Reliance Power Ltd’s stock share price witnessed a remarkable surge on Tuesday, jumping 11.95% to touch ₹72.26 a level not seen in over 10 years. With this rally, the company not only hit a fresh 52-week high but also took its market capitalization close to ₹30,000 crore, marking a major comeback for the once-beleaguered power player.
Multi-Year Rally: From ₹1.1 to ₹72
The recent surge is part of a broader trend. Since hitting rock bottom at around ₹1.1 per share in March 2020, Reliance Power has skyrocketed nearly 7,000%. Even in the last five years alone, the stock has delivered over 2,700% returns, making it one of the most dramatic turnarounds in the Indian stock market.
Q4FY25 Results Turn Investor Sentiment
The key catalyst behind this rally is the company’s Q4FY25 earnings, where it reported a consolidated profit of ₹125.57 crore, a significant reversal from a loss of ₹397.56 crore in the same quarter last year (Q4FY24). This sharp turnaround has renewed investor confidence in the company’s operational and financial strength.
Big Boost from Clean Energy Projects
Investor enthusiasm was further fueled by a major clean energy order. On May 28, Reliance NU Energies, a subsidiary of Reliance Power received a Letter of Award (LOA) from SJVN Limited, a Navratna PSU. The contract involves a 350 MW solar project linked to the Interstate Transmission System (ISTS) and a 175 MW/700 MWh Battery Energy Storage System (BESS). This milestone is being seen as a strategic step in Reliance Power’s green energy transition.
Strategic Defence Talks in Focus
Adding to the momentum, the company is also making moves in the defence sector. In a strategic development, Anil Ambani, Chairman of Reliance Group, recently held discussions with Helmut Rauch, CEO of Diehl Defence, regarding collaborations in guided and terminally guided munitions. This is based on a co-operation agreement signed back in 2019, hinting at long-term diversification prospects.
Investor Outlook
With a strengthened balance sheet, a renewed pipeline of clean energy projects, and strategic partnerships on the horizon, Reliance Power is gradually rebuilding investor trust. Analysts believe that sustained profitability and timely execution of projects could push the stock even higher in the coming quarters.
Disclaimer:- This article is for informational purposes only and does not constitute investment advice. Readers are advised to consult with a certified financial advisor before making any investment decisions. The author or publisher holds no responsibility for any financial losses incurred.