The solar sector is experiencing an undeniable surge in growth as we enter 2026, with key companies in the space reporting significant jumps in their order books. The growth in the sector comes as demand for clean, sustainable energy continues to climb globally.
Solar companies are benefitting from favorable government policies, falling installation costs, and increasing environmental awareness.
For investors, this surge raises an important question: Will these four solar companies become multibaggers, delivering returns many times greater than the initial investment? Or will they face challenges that limit their growth potential?
This article analyzes the recent performance of four major solar companies, evaluates the key factors contributing to their rising order books, and explores the long-term investment prospects in the solar energy sector.
Why Solar Energy Demand Is Soaring in 2026
A Global Push for Clean Energy
The solar energy market is booming due to several factors, with the most prominent being the push for clean energy. As governments across the globe strive to meet their climate goals outlined in the Paris Agreement, solar power is taking center stage in the global transition toward renewable energy.
According to the International Energy Agency (IEA), solar will be the world’s largest source of electricity by 2030, supplying 50% or more of global power needs. This clean energy revolution is being driven by policies that encourage solar adoption.
For instance, tax incentives, subsidies, and net metering laws in the U.S. and Europe are accelerating the shift towards solar energy. At the same time, governments in developing nations like India, South Africa, and Brazil are increasing their solar infrastructure to meet growing energy demands and enhance energy access for their populations.
Decreasing Costs and Technological Innovation
The cost of solar panels has dropped significantly, making solar energy an affordable alternative to fossil fuels. The cost of generating solar power has fallen by more than 90% over the past decade, thanks to advances in photovoltaic (PV) technology and mass production.
With cheaper production costs, solar installations are now within reach for residential and commercial customers alike. Additionally, innovations such as solar-plus-storage solutions, high-efficiency solar panels, and integration with smart grids have made solar energy even more attractive to consumers.
The growing affordability and efficiency of solar power are major factors driving the expansion of the sector.
4 Companies with Expanding Order Books: The Path to Multibagger Status
1. Advait Energy: A Leader in Green Hydrogen and Solar Energy
Advait Energy Transitions Ltd., a significant player in the solar and green hydrogen sectors, has seen a 114% increase in its revenue, driven by a 132% growth in its order book, which now exceeds ₹1,000 crore.
Advait specializes in solar-powered infrastructure projects and energy storage systems, which positions it as a key player in the growing demand for clean energy infrastructure. (source) Why it could be a multibagger:
Advait’s expansion into green hydrogen, combined with its growth in solar installations, offers high growth potential. The company’s diversified portfolio in both solar power and emerging technologies places it in an advantageous position for long-term returns.
2. Solex Energy: Record Order Wins and Expanding International Reach
Solex Energy Ltd., a key solar product manufacturer, has seen its order book grow to ₹4,000 crore, representing a 20% increase year-over-year. Solex has gained traction in both residential and commercial solar markets and is expanding its presence in Europe and the Middle East.
The company is well-known for producing high-efficiency solar panels and is scaling its operations to meet growing demand. Why it could be a multibagger: With an expanding international footprint and a robust order book, Solex is set to capture a significant share of the growing solar market.
Its focus on high-efficiency products and expanding its global presence gives it an edge in an increasingly competitive market.
3. Solarworld Energy Solutions: Dominating the EPC Market
Solarworld Energy Solutions Ltd. has been a consistent performer, with an order book valued at ₹2,622 crore as of late 2025. The company specializes in EPC (engineering, procurement, and construction) for large-scale commercial solar projects.
As the demand for industrial and utility-scale solar installations continues to rise, Solarworld is well-positioned to meet the need for large-scale energy solutions.
Why it could be a multibagger: Solarworld’s strong order book and its expertise in large-scale projects provide it with consistent, long-term growth opportunities. The growing demand for EPC solutions for industrial and commercial solar installations ensures a steady revenue stream for the company.
4. Ceigall India: Dominating Solar + Storage Projects
Ceigall India Ltd. has become a leader in the solar + energy storage segment, securing major contracts, including a ₹1,700 crore deal for solar projects in Madhya Pradesh. With a total order book exceeding ₹1,900 crore, Ceigall is capitalizing on the growing demand for battery energy storage systems (BESS) alongside solar power installations.
Why it could be a multibagger: Ceigall’s unique position in the solar + storage market gives it an advantage as energy storage solutions become increasingly crucial in integrating solar power into the grid.
AC, फ्रिज, वॉशिंग मशीन के लिए कितना kVA का Inverter-Battery चाहिए? क्या सोलर से चल सकते हैं?
The company’s strong order backlog, combined with the growing adoption of energy storage systems, sets it up for long-term growth.
Investment Insights: Will Solar Stocks Deliver Multibagger Returns?
Factors That Could Drive Multibagger Returns
- Strong Order Book: A large and growing order book is essential for projecting future revenue growth. Companies with backlogs in the ₹1,000 crore range are well-positioned to benefit from rising demand and project execution over the next few years.
- Technological Advancements: Companies that are investing in next-generation solar technologies, such as high-efficiency panels or integrated solar storage systems, are likely to capture more market share and benefit from premium pricing.
- Expansion into Emerging Markets: Solar companies with a strong presence in emerging markets like India, Africa, and Southeast Asia will benefit from untapped demand, as these regions continue to expand their renewable energy capacity.
- Sustainability and ESG: As more investors shift towards sustainable and green investments, companies with a clear commitment to environmental, social, and governance (ESG) practices will attract more investment, boosting their stock performance.
Challenges Facing Solar Stocks
- Regulatory Risks: Changes in government policies or tariffs could affect the profitability of solar projects. For instance, shifts in net metering policies or tax incentives could make solar installations less attractive to consumers and businesses.
- Supply Chain Constraints: The solar industry relies on a global supply chain for materials such as silicon, silver, and steel. Any disruptions in supply chains — whether due to geopolitical tensions or global shortages — could impact production timelines and costs.
- Price Pressure: While solar panel prices have dropped significantly, there is always the risk that price reductions could outpace improvements in margins. Companies must balance cost reductions with maintaining healthy profitability.
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The Future of Solar Stocks: Long-Term Growth Potential
While the current boom in solar stocks is impressive, it’s important to remember that long-term growth requires companies to deliver on their promises, execute projects efficiently, and stay ahead of technological advancements.
Investors should watch for companies that diversify into energy storage and other green technologies to ensure they remain competitive as the market evolves.
With global demand for solar energy projected to continue growing through 2030, the companies highlighted in this article have strong potential to become multibaggers, provided they can maintain strong order books and execute their projects effectively.
FAQs
Q: How do strong order books impact solar stock performance?
A: Strong order books signal future revenue growth and project execution. Companies with large, diverse order books are likely to perform well, as they have secured contracts that will drive future earnings.
Q: Can these solar companies become multibaggers in the long term?
A: Companies that continue to innovate, manage supply chains effectively, and expand into high-growth regions like Asia and Africa are well-positioned to see multibagger returns over the long term.
Q: What risks should investors consider when buying solar stocks?
A: Investors should be mindful of regulatory changes, supply chain disruptions, and competitive pricing pressures, which could affect solar companies’ profitability and stock performance.
