IEX share price target 2023, 2024, 2025, and 2030: In this article, you will learn about IEX (Indian energy exchange) share price target 2023, 2024, 2025, and 2030, along with the fundamentals and financials of the company.
For every investor, it is important to know about the company in which they are investing, to get the confidence to hold the stock for the long term. To make it clear to you, in this article we have mentioned IEX share price target 2022, 2023, 2024, 2025, and 2030, along with the fundamentals of the company.
Also read: Reliance Power share price target 2022, 2023, 2024, 2025, and 2030 .
Company Profile
Indian Energy Exchange (IEX) is India’s premier energy marketplace, providing a nationwide automated trading platform for the physical delivery of electricity, renewables, and certificates. More recently, IEX has pioneered cross-border electricity trade expanding its power market beyond India in an endeavor to create an integrated South Asian Power Market. IEX is powered by state-of-the-art, intuitive and customer-centric technology, enabling efficient price discovery and facilitating the ease of power procurement.
IEX has a robust ecosystem of 6,800+ participants located across 29 States and 5 Union Territories comprising 55+ distribution utilities and 500+ conventional generators. It also has a strong base of 4400+ commercial and industrial consumers representing industries such as metal, food processing, textile, cement, ceramic, chemicals, automobiles, information technology industries, institutional, housing, real estate, and commercial entities.
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IEX Share Price Target 2023
The competitive price discovery on the IEX platform has further provided an opportunity for cost optimization to market participants, leading to a reduction in the cost of doing business. Many state distribution companies are buying power from the Exchange platform to get flexibility and transparency and to optimize their power procurement cost.
In fact, the Andhra Pradesh Central Power Distribution Corporation saved more than INR 2300 cr in the last two years by procuring power through the Exchange Markets. During the year, IEX has launched new market segments and received a very encouraging response from its customers.
The Real-Time Market (RTM), for which IEX operates 48 half-hourly auctions every day, allows customers to purchase power at an hour’s notice. The market launched on June 1, 2020, has been supporting Discoms to manage their demand-supply variations and renewable energy integration in an efficient and effective manner besides supporting safe and reliable grid operation.
IEX also forayed into renewables trading with the launch of the Green Term Ahead Market (GTAM) on August 21, 2020. As India moves towards large-scale renewable capacity additions, both these markets will play a key role in meeting IEX’s national sustainability aspirations. Recently, IEX also commenced the much-awaited Cross Border Electricity Trade, towards its endeavor to create a South Asian Regional Power Market. IEX is aggressively introducing new features to its customers and entering into new business segments, IEX share price target for 2023 is Rs 190.
| IEX share price target 2023 |
| Rs 190 |
Also read: TCS share price target 2022, 2025, 2030.
IEX share price target 2024
The Power sector has witnessed several significant developments in the last few years. With peak demand at 190GW vs installed capacity at 380GW, India is now a power surplus country. On the transmission side, our country has successfully developed an integrated single grid, which is the largest in the world.
Power can now flow seamlessly across the country resulting in ‘one nation one price round the year’. Further, the Government has approved a revamped reforms-based result-linked power distribution sector scheme with an outlay of INR 3 lakh crores over the next 5 years to improve operational efficiency and financial viability of Discoms. This will help build a commercially viable power sector, which is necessary to ensure a vibrant power market.
IEX has approached the Regulator for approval of Longer Duration Contracts, which are expected to start soon. As and when forwards and futures derivative contracts in electricity are introduced, it will lead to further deepening of spot power markets. The new longer duration contracts will add as a growth driver of IEX in the future, IEX share price target for 2024 is Rs 230.
| IEX Share Price Target 2024 |
| Rs 230 |
Also read: Zomato share price target 2022, 2025, 2030.
IEX Share Price Target 2025
Power markets are an inevitable part of the energy shift, which is driven by renewables and technology. As India moves towards higher renewables, power markets will be key in managing the intermittencies by efficient integration with conventional power.
In line with evolving energy demand and India’s pursuit to lower carbon emissions as per the Paris Climate Agreement 2015, India has planned to add 175 GW of renewable capacity by 2022 and 450 GW by 2030. At IEX, the company is aligned with the national aspirations of building a green energy economy. IEX introduced the Green Term Ahead Market last year and will be introducing the Green Day Ahead Market this year, post regulatory approvals.
