ACME Solar Holdings Ltd.
NSE: ACMESOLARACME Solar Holdings Ltd.: A 30-second snapshot
ACME Solar Holdings is a renewable-energy developer in India's Power sector, currently priced at 276 with a trailing PE of 33.8 and a debt-to-equity of 393.2, reflecting the project-finance capital structure common to large-scale solar and BESS developers. The stock is up 25% over 12 months, trades above both moving averages, and carries a forward PE of 11.8 — implying consensus expects a significant near-term earnings uplift. A quality score of 34 and consistency score of 27 rank mid-to-lower in a 6-stock peer set that includes NTPC, POWERGRID, and the Adani energy entities.
P/E
33.8
Forward P/E
11.8
ROE
+10.4%
Debt / Equity
393.19
Profit Margin
+19.9%
Div. Yield
+0.1%
5Y ROE > 15%
1/5
5Y FCF > 0
1/5
Quality
47/100
News
8 headlines · 3 positive · 0 negative
ACME Solar Appoints New CFO, Announces Major Management Reshuffle Effective May 8 - PSU Connect
PSU Connect
ACME Solar Unveils ₹12,475 Cr Capex; Targets 10 GW Generation & 20 GWh BESS by 2030 - PSU Connect
PSU Connect
Acme Solar Holdings Limited Announces Changes to Its Board - marketscreener.com
marketscreener.com
ACME Solar Hits 2 GWh Storage Milestone in Rajasthan, Targets 10 GWh by 2027 - TipRanks
TipRanks
ACME Solar Holdings Plans To Operationalise 10 GWH BESS Overall By 2027 - TradingView
TradingView
Recent context
- ·ACME Solar announced a ₹12,475 crore capex programme on 8 May 2026 targeting 10 GW of generation and 20 GWh of battery energy storage by 2030, representing a significant scaling commitment relative to the current balance sheet.
- ·The company hit a 2 GWh BESS operational milestone in Rajasthan in April 2026 and has stated a target of 10 GWh by 2027, a 5x expansion in roughly 12 months.
- ·A new CFO appointment and major management reshuffle were announced effective 8 May 2026, coinciding with the capex announcement; analyst rating stands at 1.0 across 11 analysts on a 1–5 scale (lower = more constructive).
Strengths
- +Revenue has grown at a 5-year CAGR of 12.5%, and the ₹12,475 crore capex plan targeting 10 GW generation and 20 GWh BESS by 2030 positions the company within the higher-growth segment of the domestic renewables build-out.
- +Price of 276 is above both the 50-DMA (272) and 200-DMA (260), with a 12-month gain of 25% and a 3-month gain of 21%, indicating consistent upward momentum relative to its own recent history.
- +At a forward PE of 11.8, ACMESOLAR trades at a significant discount to pure-play renewable peers such as ADANIGREEN (PE 142.9) and ADANIENSOL (PE 69.9), and below the trailing PE of ADANIPOWER (33.4), reflecting a lower valuation multiple for the same sector theme.
- +The 2 GWh BESS milestone reached in Rajasthan, with a stated target of 10 GWh by 2027, represents tangible operational progress in a segment where storage capability is increasingly a commercial differentiator.
Weaknesses
- −Debt-to-equity of 393.2 is extreme for a non-financial entity; this leverage level concentrates the business on refinancing execution and interest-rate conditions, and any deterioration in either could materially impair equity value.
- −FCF has been positive in only 1 of the years available and ROE has exceeded 15% in only 1 of the years available, indicating the company has not yet demonstrated a sustained period of self-funding, equity-generating profitability.
- −5-year earnings growth of 6.3% lags 5-year revenue growth of 12.5%, showing that scale is expanding without proportionate profit conversion — a pattern that elevates financial risk at high leverage.
- −CFO departure and a board-level management reshuffle effective 8 May 2026 introduce execution and lender-relationship uncertainty at a point when the company is in the middle of a large capex cycle.
Open questions
- ?How does ACME Solar plan to service and refinance a debt-to-equity of 393.2 as interest rates and credit conditions evolve, and what covenants or refinancing milestones are disclosed in its credit agreements?
- ?What specific revenue and margin assumptions underpin the forward PE of 11.8, and over what time horizon does the company's own guidance suggest earnings will reach levels that justify that multiple?
- ?Does the CFO transition affect the terms or timeline of existing project-finance facilities, and who within the new management structure holds lender relationships?
- ?How does the 10 GWh BESS target by 2027 translate into contracted revenue or take-or-pay agreements, and what portion of the ₹12,475 crore capex is already funded versus dependent on new debt or equity raises?
Peer comparison: Power
Ranks 3 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| ACMESOLAR | ACME Solar Holdings Ltd.You're viewing | 33.8 | +10.4% | 34 |
| Industry avg | across 5 peers | 57.6 | +13.7% | 32 |
| ADANIPOWER | Adani Power Ltd. | 33.4 | +20.9% | 41 |
| POWERGRID | Power Grid Corporation of India Ltd. | 19.6 | +16.5% | 39 |
| NTPC | NTPC Ltd. | 21.9 | — | 31 |
| ADANIGREEN | Adani Green Energy Ltd. | 142.9 | +7.6% | 28 |
| ADANIENSOL | Adani Energy Solutions Ltd. | 69.9 | +9.7% | 23 |
Technical state
Current price
₹276.00
SMA 50
₹272.13
SMA 200
₹260.15
RSI (14)
42.1 (neutral)
From 52w high
-14.8%
1Y return
+25.0%
3M return
+20.7%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity of 393.2 is extreme even by project-finance standards; at this leverage level any rise in borrowing costs or refinancing friction directly compresses equity returns and tests covenant headroom.
- highFCF positive in only 1 of the years available and ROE above 15% in only 1 of the years available; the business has not yet demonstrated consistent self-funding profitability despite 5-year revenue growth of 12.5%.
- medium5-year revenue growth of 12.5% has translated to only 6.3% earnings growth, implying heavy interest burden or cost escalation absorbing the majority of top-line expansion; consistency score of 27 reflects this fragility.
- mediumCFO departure and major management reshuffle announced effective 8 May 2026; C-suite transitions in a capital-intensive, lender-dependent business can affect execution continuity and refinancing negotiations.
Cross-section contradictions
- Forward PE of 11.8 is 65% below the trailing PE of 33.8, implying the consensus expects a very large near-term earnings step-up; however, 5-year earnings growth of 6.3% and FCF positive in only 1 historical year make the scale of that implied improvement dependent on assumptions not yet demonstrated in the track record.
- Price is up 25% over 12 months and trades above both the 50-DMA (272) and 200-DMA (260), while the quality score of 34 and consistency score of 27 are among the lower readings in the 6-stock peer group — price momentum and underlying fundamental quality are diverging.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 17 May 2026 · rotates through NIFTY 500 every ~5 days