WAAREEENER - Fundamental Analysis: Financial Health & Valuation

📊 Financial Overview: Waaree Energies Ltd exhibits robust financial health. With a ROE of 26.3% and ROCE of 34.0%, the company demonstrates excellent capital efficiency. The debt-to-equity ratio of 0.19 is comfortably low, and the quarterly profit surge of 224% (₹1,160 Cr vs ₹660 Cr) highlights strong earnings momentum. EPS stands at a solid ₹99.9.

💰 Valuation Metrics: Trading at a P/E of 34.3, Waaree is undervalued relative to its industry P/E of 39.6. The P/B ratio of ~8.8 (Price ₹3,430 / Book Value ₹391) is high, but justified by growth. A PEG ratio of 0.18 signals deep undervaluation based on earnings growth, making it attractive for growth investors.

🏢 Business Model & Competitive Edge: Waaree Energies is a leading manufacturer of solar PV modules and solar cells, with operations in solar project development and electricity sales. Its vertically integrated model and strong execution capabilities offer a durable competitive advantage in the renewable energy space.

📉 Entry Zone Recommendation: Ideal entry zone lies between ₹3,000–₹3,200, near the 200 DMA of ₹2,997. RSI at 48.4 suggests neutral momentum, while MACD at 33.0 indicates bullish undertones. Accumulation on dips is recommended.

📈 Long-Term Holding Guidance: Waaree Energies is well-positioned for long-term growth amid rising demand for clean energy. Hold with a 5–7 year horizon to benefit from sector tailwinds and earnings expansion.