Arihant Capital Recommends Buying Waaree Energies Stock; Holds on BHEL, Suzlon
June 23, 2025 – Leading financial services firm Arihant Capital has issued a fresh buy call on Waaree Energies stock, identifying strong technical momentum and favorable fundamentals. Senior technical analyst Mileen Vasudeo set a bullish price target in the range of ₹3,600–₹3,900, advising investors to maintain a stop-loss at ₹2,719.
Meanwhile, Arihant has recommended holding positions in BHEL and Suzlon, noting that both stocks are approaching their resistance levels but lack the strong reversal signal seen in Waaree Energies.
Why Waaree Energies Stock Is Attracting Investors
Technical Strength and Market Behavior
Waaree energies recently rebounded from its 50-day simple moving average, forming a bullish candlestick with heavy volume. This technical information indicates strong investor interest and potential for an upward breakout.
According to Vasudeo:
- The stock’s price movement shows positive divergence.
- Indicators such as the Relative Strength Index (RSI) and momentum oscillators are in bullish territory.
- Buying momentum has returned after a period of consolidation, making it a favorable entry point.
Major EPC Contract Win
Waaree’s fundamentals are also gaining strength. On June 23, the company announced that its subsidiary received EPC contracts worth ₹246.9 crore, boosting the total contract value to ₹1,480 crore.
This contract inflow underscores Waaree’s robust pipeline and execution capacity in India’s solar energy space.
Business Position and Growth Drivers
Waaree Energies has emerged as a leading solar module manufacturer in India. Its rapid scale-up is supported by:
- A solid financial track record with 117% profit CAGR over five years.
- High operational efficiency, with ROE above 28% and ROCE nearing 35%.
- Reinvestment of earnings instead of dividend payouts, fueling expansion.
The company is well-positioned to benefit from India’s green energy transition. With a national goal of 500 GW of renewable capacity by 2030, solar players like Waaree are poised to gain significantly. Government incentives such as PLI schemes and faster project clearances further support this momentum.
AI Stock Research and Forecast Models
Recent AI-powered stock research from platforms like StockInvest.us and TradingView echoes this bullish outlook. Forecast models predict:
- A potential upside of up to 27.8% over the next 90 days.
- Target levels between ₹3,417 and ₹4,094 based on historical trading behavior and machine learning algorithms.
AI tools have become essential in modern stock research, offering investors data-driven forecasts that complement traditional technical and fundamental analysis.
Compared to BHEL and Suzlon
Arihant Capital also provided guidance for BHEL and Suzlon Energy:
- BHEL has a near-term target of ₹272–₹283. It’s a hold candidate due to resistance at upper trend lines and limited upside.
- Suzlon is hovering near its 52-week high, with a target of ₹70–₹74. While technically stable, it lacks fresh triggers for a breakout.
Both companies play significant roles in India’s renewable and infrastructure sectors, but offer slower growth compared to Waaree Energies at this point.
Risks to Keep in Mind
Though Waaree energies shows promise, investors should be cautious of:
- High valuation: Trading at nearly 45x TTM earnings, it is significantly above the industry average.
- Volatility: The stock’s weekly volatility is higher than the benchmark index.
- No dividend: Long-term holders looking for passive income may not prefer it.
Disciplined risk management, including adhering to the stop-loss, is advised for new entrants.
Final Thoughts
Arihant Capital’s latest recommendation places Waaree Energies stock in the spotlight. Backed by technical signals, contract wins, and AI stock research support, the stock is poised for potential gains in the coming months.
With India’s solar mission accelerating and Waaree maintaining dominance in the module space, it’s a stock worth watching closely. Still, investors must weigh growth potential against valuation risks.
FAQs
Arihant cited a strong technical reversal, a bounce from the 50-day SMA, bullish indicators, and growing order wins as reasons to buy.
The projected target range is between ₹3,600 and ₹3,900, with a suggested stop-loss at ₹2,719.
While the company shows strong fundamentals, its current valuation (~45x P/E) is relatively high. Investors must balance potential growth with price risk.
AI models use historical data, chart patterns, and machine learning to forecast price movements, adding accuracy to stock market predictions.
Disclaimer:
This content is made for learning only. It is not meant to give financial advice. Always check the facts yourself. Financial decisions need detailed research.