Mumbai, India – October 5, 2026 – Shares of Borosil Renewables Ltd. have received a 'buy' recommendation from financial services firm Kotak Neo, which projects a potential upside of 29% from the stock's current market price. This positive outlook comes despite the solar glass manufacturer's stock experiencing significant selling pressure over the past two years.
While Borosil Renewables has delivered impressive returns, surging over 1,000% in the last decade, it has recently seen declines. The stock slipped 26% in the past six months, 16% year-to-date in 2026, 22% over the last year, and 8% over two years.
Kotak Neo's Investment Rationale
Kotak Neo highlights several factors underpinning its optimistic view. The firm believes Borosil Renewables holds a competitive edge over newer market entrants due to its relatively lower capital expenditure intensity. This positioning allows the company to capitalize significantly on India's rapidly expanding solar manufacturing ecosystem.
The industry outlook remains robust, largely supported by strong government policies promoting renewable energy, particularly solar power. Furthermore, domestic supply of solar glass continues to lag behind demand, even with ongoing capacity expansion efforts. The implementation of anti-dumping duties on solar glass imports from China and Vietnam is expected to further enhance pricing stability and strengthen the market position of Indian manufacturers.
Growth Projections and Expansion Plans
Kotak Neo anticipates that Borosil Renewables will achieve impressive compounded annual growth rates (CAGRs) for its financials between fiscal years 2026 and 2029. The firm projects revenue CAGR at 19.2%, EBITDA CAGR at 22.2%, and adjusted PAT (Profit After Tax) CAGR at 21.6%.
The company plans to invest approximately Rs 1,100 crore to add 600 tonnes per day (TPD) of solar glass capacity, with commissioning targeted for the fourth quarter of fiscal year 2027. This expansion is fully funded, and Borosil Renewables is expected to maintain a net cash position even after deploying the significant capital expenditure. Stronger cash flows post-expansion could provide the necessary financial flexibility for future growth initiatives.
Borosil Renewables already possesses the land and infrastructure required for an additional 1,200 TPD brownfield furnace. However, management is likely to adopt a cautious approach, prioritizing the stabilization of the current capacity addition before committing to the next expansion phase. The company is also exploring opportunities in specialty glass, a segment that could offer an additional avenue for long-term diversification and growth.
Company Overview
Borosil Renewables specializes in the manufacturing of Low Iron textured Solar Glass, a critical component used in Photovoltaic panels, Flat plate collectors, and Greenhouses. In the current session, the stock traded around the Rs 450 mark, giving the firm a market capitalization of Rs 6,396 crore. The stock is currently trading below its 5-day, 10-day, 20-day, 50-day, 100-day, 150-day, and 200-day moving averages.