Shares of Emmvee Photovoltaic Power Ltd. gained as much as 5% on Thursday, August 20, after brokerage firm Jefferies retained its 'Buy' rating on the solar photovoltaic module and cell manufacturer and raised its price target to ₹440 per share. Jefferies said Emmvee's early entry into TOPCon cells, strong order book, focus across the solar PV value chain and net-debt-free balance sheet position the company well to pursue backward integration into ingots and wafers and sustain industry-leading profitability over the medium term.
The brokerage has raised its FY27 and FY28 EBITDA estimates by 2% and 7%, respectively, and now expects EBITDA to grow at a 33% CAGR between FY26 and FY29. Meanwhile, Emmvee remains confident of delivering EBITDA towards the upper end of its FY27 guidance, supported by healthy margins, a strong order pipeline and ongoing manufacturing capacity expansion.
Speaking to CNBC-TV18 after the company's first-quarter results, Suhas Donthi, CEO and President of Emmvee Photovoltaic Power, had said the company remains on track to deliver EBITDA of ₹2,200-2,400 crore in FY27. On the demand front, the company said its order book stood at 9.9 GW, with fresh order inflows of 1.48 GW during the quarter - its highest quarterly order addition so far.
The current order book provides revenue visibility of around ₹12,000-13,000 crore over the next 12-18 months, according to the company. The stock has corrected around 15% recently and is currently trading at 6.8 times forward EV/EBITDA, representing a discount of around 30% to its peers, according to Jefferies.