ReNew Energy Global price target raised to $10 from $8 at Mizuho

Mizuho analyst Maheep Mandloi raised the firm’s price target on ReNew Energy Global to $10 from $8 and keeps a Buy rating on the shares. The firm provided its 2024 outlook for the clean energy and renewables sector, naming First Solar (FSLR), Nextracker (NXT) and Hannon Armstrong (HASI) its top picks. The analyst expects strong solar module pricing in the U.S. in 2024 despite oversupply in China, due to limited vertically integrated manufacturing capacity in the Western world. The firm also expects solar tracker and electrical balance of system benefits from strong utility solar demand in the U.S., tax credit benefits, and improving margins. Residential solar demand is expected to be under pressure until interest rates see a sharp decline, but there is room for increased value creation as energy storage adoption increases renewable system ticket size, the analyst tells investors in a research note.