Sterling And Wilson Renewable Energy Limited (SWSOLAR) AI Stock Analysis

• Market Cap: ₹39.44B
• Dividend Yield: N/A
• Average Volume (3M): 236.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.03
• Revenue Growth: 112.24%
• EPS Growth: -474.43%
• Country: IN
• Employees: 786
• Sector: Energy
• Sector Strength: 52
• Industry: Solar
• EPS (TTM): 1.40
• Shares Outstanding: 233,531,720
• 10 Day Avg. Volume: 267,164
• 30 Day Avg. Volume: 236,424
• PEG Ratio: -0.57
• Price to Book (P/B): 6.17
• Price to Sales (P/S): 0.99
• P/FCF Ratio: 185.28
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 9.1
• Revenue Forecast (FY): ₹76.45B

• Rating: 43 Neutral
• Price Target: ₹163.00 ▼(-25.79% Downside)
• Action: Reiterated Date: 12/09/25
• Date: Action: Reiterated 12/09/25

The overall stock score of 43 reflects significant financial performance challenges, including historical volatility and high leverage, despite recent improvements. Technical indicators show bearish momentum, and the valuation is unattractive due to negative earnings and lack of dividends. These factors collectively suggest a cautious outlook for the stock.

Positive Factors

Strong revenue rebound

A 63.7% revenue rebound signals recovering demand and stronger project execution. For an EPC solar firm this improves utilization of fixed resources, supports scale economies, and increases the chance that backlog converts to durable cash flows and higher gross margins over the next 2–6 months.

Improving cash generation

Positive free cash flow in 2025 reflects better working-capital and collections. For an EPC business, sustained FCF reduces reliance on external financing, funds milestone execution and capex, and materially improves financial flexibility and resilience across project cycles.

Integrated EPC model and geographic reach

Owning design, procurement and construction capabilities plus multi-region presence provides competitive advantages: control over supply chain, margin capture across project stages, and geographic diversification that smooths revenue cycles and supports a stable multi-month order conversion pipeline.

Negative Factors

High leverage history

A historically high debt-to-equity ratio elevates interest and refinancing risk for an EPC firm with lumpy cash flows. Even with 2025 improvement, leverage limits bidding flexibility, increases vulnerability to delayed payments, and can strain liquidity during multi-month project execution.

Volatile profitability and negative net margins

Persistent net income volatility and past negative margins suggest structural cost pressures or pricing weakness in competitive EPC markets. This undermines retained earnings and the ability to self-fund growth, making margins and earnings outcomes fragile across upcoming project cycles.

Extreme EPS swings

An EPS decline of over 1500% signals severe earnings instability from non-recurring items, project timing or impairment volatility. Such swings reduce predictability for lenders and partners, complicate capital planning, and can persist while large projects convert unevenly over several months.

Sterling And Wilson Renewable Energy Limited Business Overview & Revenue Model

Company Description

Sterling and Wilson Renewable Energy Limited provides engineering, procurement, and construction (EPC) services to solar power projects. The company's EPC services primarily include the design and engineering, procurement, inspection and audit, construction, and field quality monitoring. It also offers operations and maintenance services to third-party projects. In addition, the company imports, exports, and trades in solar modules, structures, invertors, and related accessories. Further, it engages in the installation and maintenance of solar power generating facilities and other related activities. The company's customers include independent power producers, developers, and equity funds. It operates in 24 countries with operations in India, the Middle East, Africa, South East Asia, Europe, the United States, Australia, and Latin America. Sterling and Wilson Renewable Energy Limited was formerly known as Sterling and Wilson Solar Limited and changed its name to Sterling and Wilson Renewable Energy Limited in November 2021. The company was founded in 2011 and is based in New Delhi, India.

