA stock once again become a strategic entry point into the renewable energy finance sector in 2025?

Recent performance and market context

IREDA has recently seen significant market interest, reflected in its current share price of ₹167.50 as of July 2025. While the stock has corrected over the past six months, down 27.7%, this moderation has come after a spectacular debut and has helped establish a more sustainable valuation base. Over the past year, the stock is still up over 20% from its 52-week low, and its current market capitalization stands at ₹46,835 crores, signifying robust investor confidence. Notable recent events, including a successful qualified institutional placement (QIP) raising over ₹2,000 crores and a 29% surge in sanctioned green loans in Q1 FY26, reinforce IREDA’s expanding strategic relevance. The overall macroeconomic climate in India remains supportive of the renewable energy sector, thanks to favourable government policies, a massive pipeline of projects, and rising demand for sustainable energy finance—all of which underpin the stock’s medium- and long-term potential.

Technical analysis

From a technical perspective, IREDA exhibits a healthy market structure with clear volatility and defined levels for accumulation. Currently, the 14-day RSI is neutral at 45.17, indicating neither overbought nor oversold conditions and thereby presenting investors with an attractive entry environment. The MACD stands at -0.86, suggesting a short-term correction, but the price remains close to all key moving averages (20-, 50-, and 100-day), indicating strong underlying support. Immediate supports are observed at ₹165.37, with additional layers at ₹164.06 and ₹162.60, and resistance near ₹168.58 and ₹170.53. Historically, rebounds from these zones have led to strong rallies, making current levels particularly appealing for tactical positions. Momentum indicators as a whole suggest that a medium-term bullish reversal could unfold should there be a fresh trigger—such as new sanction data or another successful funding initiative—a plausible scenario given IREDA’s track record.

Fundamental analysis

IREDA’s fundamentals paint the picture of a company at the centre of India’s clean energy revolution. For Q3 FY 2024–25, revenue grew 35.6% year-on-year to ₹1,698.99 crores, and quarterly net profit jumped 27% to ₹425.38 crores, decisively beating market expectations. Annualised growth rates remain among the highest in the sector, and a consistent improvement in per-share profitability (EPS up 15% YoY) reflects operational strength. With a P/E ratio of 27.6, IREDA is positioned attractively relative to its growth profile, offering a compelling growth-to-valuation balance in an industry where leadership and scale increasingly matter.

Beyond the numbers, IREDA’s structural strengths drive its investment appeal:

• Dominant market position as the largest pure-play green finance NBFC in India;
• Over 3,000 projects funded across solar, wind, biomass, and emerging clean technologies;
• Strong government support as a majority-promoter firm, ensuring steady project flow and stability through cycles;
• Strong brand synonymous with innovation, prompt loan disbursals, and technical expertise.

The absence of a dividend (yield 0%) ensures that profits are reinvested for further growth—a strategy well-aligned with the demands of India’s fast-growing green economy.

Volume and liquidity

Liquidity for IREDA shares is excellent, with an average daily trading volume of over 15 million shares, ensuring ease of entry and exit for investors of any size. The high promoter stake (over 71%) and meaningful participation from both domestic and foreign institutional investors establish a stable shareholding base and sustained institutional interest. The resulting float is optimal, enabling dynamic and fair price discovery while moderating excessive volatility. Strong volumes around key price events—such as funding rounds and project sanctions—signal continued conviction from both long-term and tactical investors.

Catalysts and positive outlook

Numerous catalysts support IREDA’s compelling outlook:

• Government policy tailwinds continue to accelerate green lending and project approvals, putting IREDA at the forefront of energy transition finance in India.
• Rising loan book and consistent growth in the number and size of sanctioned projects indicate momentum that supports both earnings expansion and wider market adoption.
• New capital raised via QIP increases IREDA’s headroom to underwrite larger projects, broaden its client base, and drive economies of scale.
• ESG and technology initiatives are increasingly integrated into IREDA’s lending processes, ensuring it remains on the radar of global and domestic sustainability-focused investors.
• Sector-wide optimism around India’s national renewable energy targets and the broader push for climate-conscious economic development feed into a multi-year demand cycle for specialised NBFCs.

On the regulatory side, lowered compliance barriers for green capital, support from multilateral agencies, and robust refinancing facilities further enhance IREDA’s competitive edge.

Investment strategies

IREDA’s current setup encourages strategic consideration for a broad range of investor profiles:

• Short-term traders may enter around technical support levels, positioning for rebounds on positive operating updates or market-moving sector news.
• Medium-term investors can accumulate at current valuations, seeking to participate in the next wave of earnings upgrades and capital deployment initiatives.
• Long-term holders can seize the opportunity to ride India’s energy transition story, leveraging IREDA’s leadership in sustainable finance, its proven ability to create value over cycles, and its unique access to state-backed green opportunities.
• Portfolio diversifiers are likely to find IREDA an attractive allocation, balancing high-growth prospects against the relative stability of a government-backed NBFC.

