IEX Share Price Target 2030-2025-2040 |In-Depth Analysis

 

Today we will delve into the details of the Article IEX share price target for the years 2022-2023-2025-2026-2030 and 2040.

Is this energy sector stock a suitable investment for the future? Can long-term investment in it be profitable? We will also look at the IEX share price target for 2023 2025 and 2030 and evaluate whether or not it’s a good idea to buy it.

In this analysis. we will thoroughly examine the business of the Indian Energy Exchange (IEX) and assess the company’s current business conditions.

This will give us a better understanding of the potential of the Indian Energy Exchange IEX share price target in the upcoming years.

There are numerous monopoly companies in the Indian stock market that have been providing substantial returns to their shareholders.

Investing in some of these monopoly stocks can yield good earnings in a short time. Indian Energy Exchange. or IEX is one such monopoly company in its business and has generated an impressive return of approximately 233.19% in the last year.

If you are considering investing in Indian Energy Exchange shares it’s essential to have a complete analysis of the IEX share price target for 2022-2023-2024-2025-2026 and 2030. Let’s conduct a detailed analysis of this now.

 

History iex share ?

The IEX company was established in 2008 and operates on an electronic system-based power trading exchange which is controlled by the Central Electricity Regulatory Board. On October 27. 2017 the company was listed on the National Stock Exchange.

IEX has a significant market share, holding more than 95% of the electricity trading volume. The company is headquartered in New Delhi, India, and is led by Shri Satyanarayan Goyal, the chairman and managing director. 

It has more than 3500 customer registrations, over 300 generators, and more than 3300 electricity consumers. 

Additionally, it is India’s first digital monopoly company and is a 16000 crore mid-cap company. The company’s primary businesses include power trading and consulting.

Monopoly means that there is no other company in this sector the entire IEX is occupied. Regarding IEX’s operating profit margin. they have an OPM of more than 80%, and they are also licensed by CERC.

The business model of IEX is similar to that of NSE (National Stock Exchange) and BSE (Bombay Stock Exchange), providing a trading platform for both buyers and sellers. 

On this platform we can trade power and electricity i.e. buy and sell just as MCX (Multi Commodity Exchange) provides a platform between buyers and sellers where commodities are traded. 

Therefore, IEX i.e. Indian Energy Exchange, also provides a digital platform to trade power or electricity between buyers and sellers.

History of IEX Share Price? 

If we talk about today’s price of IEX Services Limited’s shares (February 2023), then the price of one share of IEX is running around Rs 143.95. 

IEX Share Price Target 2023?

Indian Energy Exchange (IEX) is the largest and first energy exchange in India, offering an automated trading platform for the physical delivery of electricity.

With a monopoly in its sector, the company enjoys about 95 per cent market share, thereby gaining the maximum benefit as energy trading increase

In recent years, the volume of power and electricity trading on the Indian Energy Exchange (IEX) has increased significantly due to the market’s rising demand for power and electricity.

The management anticipates that the need for power will remain high, leading to further growth in trading on the company’s platform.

As the volume of trading on the company’s platform increases, it is expected that the IEX share price target for 2023 will reach Rs 170 providing investors with excellent returns. Following this target. the second target of 180 rupees can be achieved.

IEX Share Price Target 2024?

IEX India’s first and largest energy exchange operates a nationwide automated trading platform for physical electricity delivery.

With a sizable market share. the company effectively holds a monopoly. Furthermore, IEX has been steadily increasing sales and profits year-over-year and is debt-free, with a good EBITDA margin.

Over the past 5 years. IEX stock has exhibited compound growth of 24% and 16% sales growth demonstrating the company’s impressive financial position. 

The first target is projected to reach 235 rupees, and upon achieving this target, the second target of 250 rupees may be within sight.

IEX Share Price Target 2025?

The company is leveraging the latest technology, including artificial intelligence. With the increasing demand for electricity in India the company has outlined three key areas of focus for its upcoming plans: 

  • expanding coverage and market
  •  
  • investing in best-in-class futuristic technology infrastructure
  •  
  • and strengthening the organization.

Looking at the IEX share price target for 2025 the first price target is expected to be around Rs. 280 with the second target at approximately Rs. 300.

IEX Share Price Target 2026?

Management is continuously striving to make the Indian Energy Exchange (IEX) India’s top technology-based energy marketplace by adding new customers. 

Currently. the company’s marketplace has around 7300 registered participants and the rate of new customer additions seems to be increasing rapidly each year.

Furthermore. the management is partnering with several companies such as GAIL ONGC Indian Oil Adani Gas and Torrent Gas under the right strategy to enhance its platform.

As a result. the management expects that the pace of adding new customers to the company will be even faster in the coming days.

As new customers have added to the company’s marketplace the first target for the IEX share price could be around Rs 380 along with very good returns in the IEX share price target of 2026. After achieving this target the second target of 430 rupees can be aimed for.

IEX Share Price Target 2030?

The company is committed to working with renewable energy while prioritizing the environment. As the demand for renewable energy increases in the future the company stands to benefit from the trend.

Moreover. since the company is the only trading platform for power purchase agreements it can continue to expand its market share until 2030.

With a monopoly in its sector. there is a possibility of better profits in the future. Given the upward trend in demand for power and electricity along with the growth of the economy the company is well-positioned to capitalize on the opportunities.

