Adobe Stock
The drama continues at Indian Energy Exchange. After crashing nearly 30 per cent last week and staging a modest comeback, the stock has slipped again, dropping close to 4 per cent intraday today (July 28, 2025).
The reason? Lingering fears over a regulatory curveball called ‘market coupling’ and fresh target cuts from brokerages.
What’s going on with the stock
IEX shares fell to Rs 140 intraday on Monday, giving up most of Friday’s gains. That bounce had come on the back of a strong Q1 – 25 per cent year-on-year profit growth. But it wasn’t enough to calm investor nerves. With market coupling likely to dent IEX’s dominance in price discovery, the bears are back in charge.
Just last week, CERC approved market coupling—a reform that will consolidate power price discovery across exchanges. IEX, which controls over 90 per cent of spot power trade, stands to lose its pricing edge.
Should you be worried?
If you’re a short-term trader, then yes. Volatility is high, sentiment is weak and the charts are not your friend right now.
But long-term investors may want to take a closer look. Despite the risks, IEX still runs a highly profitable platform with massive operating leverage. The core business isn’t broken—it’s just facing more competition. And if it adapts well, the current correction might open a rare window for entry at a fairer price.
About the company
IEX is India’s biggest power trading platform. It allows participants such as like power generators, distribution companies and large consumers to buy and sell electricity in real-time or day-ahead markets. It also facilitates trading in green power and certificates. In short, it’s where India’s short-term power market happens.
Should IEX be a part of your portfolio?
Markets will always have their ups and downs. That’s why basing your investment decisions on short-term results or market noise can be risky. True wealth is built by staying invested for the long haul.
At Value Research Stock Advisor, our analysts cut through the noise to help you focus on what really matters: Identifying long-term compounders. So instead of reacting to a single quarter, ask the bigger question: Can IEX become a wealth compounder over the next decade?
Disclaimer: This article was crafted with the aid of artificial intelligence and meticulously reviewed and edited by our human experts to ensure accuracy and provide valuable insights. It's intended for informational purposes only. We encourage you to conduct your own thorough research before making any investment decisions.
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