ICICI Securities has issued a buy rating on Inox Wind with a target price of Rs 130 in its research report dated February 15, 2026, as reported by Moneycontrol. The brokerage has revised its target price down from Rs 180 to Rs 130, valuing the wind business at 25x FY28E EPS (versus 30x FY27E EPS earlier). The revised target price implies 42% potential upside from current levels, with the stock trading at cheap valuations of 20x FY28E earnings. The recommendation reflects confidence in the company's strong fundamentals despite execution challenges.
Inox Wind reported quarterly consolidated revenue of Rs 12.1 billion, representing 33% year-on-year growth and 8% quarter-on-quarter growth, as reported by Moneycontrol. However, this figure missed estimates by 34% largely due to weaker-than-expected execution of 252MW versus estimates of 300MW. The company's reported EBITDA of Rs 2.8 billion also missed estimates by 15%, though EBITDA margin remained strong at 23%. The order book stood at 3.2GW at the end of Q3FY26, remaining flat year-on-year and quarter-on-quarter.
According to ICICI Securities's analysis reported by Moneycontrol, Inox Wind saw muted installation of wind turbines in 9M at 0.6GW against guidance of 1.2GW in FY26E. The company noted delays in existing orders due to right of way and evacuation issues, resulting in revised guidance of revenues of ₹50 billion for FY26E (versus earlier estimate of ₹66 billion) and 75% growth in revenues in FY27E. The brokerage has pruned FY26 estimates based on the 9M performance, maintaining a BUY recommendation despite the softer quarterly performance.
Despite execution challenges, Inox Wind maintains a strong order book of 3.2GW and a 13.3GW O&M portfolio under Inox Green generating ₹6 billion revenues in FY27, as reported by Moneycontrol. The company's order pipeline will likely remain healthy given industry tailwinds and focus on FDRE/hybrid capacity addition. The order book of 3.2GW provides visibility for future revenue growth, while the 13.3GW O&M portfolio provides stable recurring revenues. However, high working capital of 210 days remains a key concern for the company.
According to ICICI Securities's analysis reported by Moneycontrol, the BUY recommendation is maintained despite the revised target price, with the stock trading at cheap valuations of 20x FY28E earnings. The brokerage expects order pipeline to remain healthy given industry tailwinds and focus on FDRE/hybrid capacity addition. The recommendation reflects confidence in Inox Wind's long-term prospects despite near-term execution challenges, with key risks including further delays in existing orders that could impact future performance.
