Multibagger alert: This energy solution providing company delivered nearly 3x returns in 6 months!

This company has installed solar power plants for prominent clients such as Adani Group, Torrent Power Limited, Reserve Bank of India, and Indian Oil Corporation Limited to name a few. 

Zodiac Energy Ltd, an energy solution provider, has delivered multibagger returns to its shareholders in a span of 6 months. During this period, the company’s share price has steadily increased from Rs 32.1 on 14 Dec 2021 to Rs 125.10 on 10 June 2022, representing an appreciation of 289%! 

In contrast, the frontline index S&P BSE Sensex plummeted by 6.56% during the same period, going from the level of 58,117.09 on 14 Dec 2021 to 54,303.44 on 10 June 2022. 

Established in 1992 as Zodiac Genset Private Limited, the company eventually changed its name and was listed on NSE Emerge platform in 2017. In December 2021, the company got listed on NSE & BSE main board. 

The company has experience of over two decades in the majority of verticals of power generation spectrum. It provides turnkey solutions from concept to commissioning of power plants, with its spectrum of services including design, supply, installation, testing and commissioning (EPC) and Operation and Maintenance (O&M). 

With a market cap of Rs 173.92 crore, this micro-cap company has installed more than 70,000 KW of Rooftop solar power plants to date. Further, it aims to reach 100,000 KW by the end of 2022-23. 

The company operates in the following business segments - Solar Photovoltaic (PV) systems, building integrated PV systems, solar thermal, emerging technologies, and diesel/gas-based captive/ co-generation power plants. 

The company has benefited from a shift in preference from conventional sources of energy to unconventional ones, a phenomenon witnessed globally. Today, India is the lowest cost provider of solar energy. The government driven push via the setting up of specialized bodies, initiatives such as the National Solar Mission, subsidies and incentives have aided the industry’s growth. Owing to these factors, the sun is shining brightly on shares of companies such as Zodiac Energy. 

At 1.01 pm, the shares of Zodiac Energy Ltd were trading at Rs 120.7, a decrease of 3.52% from the previous closing price of Rs 125.10 on BSE. The stock has a 52-week high & low of Rs 174.80 and Rs 32.10 respectively on BSE.