Waaree Energies, Premier Energies shares tumble up to 11%; here’s why

Shares of rooftop solar panel manufacturers Waaree Energies and Premier Energies slumped sharply on Friday, May 23, amid fears of declining support for clean energy in the United States. Waaree Energies plunged as much as 11% to an intraday low of ₹2,666, while Premier Energies dropped 6.12% to ₹1,022.

The selloff came in the wake of steep losses in US clean energy stocks. Sunrun, America’s largest rooftop solar firm, and NextEra Energy, the country’s top developer of wind and solar projects, saw their shares plummet.

The trigger for the downturn was the narrow passage of a controversial tax and spending bill in the Republican-controlled US House of Representatives. Backed by President Donald Trump, the bill aims to roll back key provisions of the Biden administration’s Inflation Reduction Act, including eliminating the 30% federal tax credit for residential solar installations, repealing grants aimed at reducing air pollution and greenhouse gas emissions and scrapping incentives for electric heavy-duty vehicle purchases.

Passed by just one vote (215-214), the bill now heads to the Senate for further deliberation.

Q4 earnings performance

In January-March quarter, Waaree Energies reported net profit of ₹619 crore, marking an increase of 34% from ₹462 crore in the year-ago period. Its revenue from operations advanced 36% to ₹4,003.93 crore as against 2,936 crore in the same period last year.

Premier Energies net profit in fourth quarter of financial year 2024-25 jumped 167% to ₹277.8 crore from ₹104 crore in the year-ago period. Its revenue from operations 44% to ₹1,621 crore in January-March quarter.

As of 10:39 am, Premier Energies shares traded 4.19% lower at ₹1,038 and Waaree Energies shares declined 7.13% to ₹2,783.