Insolation energy

Was going through recent IPOs and found this SME company called Insolation energy (INA).

Went though financials, business environment (they’re into rooftop solar installations AND manufacture their own PV modules- Mono PERC tech being the latest apparently), and the few available interviews with mangement and they seem like a legit, good company with good scope and relative undervaluation.

Closest listed peers are

1. Waa Solar: Seem to be primarily into solar energy generation itself so not exactly comparable to INA

2. Websol Energy: Kolkata based, and have 250 MW of solar PV module manufacturing capacity. They seem to be only recently upgrading from old technology to mono PERC tech though.
   Valued at 350 crores INR, but P&L is very volatile for some reason.

3. Swelect Energy: Seem to focus on Southern India, have 110 MW PV manufacturing capacity. Revenues also come from foundry division, and it looks like they’ve branched out from that into solar. Market cap is at ~500 crores INR.

Other unlisted peers are obviously Adani and Tata, and also Vikram Solar and Waaree Energy. All of these are more utility scale focused, and either target their own large scale utilities or other large companies

Compared to all this, INA has a market cap of ~200 crores INR, and seems to have a good operating cash flow. It’s also able to command high revenues with probably 1/10th level of assets, something that reminded me of favourable economies of scale in retail.
And finally none of the other ones target captive SME solar needs or rooftop solar specifically so that seems to have worked out for INA

And given that many companies have half their manufacturing capacity and still command 2.5X market valuations, I definitely feel this is a relatively undervalued company. Not sure about long run prospects though.

Welcome your views, pros, cons etc

DISCLAIMER: Invested the minimum SME amount into INA.

-20% loss since I bought.