INOX Wind

Good analysis!! Few points.

1. Does total shareholding include preferential equity to promoters?
2. PE of 30x is very high for equipment and turnkey business, given the industry is cyclical and competitive intensity coming in with Reliance and Adani foray into wind trubines. Instead of 30, if PE is 15X, then current price deosn’t offer much upside. O&M business might deserve a 20-25x multiple, but its contribution to overall profits is not significant
3. In current market, more than valuations, the bull market and trend of green energy has driven the valuations of these stocks to ridiculous levels. I would probably use simple technicals to exit the position than just based on valuation
4. At CMP, IWEL is 30-35% cheaper than inox wind, as per merger ratio