IREDA Share Price Target: 2025, 2030, 2040 & Long Term Outlook

Indian Renewable Energy Development Agency (NSE: IREDA), the state-owned corporation that funds India’s solar farms and wind turbines, is steadily helping the country transition to sustainable energy. IREDA is primarily government-backed and has firmly established itself as a powerhouse in renewable energy financing. That means it’s not just another stock, but a strong one built on a future that is good for the environment.

The stock price is around ₹153 as of this writing, which is way down from its peak of ₹310. So, is it time to buy? In this article, we’ll look at IREDA’s path so far and forecast its share price projections for 2025,2030 and even the far-off year 2040.

IREDA Share Price History and Mandate

IREDA operates as a government agency under the Ministry of New and Renewable Energy. It focuses on lending loans to renewable energy projects including solar, wind and hydro. Generally, the stock has been on a rollercoaster since it went public in November 2023 at ₹30 a share. It shot up to a high of ₹310 in early 2025, thanks to the hype that followed India’s push for renewable energy. That’s more than a 900% rise in just 18 months.

But the volatility that followed the stock has also been substantial. By mid-2025, IREDA share price had dropped 46% from the record high, and as of July 2025, it was down by 28% for the year. In the last six months, it has dropped 9%, ranging between a high of ₹185 in June and a low of ₹140 in August.

IREDA stock weekly chart since listing in 2023, with the Volume Weighted Moving Average (VWMA). Source: TradingView

Why IREDA Share Price is Falling

A combination of concerns about the market, investors taking profit after the initial rally and sector-wide problems like rising interest rates made it harder to get project finance. But if you look at the big picture, the past performance paints a strong message of resilience.

IREDA Financial Performance

From 2019 to 2023, IREDA’s revenues grew at a rate of more than 20% per annum, and in its best years, earnings rose by between 34% and 60%. In FY 25, loan approvals went up 27% from the previous year, while disbursements went up 20%. This shows that there is still a consistent demand for green loans. According to the company’s official records, its net profit rose 41.5% year-over-year to ₹549.33 crore in Q2 FY26 (the quarter ending September 2025). Its revenue also rose 26.5% to ₹2,057 crore.

IREDA Share Price Prediction 2025

The general consensus is that the price will likely average between ₹360 and ₹430 in 2025. For instance, SharesPrediction analysts predict ₹414, taking into account quarterly profit beats and policy benefits like extended subsidies for solar imports. But if Profit After Tax (PAT) grows by 25% a year and the price-to-earnings ratio stays at 15-20x range, we can expect an earnings per share (EPS) to reach ₹20-₹25 by the end of the year. Based on this positive trajectory, it’s not too far-fetched to say that IREDA share price could hit ₹400 by year’s end.

IREDA Share Price Prediction 2030

The five years running up to 2030 are probably the most important for the renewable energy sector in India. To reach the 500 GW goal, IREDA will have to allocate a lot of money towards multiple projects, which puts them in a “right place, right time” situation.

For that period, the target for IREDA share price is between ₹520 and ₹750 . This isn’t just talk, but its based on the momentum that will have been built by that time towards the 500 GW milestone. According to industry estimates, IREDA could fund 20-30% of projects geared toward that milestone.

The positive outlook for IREDA share price is because its business model fits well with India’s push for renewable energy. As the preferred lender, IREDA is approving loans at a rate that could boost its balance sheet size substantially.

Analysts at MoneyInsightful put their highest projection at ₹550, attributing their forecast to rising electrification of transport and industrial decarbonisation. This means that investors could make 300-400% in returns over the next five years.

IREDA Share Price Forecast 2040

Looking ahead to 20240, India has committed to achieving net-zero emissions by the year 2070, and that serves as a powerful driving force. Many estimates are in the ₹1,000-1,100 range, which implies an annual growth rate of 15-18%. Enerdata projects that by 2040, renewables could make up 70-80% of India’s power mix. If that happens, IREDA could become a full-spectrum green bank.

SharePrediction’s conservative models expect a steady EPS growth of 12-15%, which is helped by technology like AI-optimised grids that lower defaults. Ambitious ones take into account India’s solar technology exports to other countries, which raises valuations.

Is IREDA a Good Investment?

IREDA appears like a good investment because it is the leader in an industry that is growing fast. It has a strong economic moat because its is a focal point for India’s green finance and the government strongly supports the 500GW target. Long-term investors that can handle short-term swings believe that Indian renewables will grow fast may consider buying more of the IREDA stock.

But for people who are more conservative and want dividends, it might not be a smart choice. First, it is still a growth stock and hasn’t paid any dividends yet. The stock also has a high beta and a substantial number of retail investors. Therefore, IREDA stock is better suited for a skilled trader who believes that the recent drop is a good time to buy based on the company’s fundamentals.

Potential Risks for Investors

One of the most obvious risks for IREDA stock rights now is that it is potentially overvalued When compared to other Non-Banking Financial Companies (NBFC) and power financing companies, the stock has a high Price-to-Book ratio of about 4.2x. That means there’s less room for errors in execution. Also, even though the existing Non-Performing Assets (NPAs) are improving (down to 0.99% in FY24 from 1.66% in FY23), the green energy sector could still be affected by changes in regulations.

These could make the loan book harder to manage in the future. Another factor is one = that could put pressure on IREDA’s Net Interest Margin (NIM), and that the rising competition from private banks and NBFCs as the renewable energy sector grows.

In Summary

IREDA’s main strength is its mandate. Being the biggest pure-play green finance NBFC in India, it serves as the principal channel for renewable sector funding by the government. The need for funding is immense given that India aims to achieve 500GW of capacity for non-fossil fuel by 2030.

IREDA is set up in such a way that it can get a large part of this huge influx of energy funding. There is a lot of room for expansion in segments like green hydrogen and battery storage, as well as large scale solar and wind projects. That could help IREDA share price stay on the upward trajectory in the long run.