How the Company Makes Money

SWSOLAR primarily makes money by executing renewable energy EPC contracts, earning revenue as it delivers project milestones (or upon project completion) under agreements with customers such as independent power producers (IPPs), developers, utilities, and commercial & industrial (C&I) clients. Key revenue streams typically include: (1) EPC project revenue covering engineering and design services, procurement and supply of solar modules and balance-of-system components, and construction/installation work; (2) margins captured through project management and execution, including cost control, sourcing/procurement efficiency, and subcontractor management; and (3) related services tied to project delivery (e.g., commissioning and handover), where included in contract scope. The company’s earnings are influenced by its order book and conversion of awarded projects into executed revenue, the pricing and availability of key inputs (notably solar modules and inverters), logistics and working-capital management, and timely execution (since delays or performance obligations can affect recognized revenue and profitability). Specific information about ongoing maintenance/operations services, the exact revenue split by segment, or named partnership arrangements is not available in the provided context; therefore, null.

Sterling And Wilson Renewable Energy Limited Financial Statement Overview

Summary

Sterling And Wilson Renewable Energy Limited's financial performance shows signs of recovery with improved revenue and cash flow in 2025. However, previous years of volatility and negative profitability metrics pose risks. While recent improvements in margins and cash flow are encouraging, the high leverage and historical instability necessitate cautious optimism.

Income Statement

Sterling And Wilson Renewable Energy Limited has shown a volatile revenue pattern with a significant drop in revenue in 2024 but a recovery in 2025. The gross profit margin improved in 2025 compared to previous years, indicating better cost management. However, net income volatility and negative net profit margins in recent years reflect underlying profitability challenges, despite the positive EBIT margin in 2025.

Balance Sheet

The company's balance sheet exhibits a high debt-to-equity ratio, although it improved in 2025 due to increased equity. Stockholders' equity has fluctuated, with a notable recovery in 2025. The equity ratio has been unstable, showing potential risks in financial stability. Overall, there is significant leverage, but recent improvements are a positive sign.

Cash Flow

The cash flow position has been improving, with positive free cash flow in 2025 following negative trends in prior years. The operating cash flow to net income ratio has been erratic, but the recent positive free cash flow highlights better cash management. However, the company's historical instability in cash flows is a concern.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	78.67B	63.02B	30.35B	20.15B	51.97B	50.48B
Gross Profit	6.99B	6.41B	3.27B	-10.10B	-4.30B	504.80M
EBITDA	-1.49B	2.47B	780.90M	-10.13B	-8.09B	-2.35B
Net Income	-3.71B	814.50M	-2.12B	-11.70B	-9.09B	-2.85B
Balance Sheet
Total Assets	48.59B	56.30B	43.01B	31.90B	35.00B	37.09B
Cash, Cash Equivalents and Short-Term Investments	4.40B	7.11B	3.03B	479.00M	4.58B	2.20B
Total Debt	12.26B	9.36B	5.16B	20.30B	4.46B	4.79B
Total Liabilities	43.99B	46.35B	33.45B	34.31B	25.94B	30.52B
Stockholders Equity	4.70B	10.07B	9.69B	-2.25B	9.17B	6.62B
Cash Flow
Free Cash Flow	-5.04B	335.30M	3.27B	-18.38B	-17.03B	1.85B
Operating Cash Flow	-4.99B	378.80M	5.38B	-18.29B	-16.90B	2.01B
Investing Cash Flow	-577.80M	-749.50M	-47.10M	-117.80M	9.49B	4.09B
Financing Cash Flow	2.34B	3.17B	-2.86B	14.31B	9.78B	-8.53B

Sterling And Wilson Renewable Energy Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 219.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SWSOLAR, the sentiment is Negative. The current price of 219.65 is above the 20-day moving average (MA) of 190.78, above the 50-day MA of 195.14, and below the 200-day MA of 246.26, indicating a bearish trend. The MACD of -8.07 indicates Positive momentum. The RSI at 33.50 is Neutral, neither overbought nor oversold. The STOCH value of 15.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:SWSOLAR.

