Inox Wind shares crash 8% after Q4 profit drops 45% YoY. Should you buy, sell or hold?

Shares of Inox Wind tumbled 8% on Monday after the company reported a consolidated net profit of Rs 105.68 crore for the January-March quarter of FY26, down 45% year-on-year (YoY) from Rs 190 crore in the corresponding quarter last year.

Shares of the company crashed to Rs 85.61 apiece on NSE, the lowest level since April 10 this year. The firm’s revenue from operations, meanwhile, fell over 2% YoY to Rs 1,244 crore during the fourth quarter of the financial year, which ended on March 31, 2026, from Rs 1,275 crore in the year-ago period. Total income declined marginally to Rs 1,306 crore, while total expenses increased more than 5% YoY to Rs 1,162 crore during the quarter under review.

Inox Wind’s EBITDA declined 6% YoY to Rs 333 crore. For the entire financial year 2026, the company reported a 3% rise in bottom line to Rs 449 crore.

JM Financial on Inox Wind

JM Financial highlighted that the company’s Q4 results were an “all-around” miss on estimates. Its revenue was nearly 25% lower than the brokerage’s estimates. “Since management has not shared details, we estimate execution of 85 MW versus 252 MW QoQ/236 MW YoY. Adjusted PAT moderated to Rs 1.1 billion (-44% YoY, -55% JMFe, -52% consensus). The company has an order book of 3.1GW including 1.5 GW from CESC and 750 MW from group companies. Given the challenges in connectivity, RoW and PPAs, we expect IWL to execute 900 MW/1,100 MW during FY27/28,” it said.

The domestic brokerage maintained its ‘Add’ rating on the shares of Inox Wind, but reduced its target price to Rs 101 apiece. This implies an upside potential of nearly 9% from the stock’s previous closing price of Rs 93.02 apiece.

Motilal Oswal on Inox Wind

Motilal Oswal also highlighted that Inox Wind reported a weak set of numbers for Q4. However, it highlighted that the visibility of recurring captive order inflows from Inox Clean, which plans to add 3GW of renewable capacity annually with 20-30% expected to be wind-based, management’s strategy to gradually increase pure equipment supply contracts’ share in the order book from 27% currently to 75% over time, which should improve working capital efficiency and margins, and management’s FY27 revenue growth guidance of 75% YoY with EBITDA margins of 20-22% were the key things it liked about the results.

The domestic brokerage lowered its FY27 and FY28 EBITDA estimates by 7% and 6% respectively. It maintained its ‘Buy’ rating on the shares of Inox Wind, with a target price of Rs 110 per share, implying an upside potential of more than 18% from the stock’s previous closing price.

Inox Wind share price

Inox Wind shares have fallen more than 4% in one week and around 8% in one month to close at Rs 93.02 apiece on Friday. The stock is down more than 24% so far in 2026 and nearly 52% in one year.

In the longer term, the shares of the company have delivered returns of more than 169% over three years and 386% over five years. The company currently has a market capitalisation of nearly Rs 9,307 crore. The stock’s P/E ratio stands at nearly 36.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)