Green Stocks Jan 2: Stocks Trail Market Surge

On a day when the broader BSE Sensex spiked almost 1.8%, the green pack turned in a less than similar performance, with most stocks failing to keep up. Other than solar pump leader Shakti Pumps of course, which has enjoyed a stellar run these past two weeks. KPI Green, which turns ex-bonus tomorrow, was the other stock to record smart gains of over 3%, while most of the rest ended up or down with no significant price direction.

As we have been stressing, market participants are clearly looking at other sectors for now, with an eye on actual performance from green energy stocks now. That could make a strong recovery much more difficult than after the Hindenberg fiasco in 2023 for Adani Green Energy, for instance. As it has multiple benchmarks to compare with now, from NTPC Green to Acme Solar to fast-expanding green portfolios at JSW Energy and TATA Power even. Fears of price pressures also seem to have capped growth in wind energy stocks Suzlon India and Inox Wind, despite healthy order books.