Why JSW Energy's stock is down despite strong quarterly results
JSW Energy's stock slipped 2% to ₹521.10 on Thursday, despite the company posting a huge 79% jump in revenue and 57% rise in net profit for the April-June 2025 quarter.
The market didn't seem impressed.
Investors cautious on rising debt, high valuation
Even with those big numbers, it appears investors are cautious.
For the full year (FY25), revenue growth was modest and profits rose, but JSW Energy's debt-to-equity ratio climbed to 1.81—meaning they're taking on more debt than before.
Plus, a high price-to-earnings ratio (48.07) suggests the stock might be pricey compared to its earnings.
Dividend announcement in May
JSW Energy announced a ₹2 per share dividend back in May (payable from June), which is usually good news for shareholders.
Still, it seems that worries about rising debt and high valuation have weighed heavier on investor mood this time around.