Shares of Indian Energy Exchange (IEX) witnessed intraday volatility on the NSEmoving in a narrow band between ₹125.80 and ₹128.36 before trading at ₹128.19, up about 1 per cent from the previous close of ₹126.79.
The movement in the stock comes after the power trading platform posted a steady performance for the December 2025 quarter on Thursday and announced an interim dividend.
The company reported a standalone net profit of ₹115.09 crore for the quarter, marking an 11.5 per cent rise from ₹103.15 crore in the same period last year. Revenue from operations increased to ₹143.90 crore, up 9.5 per cent from ₹131.31 crore a year earlier. The board also approved an interim dividend of ₹1.50 per share for FY25–26.
Brokerage firm Nuvama Institutional Equities, however, struck a cautious tone on the stock despite the earnings growth.
In its note, the brokerage said IEX posted Q3FY26 adjusted profit after tax of ₹1.19 billion, up 11 per cent year-on-year and broadly in line with expectations, even as the tax rate rose to 24.8 per cent compared with 23.7 per cent in the year-ago quarter.
Nuvama highlighted that volumes grew 8.5 per cent year-on-year, driven mainly by strong real-time market growth of 36 per cent, which was partly offset by a sharp 30 per cent decline in renewable energy certificates.
It added that weak power demand during the quarter has been supporting real-time market volumes, but warned that a rise in power deficits could lift spot prices and potentially compress exchange volumes.
The brokerage also pointed to market coupling as a major overhang for the stock, noting that ongoing litigation at the Appellate Tribunal for Electricity indicates procedural delays.
It has pushed the potential impact of market coupling to FY29 from its earlier FY28 assumption, factoring in possible loss of share in the day-ahead market and margin pressure.
While raising its FY28 earnings per share estimate by 18 per cent, Nuvama reiterated that headwinds from market coupling remain and maintained its ‘reduce’ rating on the stock with a discounted cash flow–based target price of ₹118.
Published on February 1, 2026