Explained Why Waaree Technologies Share Price Is Falling

Explained  Why Waaree Technologies Share Price Is Falling: A Timeline of Triggers

The share price of Waaree Technologies Ltd. has experienced significant volatility, with periods of decline attributed to various factors. 

Below is a detailed analysis of the reasons behind the falling share price, a timeline of key events, and contributing factors 

Reasons for Waaree Technologies Share Price Decline

📊 Shareholding & Financial Overview - date - 5 sep 2025

• Market Cap: ₹3,170 crore

• Face Value: ₹10 per share

• Promoter Holding: 58.8%

• No pledged shares

• Lock-in expired in April 2025

• Public Holding: 41.2%

• Entirely retail-driven, no institutional anchors

• Mutual Fund Holding: 0%

• FII Holding: 0%

• DII Holding: 0%

📉 Financials

• Net Profit (FY Mar 2025): ₹–5.65 crore

• EPS (FY Mar 2025): ₹–2.81

CFO Resignation and Leadership Uncertainty:

A significant trigger for the recent decline in Waaree Renewable Technologies' share price was the resignation of Chief Financial Officer (CFO) Dilip Panjwani, announced on January 7, 2025, effective January 31, 2025. 

The resignation, cited for personal reasons, led to a 20% drop in the stock price on January 13, 2025, hitting the lower circuit at Rs 951. 

This event caused a 28.2% decline over four trading sessions. Leadership changes, especially at the CFO level, often create investor uncertainty regarding strategic direction and operational stability, eroding confidence.

High Valuations and Market Correction:

Waaree Technologies has been trading at elevated valuations, with a price-to-earnings (P/E) multiple of 49.4 and a price-to-book (P/B) value multiple of 31 as of January 2025. 

These figures are significantly higher than the five-year average P/E of 56x and P/B of 20x for Waaree Renewable Technologies. 

High valuations leave little room for error, and any negative news or missed expectations can lead to sharp corrections. 

The market may be adjusting the stock price to align with more sustainable valuation metrics.

Downtrend in Sales and Profit:

Despite strong historical growth (sales multiplied 57 times between 2021-2024), Waaree Renewable Technologies experienced a downtrend in sales and operating profit after December 2023. 

This shift from an uptrend to a downtrend prompted the market to adjust valuations through price correction.

Investors often penalize growth stocks when growth metrics slow, contributing to the stock’s decline.

Additional Surveillance Measure (ASM) Framework:

Waaree Renewable Technologies was placed under the Additional Surveillance Measure (ASM) framework by stock exchanges, indicating heightened monitoring due to excessive volatility or speculative trading. 

This regulatory action can dampen investor sentiment and contribute to price declines, as it signals potential risks. 

The stock was noted to be under long-term ASM, further impacting its performance.

ASM Timeline for Waaree Renewable Technologies

• Stage I Entry: 10 January 2025

• Exit from ASM: 27 January 2025

• Prior stages also occurred in December 2024, November 2024, and September 2024, as part of the graded long-term ASM framework.

ASM tagging lasted 17 days, from Jan 10 to Jan 27, 2025. During this period, trading was subject to tighter surveillance due to high volatility and speculative activity.

Macroeconomic and Policy Concerns:

Fears of reduced renewable energy exports to the US, particularly under the Trump administration, have pressured renewable energy stocks, including Waaree. 

The US is a key market for Waaree’s solar module exports, and potential policy shifts to limit eco-friendly imports could impact revenue. 

This concern emerged prominently after Trump’s re-election in November 2024, contributing to a broader sector downturn.

State Tax Inspection:

On February 25, 2025, the Assistant Commissioner of State Tax, Mumbai, initiated an inspection of Waaree Energies and its subsidiary, Waaree Renewable Technologies. 

While the reason for the inspection was unclear, and the company cooperated by submitting operational details, such regulatory actions can create uncertainty and negatively impact stock prices.

Despite being a multibagger in 2024, Waaree’s recent price action reflects a classic case of fundamentals being overridden by market psychology and structural events. 