With the Nation’s fast-paced foray into renewables, this market will become a key growth area for IEX. Additionally, learning from global experience, IEX has also undertaking policy advocacy for the introduction of various market-based contracts such as Contracts for Differences (CFD) to facilitate future market-based renewable capacity addition in the country. These contracts have helped countries like UK and Germany to expand their renewable energy capacity base and ensure a greater role of renewable energy in the electricity mix. As renewable energy is the future, this will become a key growth driver of IEX in the future and will contribute to the majority of its revenues in the coming years. IEX share price target 2025 is Rs 270.
| IEX share price target 2025 |
| Rs 270 |
Also read: BHEL share price target 2022, 2025, 2030.
IEX Share Price Target 2030
With India GDP forecasted to grow at 9.5% in the fiscal year 2022, electricity consumption is also expected to grow at a commensurate level. Ample generation capacity, favorable policy, and regulatory initiatives, declining green power cost, the launch of new market segments and products will unleash exponential growth for IEX Company even as IEX explores several new business opportunities including inorganic expansions within the energy space.
A massive opportunity lies in front of the IEX as India moves towards greater adoption of renewables, and the energy sector undergoes a rapid transformation. From a system based on centralized generation, transmission, and distribution IEX is moving towards one that integrates distributed generation, supply chain automation, low carbon products, and technologies, providing greater choice to consumers.
Exchanges will have a key role to play in this new energy order. With robust technology-driven solutions underpinned by Artificial Intelligence, Machine Learning, and Blockchain, innovative products and services such as Peer to Peer Trading, decentralized RE hybrid models for battery storage, and other emerging trends, Exchanges will truly lead the future of energy.
The future of energy markets is very promising. IEX Company’s strong governance structure, ethics, and business fundamentals will continue to drive the vision forward. IEX looks forward to continued collaboration with all stakeholders including the government, regulators, system operators, market participants, members, clients, and partners to develop the energy markets and leverage new growth opportunities towards maximizing shareholder value. By considering all the above-mentioned factors, IEX share price target for 2030 is Rs 1,250.
| IEX share price target 2030 |
| Rs 1,250 |
Overview of Indian Power Sector
India is ranked as the third-largest consumer of electricity in the world and has one of the largest transmission systems. The country is at the cusp of a transformation, driven by the fast-paced growth of renewable energy which is in line with efforts to decarbonize its energy economy.
From a mere 4% share in electricity generation in the year 2008-09, it reached a mighty 11% in 2020-21 and the installed renewable capacity at 94 GW represents 24.7% of the total installed capacity of 382 GW. The government as well as corporates have been rallying behind the increased adoption of renewable energy and are also pro-actively exploring the feasibility of adoption of other new emerging renewable technologies such as hydrogen, and geothermal, which are driving the energy innovation.
Some specific targets set by the Government include reducing emission intensity by 33‐35% by the year 2030 as compared with 2005 levels, achieving a 40% share of non‐fossil fuel-based electricity generation capacity, and 450 GW of installed renewable capacity by 2030.
The Indian power sector is undergoing a significant change that has redefined the industry outlook. Sustained economic growth momentum continues to drive electricity demand in India. The Government of India’s focus on attaining ‘Power for all’ has accelerated capacity addition in the country. India is now a power sufficient country with the peak demand at 190 GW as compared with an installed capacity at 382 GW.
IEX Share Price Target 2023, 2024, 2025, and 2030
| Year | IEX Share Price Target |
|---|---|
| IEX share price target 2023 | Rs 190 |
| IEX share price target 2024 | Rs 230 |
| IEX share price target 2025 | Rs 270 |
| IEX share price target 2030 | Rs 1,250 |
Frequenlty Asked Questions
Is it worth buying IEX share?
yes, IEX is worth buying. Because IEX is the only company that provides power trading facilities and holds a market share of more than 95% in power trading. IEX is a monopoly company, and there is no competition for IEX.
Is IEX overvalued?
Indian Energy Exchange (IEX) has a PE ratio of 69 which is high and comparatively overvalued. But still, you can buy the stock for long-term investment, as it is a monopoly company.
What is the future of IEX share?
A massive opportunity lies in front of the IEX in the future, as India moves towards greater adoption of renewables, and the energy sector undergoes a rapid transformation. From a system based on centralized generation, transmission, and distribution IEX is moving towards one that integrates distributed generation, supply chain automation, low carbon products, and technologies, providing greater choice to consumers.
Is IEX a good investment?
If you want to invest for the long term, then IEX is a good investment as there is no competition for IEX and holds more than 95% market share in power trading.
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