1:10 Stock Split Ahead, February 24th Fixed As Record Date; Energy Stock Gained 250% In 1-Yr; Still Attractive

Insolation Energy Ltd, a power generating company, has announced its first ever stock split in the ratio of 1:10. Following this, the company announced its record date to determine eligible shareholders for the sub-division, which will keep Insolation Energy in trend. A stock split is carried by listed companies for improving liquidity, and in turn, the share price becomes cheaper for both new and existing customers.

Insolation Energy Share Price:

In the pre-market opening of January 17, the stock nosedived by 11.43% to Rs 2865 apiece. Yesterday, the stock gained by 2.5% to close at Rs 3234.80 apiece on BSE, with market cap of Rs 7,161.15 crore.

The small-cap stock's 52-week high and low is at Rs 4,750 and Rs 896.65 apiece respectively. Insolation is a multibagger with a whopping 248.69% gains in a year. Last year, on January 17th, the stock was around Rs 939.50.

Insolation Energy Stock Split:

As per the regulatory filing, Insolation Energy has fixed "Friday, 24th January 2025" as the "Record Date" for determining entitlement of Equity Shareholders for Sub-division/splitting existing equity shares of the Company from 1 (One) equity share having face value of Rs. 10/- (Rupees Ten only) each fully paid-up, into 10 (Ten) equity shares having face value of Rs. 1/- (Rupee One only) each fully paid-up.

The stock split ratio is 1:10. This is the first stock split by Insolation Energy.

Is Insolation Energy Stock Attractive?

The fundamentals of the stock are broadly positive to neutral, with exception of higher PE ratio. Here's what Trendlyne data has highlighted:

- Price to Earning Ratio is 128.49, higher than its sector PE ratio of 27.5.

- Stock Price rose 243.8% and outperformed its sector by 234.8% in the past year.

- Debt to Equity Ratio of 0.89 is less than 1 and healthy. This implies that its assets are financed mainly through equity.

- Return on Equity(ROE) for the last financial year was 51.2%, more than 20% in the last financial year, indicating an efficient use of shareholder's capital to generate profit.

- Mutual Fund Holding remained the same in the last quarter at 0%.

- Promoter Share Holding stayed the same in the most recent quarter at 66.22%.

- Interest Coverage Ratio is 8.8, higher than 1.5. This means that it is able to meet its interest payments comfortably with its earnings (EBIT).

- Promoter Pledges are zero.

About Insolation Energy:

Insolation Energy Ltd, INA, is a pre-eminent national solar energy provider and a significant contributor in the Solar EPC domain. A BSE SME Listed Company, we have innovated, developed, engineered and connected more than 500 MW+ of Solar PV Modules, changing India's energy-scape with cutting-edge technologies.