Considering the companys’ long-term business prospects. its first share price target in the IEX Share Price Target 2030 is likely to range from ₹800 to ₹1000.

Busniess Model of IEX ?

IEX is India’s premier energy marketplace offering a nationwide automated trading platform for electricity renewable energy and physical distribution of certificates. Similar to how the stock exchange executes orders for shares the IEX executes power trades. 

Through its exchange platforms. the IEX enables efficient price discovery enhances the reach and transparency of the electricity market in the country and increases the speed and efficiency of business execution. 

Additionally. the Indian Energy Exchange boasts a robust ecosystem of over 6800 participants located across 29 states and 5 union territories including over 55 distribution utilities and over 500 conventional generators.

 Furthermore. it has a strong base of over 4400 commercial and industrial consumers representing a wide range of industries such as metals, food processing, cement, ceramics, textiles, chemicals, automobiles, information technology industries institutional housing, and real estate. and commercial entities.

Product Segmen

  • Day-Ahead Market (Dum)
  • Term-Ahead Market (TAM)
  • Renewable Energy Certificate (Rake)
  • Energy Saving Certificate
  •  (escorts)
  • Green Term- Ahead Market
  • Real-time market
  • IEX Strengths

 

  • The financial strength of the company is evident through the following points:
  • Firstly-IEX has displayed a good profit growth of 17.48% over the last 3 years.
  • Secondly- the company has a free cash flow per share (FCFP) of 3.24.
  • Thirdly- the company has maintained a very good return on equity (ROE) of 48.72% over the last 3 years.
  • Fourthly- IEX has maintained a healthy return on capital employed (ROCE) of 64.34% over the last 3 years.
  • Fifthly- IEX is a virtually debt-free company.
  • Sixthly- the company’s interest coverage ratio is 138.14, which is considered good.
  • Seventhly- IEX has maintained an effective average operating margin of 78.73% over the past 5 years.
  • Eighthly- the company has a great cash conversion cycle of 1.95 days.

Lastly- the company has good cash flow management, with CFO/PAT at 1.13. All of these factors make IEX a leading company in the energy business.

Future of IEX Share ?

Currently. IEX accounts for only around 7.7 per cent of India’s total power trading business. This indicates a huge potential for the company to rapidly expand its business in the near future.

As power production through different sources of renewable energy such as solar wind and hydro increases IEX is expected to reap the benefits of this growth in the coming years.

What is the risk of investing in IEX shares?

When considering the risk associated with investing in IEX shares it is not currently apparent as investing in a heavily indebted company can be a losing proposition. However. this is not the case with India Energy Exchange stock. 

Additionally. India is a developing country, and power demand is expected to increase significantly in the coming years a demand that only IEX can meet. 

Furthermore as a monopoly company. IEX has yet to encounter competition that can meet its objectives. Therefore if one desires to invest in IEX now may be a worthwhile endeavour.

IEX Fundamental Analysis?

If you examine the company’s fundamentals, you can see that IEX’s results are currently very promising. 

Sales continue to rise every year while profits are also consistently increasing. Furthermore. the company’s PE ratio is 54 and there is no visible debt on IEX’s balance sheet. 

Additionally. the company’s cash reserves are increasing each year at a very healthy rate allowing IEX to invest a large amount in expanding and improving its business.

In the long run, the company is likely to reap the benefits of these investments. Given its business model. IEX has the potential to perform even better in the future and reward its investors.

When is it best to invest in IEX?

You should consider investing a small amount in this company for a long-term investment strategy. It is important to consult with your financial advisor before making any investment decisions and conduct your own research as well. 

businessfunda.in provides helpful estimations but it is important to keep in mind that they are approximations and may not be completely accurate

Our Opinion?

You should be aware that similar to how the Stock Exchange Board of India regulates the stock market

IEX is regulated by the Central Electricity Regulatory Commission (IEX Company). Therefore before investing in IEX shares it is important to seek the advice of a financial advisor or conduct your own research.

I hope that you have gained valuable insights from our IEX Share Price Target analysis for the years 2022-2023-2024-2025-2030 and 2035. Be sure to share this information and stay updated with us for more important updates about the stock market.

Disclaimer: 

This article is solely intended for educational purposes. If you are considering investing in any stock It is important to conduct your own analysis and seek the advice of an expert before proceeding. It is important to remember that every stock comes with its own level of risk.

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FAQ-

What is the Indian Energy Exchange (IEX)?

The Indian Energy Exchange (IEX) is an electronic system-based power trading exchange that operates under the control of the Central Electricity Regulatory Board. The company was established in 2008 and is headquartered in New Delhi India. It holds over 95% of the electricity trading volume and is a monopoly company in the Indian stock market. Its primary businesses include power trading and consulting.

Is IEX a good investment for the future?

IEX is a mid-cap company that has generated an impressive return of approximately 233.19% in the last year. Its business model is similar to that of National Stock Exchange and Bombay Stock Exchange, providing a trading platform for both buyers and sellers. IEX has a significant market share with more than 3500 customer registrations over 300 generators and more than 3300 electricity consumers. It is also licensed by the Central Electricity Regulatory Commission (CERC). These factors suggest that IEX may be a good long-term investment option.

 

 

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