Ideal positioning often aligns with periods of market consolidation—such as the current environment—when forward visibility is high but valuations have adjusted. Acting ahead of budget announcements or project sanction windows, when institutional flows often rise, can optimize entry points even further.

Is it the right time to buy IREDA?

A synthesis of robust fundamentals, strong technical structure, and multiple upcoming catalysts positions IREDA stock in a uniquely favourable light in July 2025. The company’s ability to consistently grow revenue and profit, high-quality loan book, strong government backing, and expanding sector relevance give it a foundation that few competitors can match. Additionally, the recent price correction means fundamentals now justify renewed interest at more attractive entry levels.

In summary, IREDA seems to represent an excellent opportunity for investors looking to participate in India’s green energy transformation—combining visibility, growth, and government backing with a well-balanced risk profile. For those who seek exposure to a critical growth sector, the stock’s current position offers compelling potential for the coming quarters and years.

How to Buy IREDA Stock in India

Buying IREDA stock online is straightforward and secure thanks to regulated brokers operating in India. You can invest in IREDA by purchasing shares directly (spot buying) or by trading Contracts for Difference (CFDs), which allow you to speculate on price movements with leverage. Spot buying involves owning the actual shares, while CFDs let you trade with amplified exposure using margin. Both methods are accessible via a reliable online broker. For a detailed comparison of brokers and their specific offerings, check out our broker comparison further down the page.

Spot buying

A cash purchase means you buy IREDA shares outright via your broker and become a direct shareholder. You pay a fixed commission per order, usually ranging from ₹20 to ₹50, depending on the platform.

Example of IREDA Share Purchase

If the IREDA share price is ₹167.50, you can buy around 6 shares with a $1,000 (about ₹83,000) stake, including a brokerage fee of around $5.

• ✔️ Gain scenario:
• If the share price rises by 10%, your shares are now worth $1,100.
• Result: +$100 gross gain, i.e. +10% on your investment.

Trading via CFD

CFD trading on IREDA shares lets you benefit from price movements without owning the actual stock. Fees include the spread (difference between bid and ask prices) and, for multi-day positions, an overnight financing charge. CFDs allow you to use leverage and amplify your market exposure compared to your cash outlay.

CFD Position with Leverage

You open a CFD position on IREDA shares, with 5x leverage. This gives you a market exposure of $5,000.

• ✔️ Gain scenario:
• If the stock rises by 8%, your position gains 8% × 5 = 40%.
• Result: +$400 gain, on a bet of $1,000 (excluding fees).

Final advice

Before investing, always compare the fees, features, and reliability of different brokers, as conditions can vary widely. Your choice between spot buying and CFD trading should depend on your investment goals, risk appetite, and trading experience. Remember: a full comparison of top brokers is available further down the page.

7 Tips for Buying IREDA Stock

The latest news about IREDA

IREDA successfully completed a ₹2,005.9 crore Qualified Institutional Placement (QIP) to strengthen green financing. This major capital infusion, finalised within the last week, will help IREDA reinforce its funding for renewable energy projects across India and expand its lending capacity—significantly boosting confidence among domestic institutional investors and signaling the government’s commitment to the sector.

Sanctioned loans surged by 29% year-on-year in Q1 FY2025-26, reflecting robust demand for IREDA’s services. The company’s official reports show ₹11,740 crores in new loans sanctioned for solar, wind, and bioenergy initiatives throughout India, underlining IREDA’s leading position in supporting the nation’s clean energy transition and further increasing its revenue potential for the coming quarters.

The Board of Directors approved an additional fundraising of up to ₹5,000 crores via QIP, demonstrating proactive growth strategy. With strong shareholder backing, this new step—announced this week—enables IREDA to respond to growing financing needs in the green energy space, ensuring liquidity for future large-scale projects and reinforcing its long-term growth trajectory.

Recent quarterly results outperformed expectations, with revenue up 35.6% and net profit up 27% year-on-year. IREDA’s published Q3 FY2024-25 results show revenue at ₹1,698.99 crores and net profit at ₹425.38 crores, driven by increased lending activity and strong asset quality, encouraging long-term investors and solidifying its reputation within the Indian financial system.

India’s policy momentum toward renewable energy provides a supportive tailwind for IREDA’s market position. Government initiatives for expanded clean energy targets and incentives have fostered an optimistic sector outlook, which, combined with IREDA’s established leadership and track record, continues to create multiple opportunities for growth and positive stock performance in the Indian context.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.