Olectra Greentech saw its shares jump 5.4% after announcing that the first phase of its new electric‑bus factory in Hyderabad is now running.
What the plant does
The facility at Seetharampur, Telangana, will start commercial operations on December 31, 2025. Phase‑I can produce 2,500 electric buses each year, half of the plant’s planned full capacity of 5,000 buses.
Financial snapshot
- Market value: about ₹9,854 crore.
- Revenue (Sept 2025 quarter): ₹661 crore, up 25.6% YoY.
- Net profit: ₹50 crore, up 4.2% YoY.
Valuation and technical view
- P/E ratio: 68.9 – market expects strong growth.
- P/S ratio: 5.32; P/B ratio: 9.35 – premium pricing.
- 14‑day RSI: 43.4 – neutral zone.
- Price is below 5 of 8 key moving averages, hinting at a mild short‑term downside.
What it means for investors
The start of production could improve Olectra’s earnings outlook, especially as Indian cities push for cleaner public transport. However, the stock’s high valuation and recent volatility mean investors should watch earnings growth and broader EV‑bus demand before making big moves.
Disclaimer
These insights are for information only and not a recommendation. Always do your own research and consider your risk tolerance before investing.