Sterling And Wilson Renewable Energy Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TDPOWERSYS	70 Outperform	₹127.52B	48.62	―	0.23%	40.14%	53.51%
WEBELSOLAR	67 Neutral	₹26.29B	14.56	―	―	152.12%	―
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
WAAREERTL	62 Neutral	₹86.22B	21.02	―	―	63.07%	74.37%
INOXGREEN	55 Neutral	₹55.93B	79.81	―	―	24.33%	66.14%
BORORENEW	49 Neutral	₹57.68B	18.86	―	―	7.68%	-114.23%
SWSOLAR	43 Neutral	₹39.44B	-446.21	―	―	112.24%	-474.43%

Sterling And Wilson Renewable Energy Limited Corporate Events

Sterling and Wilson Renewable Energy Faces Maharashtra GST Search, Says Operations Unaffected

Sterling and Wilson Renewable Energy Limited has disclosed that the Office of the Commissioner of State Tax, Maharashtra, conducted a search under the Maharashtra Goods and Services Tax Act at its Mumbai corporate office on March 9, 2026. The action, linked to alleged non-payment of appropriate tax, currently carries no stated penalties, and any financial or other impact cannot yet be determined.

The company said it is fully cooperating with state tax officials, providing clarifications and details as requested, and emphasized that its normal operations remain unaffected. The disclosure, made under SEBI’s Listing Regulations, signals regulatory scrutiny on the firm’s tax compliance but, at this stage, does not indicate any disruption to ongoing business activities or projects.

Sterling and Wilson Renewable Energy Receives Rs 143 Crore Indemnity Payment from Shapoorji Pallonji

Sterling and Wilson Renewable Energy Limited announced that Shapoorji Pallonji and Company Private Limited has fully settled an indemnity claim amounting to Rs 143.12 crore, with payment received on January 31, 2026. The recovery of this substantial amount strengthens Sterling and Wilson Renewable Energy’s financial position and may improve its liquidity profile, which is relevant for investors and stakeholders tracking the company’s balance sheet and ongoing business commitments.

Sterling and Wilson Renewable Energy Posts Q3 FY26 Earnings Call Transcript

Sterling and Wilson Renewable Energy Limited has released the transcript of its Q3 FY26 earnings investors call, held on January 16, 2026, discussing its unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025. By making the call transcript publicly available on its website and notifying the stock exchanges in line with SEBI disclosure regulations, the company underscores its focus on transparency and regulatory compliance, providing investors and stakeholders with detailed access to management’s commentary on recent financial performance.

Sterling and Wilson Renewable Energy Faces INR 11.79 Crore Tax Demand from Mumbai GST Authority

Sterling and Wilson Renewable Energy has disclosed that the Deputy Commissioner of State Taxes, Audit-V, Mumbai has issued an order for a mismatch of input tax credit and shortfall in taxes paid for the period April 2021 to March 2022, totaling about INR 11.79 crore, including penalties and interest. The company said the exposure is partially covered under an indemnity agreement with Reliance New Energy Limited, Shapoorji Pallonji and Co. Private Limited and promoter Khurshed Daruvala, and it is currently evaluating the order and determining its next steps, indicating a potentially limited net financial impact while highlighting ongoing tax scrutiny as a compliance consideration for stakeholders.

Sterling and Wilson Renewable Energy Gets INR 9.4 Crore GST Demand Order

Sterling and Wilson Renewable Energy Limited has disclosed that the Deputy Commissioner of State GST in Gautambuddha Nagar, Noida, Uttar Pradesh has issued an order citing a shortfall of taxes and mismatch of input tax for the period April 2021 to March 2022, amounting to approximately INR 9.40 crore including penalty and interest. The company stated that a portion of this exposure is covered under an indemnity agreement with Reliance New Energy Limited, Shapoorji Pallonji and Co. Private Limited and promoter Khurshed Daruvala, and it is currently evaluating the order and determining its next steps, implying that while there may be some financial impact, risk-mitigation arrangements are in place and the final liability and operational implications remain to be assessed.

Sterling and Wilson Renewable Energy Ends US Arbitration With OEG Inc. Without Additional Financial Impact

Sterling and Wilson Renewable Energy Limited has announced that its US subsidiary, Sterling and Wilson Solar Solutions, Inc., and OEG Inc. have mutually agreed to dismiss their ongoing arbitration proceedings in the United States. The arbitration has been dismissed with prejudice through a general order of dismissal, with no costs, expenses or legal fees awarded to either party, while certain counterclaims referenced in a March 13, 2025 arbitration order remain expressly reserved. The company has stated that it does not expect any additional financial impact from this development beyond what was already disclosed in October 2025, suggesting that the resolution helps contain potential legal exposure while closing a notable litigation overhang for the business.