Timeline of Key Events Impacting Share Price

April 26, 2024: 

Waaree Renewable Technologies stock reached its 52-week high of Rs 3,038, reflecting strong investor optimism driven by robust sales growth and a 57x sales increase from 2021-2024.

July 30, 2024: 

Reports highlighted concerns about Waaree’s high valuations (P/E of 152x and P/B of 97x), suggesting the stock was overvalued compared to peers, leading to early signs of price correction.

October 28, 2024: 

Waaree Energies listed on the stock market at Rs 2,500 against an issue price of Rs 1,500, sparking a 150%+ rally. Profit booking followed, contributing to a subsequent decline.

November 2024: 

Post-listing euphoria for Waaree Energies faded, with fears of lower renewable exports to the US under the Trump administration adding pressure on the stock price. Waaree Energies hit a peak of Rs 3,741 before declining.

December 2023 - 

January 2025: A downtrend in sales and operating profit for Waaree Renewable Technologies was noted, leading to a market-driven price correction.

January 7, 2025: 

CFO Dilip Panjwani announced his resignation, effective January 31, 2025, triggering a 20% drop in Waaree Renewable Technologies’ stock price on January 13, 2025, to Rs 951, with a 28.2% decline over four sessions.

January 13, 2025: 

The stock hit the lower circuit for multiple sessions, exacerbated by the ASM framework and investor concerns over leadership stability. Over the past five days, the stock was down 20%, and over the last month, it declined 33%.

February 25, 2025:

 A state tax inspection was initiated for Waaree Energies and Waaree Renewable Technologies, adding to investor uncertainty.

July 2025: 

Waaree Renewable Technologies’ market cap was reported at Rs 10,550 crore, down 30.8% in one year, reflecting sustained downward pressure.

Broader Context and PerformanceHistorical Performance: 

Despite recent declines, Waaree Renewable Technologies’ stock was up 92% over the past year as of January 2025, indicating that short-term corrections followed significant long-term gains. 

The stock’s 52-week low was Rs 467 on January 12, 2024.

Financial Health: 

The company turned profitable after three years of losses (2021-2024), reducing its debt-to-equity ratio from 5.3 in FY21 to 0.5 in FY24. This strengthened balance sheet supports long-term growth but hasn’t shielded the stock from short-term volatility.

Order Book and Growth: Waaree has a robust pipeline of 18 GW and an order win rate of 25%, with plans to execute 1.2 GW in the second half of FY2025. 

However, tighter margins in larger projects and execution risks may temper investor enthusiasm.

Clarification on Waaree EntitiesWaaree Technologies Ltd.: 

Focuses on renewable energy solutions, including solar power generation and consultancy. It is listed on BSE (code: 539337) and NSE.

Waaree Renewable Technologies: A subsidiary of Waaree Energies, often discussed in the context of renewable energy projects. Most sources (e.g.,,) refer to this entity when discussing recent price declines.

Waaree Energies Ltd.: The parent company, listed in October 2024, is a major player in solar module manufacturing with a market cap of Rs 92,362 crore as of August 2025.

The reasons for share price declines, particularly the CFO resignation and ASM framework, are primarily linked to Waaree Renewable Technologies but may impact Waaree Technologies due to group-level investor sentiment.

ConclusionThe decline in Waaree Technologies’ share price (and its related entity, Waaree Renewable Technologies) is driven by a combination of factors: the CFO’s resignation, high valuations, a sales and profit downtrend, regulatory scrutiny (ASM framework and tax inspection), profit booking, and macroeconomic concerns about US export markets. The timeline from April 2024 to February 2025 highlights key events like the CFO resignation (January 2025) and tax inspection (February 2025) as immediate triggers, while high valuations and margin pressures reflect structural challenges. Despite these, the company’s strong fundamentals, including a robust order book and reduced debt, suggest potential for recovery, though short-term volatility may persist.

Disclaimer:

I am not a SEBI-registered investment advisor. The content shared here is for educational and informational purposes only and should not be construed as financial advice. 

Please consult a qualified financial advisor before making any investment decisions. 

Trading and investing involve risk; do your own research and due diligence.