Positional trade setup for ACME Solar Holdings Ltd

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Technical Analysis (Daily Chart)
CMP: ₹287 approx

Pattern: Approaching major resistance zone at ₹290–295 (prior highs). Watch for a breakout or rejection.

EMA 5‑9‑20 Setup: EMAs are stacked bullish and trending upward, showing improved momentum.

Trade Entry: Wait for a decisive close above ₹295 (breakout confirmation).

Stop-Loss: Place below the breakout zone—daily close under ₹282.

Target Zones:

🎯 Target 1: ₹320 (next swing high)

🎯 Target 2: ₹360+ (momentum continuation zone)

🏭 Fundamental Snapshot
Metric Value
Market Cap ~₹17,000 Cr
P/E (TTM) ~60×
P/B Ratio ~3.3×
ROE (TTM) ~9.7%
ROCE ~7.5–7.8%
Dividend Yield ~0.1%
Debt to Equity ~2.3×
Altman Z‑Score ~1.1 (suggests financial stress)
Free Cash Flow Negative (investing-heavy)

Business Highlights:

One of India’s top 10 renewable IPPs with 1.8 GW operational capacity and 3.25 GW under construction.

Strong pipeline with big wins such as battery storage orders & FDRE (firm/dispatchable renewables) projects.

Recent growth: Revenue ~₹15,750 Cr (+19% YoY), Net Profit ₹2,520 Cr.

Backing industry push into energy storage—recent 3.1 GWh BESS order supports diversification.

Key Risks:

High leverage (Debt/Equity >2×), low Altman Z‑score indicates stress.

Negative free cash flow due to capex into expansion.

Valuation steep: P/E ~60×, limited dividend yield.

Penafian

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