Green Energy Sector Vs Auto Sector

The main difference between the Green Energy Sector and the Auto sector is that the Green energy sector concentrates on renewable power generation and sustainable energy solutions, while the auto sector focuses on vehicle manufacturing, distribution and related services through traditional and evolving technologies.

Green Energy Sector Overview

The green energy sector encompasses companies involved in renewable energy production, including solar, wind, hydroelectric and biomass technologies. This sector plays a crucial role in reducing carbon emissions and promoting environmental sustainability.

These companies drive innovation in clean energy technologies, maintain power generation facilities and develop infrastructure for sustainable power distribution while attracting significant investment through growing environmental awareness.

Auto Sector Overview

The automotive sector comprises vehicle manufacturers, component suppliers and related service providers focusing on personal and commercial transportation solutions. This established industry represents a crucial economic indicator.

The sector drives manufacturing innovation, creates extensive employment opportunities and contributes significantly to industrial growth through diverse product offerings and extensive supply chains.

Best Stocks In The Green Energy Sector

The below table shows the Best Stocks In The Green Energy Sector based on 1Y return.

Name	Close Price (rs)	1Y Return (%)
Waaree Renewable Technologies Ltd	1015.95	68.83
Inox Wind Ltd	165.57	53.79
Suzlon Energy Ltd	57.43	39.56
K.P. Energy Ltd	456.35	37.53
JSW Energy Ltd	557.55	14.98
Tata Power Company Ltd	365.90	5.69
NHPC Ltd	79.02	4.04
SJVN Ltd	98.90	-4.81
Orient Green Power Company Ltd	16.07	-21.08
Adani Green Energy Ltd	1045.70	-37.79

Top Stocks In The Auto Sector

The below table shows the Top Stocks In The Auto Sector based on 1Y return.

Name	Close Price (rs)	1Y Return (%)
Mahindra and Mahindra Ltd	2821.30	76.86
Eicher Motors Ltd	4969.95	37.42
Bosch Ltd	30611.00	34.41
Maruti Suzuki India Ltd	11883.70	20.52
Ashok Leyland Ltd	204.76	20.27
Bajaj Auto Limited	8468.55	19.34
TVS Motor Company Ltd	2291.90	15.38
Bharat Forge Ltd	1201.65	0.69
Tata Motors Ltd	760.75	-4.96
Hero MotoCorp Ltd	4024.80	-9.44

Fundamental Analysis Of Green Energy Sector

Waaree Renewable Technologies Ltd

Waaree Renewable Technologies is an engineering, procurement and construction (EPC) company focused on the renewable energy sector. The company specializes in solar EPC business, offering comprehensive solutions including rooftop solar, floating solar and ground-mounted projects through both CAPEX and RESCO models.

• Market Cap: ₹10,590.93 Cr

• Current Share Price: ₹1,015.95

• Returns: 1Y (68.83%), 1M (-22.87%), 6M (-45.84%)

• 5Y Average Net Profit Margin: -4.14%

• Dividend Yield: 0.10%

• 5Y CAGR: -4.14%

• Sector: Construction & Engineering

Inox Wind Ltd

Inox Wind is an integrated wind energy solutions provider manufacturing wind turbine generators (WTGs). With three manufacturing plants in Gujarat, Himachal Pradesh and Madhya Pradesh, the company has a cumulative manufacturing capacity of 1,600 MW, serving IPPs, utilities, PSUs and corporate clients.

• Market Cap: ₹21,586.92 Cr

• Current Share Price: ₹165.57

• Returns: 1Y (53.79%), 1M (-9.46%), 6M (10.67%)

• 5Y Average Net Profit Margin: -48.96%

• 5Y CAGR: -48.96%

• Sector: Heavy Electrical Equipments

Suzlon Energy Ltd

Suzlon Energy is a global renewable energy solutions provider specializing in wind turbine generators (WTGs). Founded in India, the company operates in 17 countries across multiple continents, offering advanced products like S144, S133 and S120 Wind Turbine Generators, along with comprehensive operations and maintenance services.

• Market Cap: ₹78,380.56 Cr

• Current Share Price: ₹57.43

• Returns: 1Y (39.56%), 1M (-10.63%), 6M (4.27%)

• 5Y Average Net Profit Margin: -9.16%

• 5Y CAGR: -9.16%

• Sector: Renewable Energy Equipment & Services

K.P. Energy Ltd

K.P. Energy specializes in wind farm development and related services in India. The company provides comprehensive solutions from siting wind farms to operations and maintenance, serving equipment manufacturers, independent power producers and institutional investors through three segments: Infrastructure Development, Power Sales and O&M Services.

• Market Cap: ₹3,043.40 Cr

• Current Share Price: ₹456.35

• Returns: 1Y (37.53%), 1M (-14.54%), 6M (11.00%)

• 5Y Average Net Profit Margin: 8.43%

• Dividend Yield: 0.10%

• 5Y CAGR: 8.43%

• Sector: Renewable Energy

JSW Energy Ltd

JSW Energy is a major power generation company focusing on both thermal and renewable energy sources. The company operates significant plants including Baspa (300 MW), Karcham Wangtoo (1091 MW) and facilities in Barmer, Vijaynagar and Ratnagiri, demonstrating its diverse power generation portfolio.

• Market Cap: ₹97,296.75 Cr

• Current Share Price: ₹557.55

• Returns: 1Y (14.98%), 1M (-14.31%), 6M (-21.45%)

• 5Y Average Net Profit Margin: 14.12%

• Dividend Yield: 0.34%

• 5Y CAGR: 14.12%

• Sector: Power Generation

Tata Power Company Ltd

Tata Power is India’s largest integrated power company, engaged in generation, transmission and distribution of electricity. The company operates across multiple segments including thermal, renewable energy and power distribution, while also providing project management services, infrastructure management and trading services through its extensive network.

• Market Cap: ₹116,917.47 Cr

• Current Share Price: ₹365.9

• Returns: 1Y (5.69%), 1M (-7.41%), 6M (-13.71%)

• 5Y Average Net Profit Margin: 4.30%

• Dividend Yield: 0.55%

• 5Y CAGR: 4.30%

• Sector: Power Transmission & Distribution

NHPC Ltd

NHPC is India’s premier hydropower company, currently constructing eight hydro projects with 6,434 MW capacity. The company operates multiple power stations including Salal, Dulhasti and Kishanganga, while also providing comprehensive consultancy services for hydropower project development, operation and modernization.

• Market Cap: ₹79,375.87 Cr

• Current Share Price: ₹79.02

• Returns: 1Y (4.04%), 1M (-3.11%), 6M (-26.36%)

• 5Y Average Net Profit Margin: 31.23%

• Dividend Yield: 2.40%

• 5Y CAGR: 31.23%

• Sector: Renewable Energy

SJVN Ltd

SJVN is a diversified power company engaged in hydro, thermal, wind and solar power generation. The company has expanded into wind power with projects like the 47.6 MW Khirvire Wind Power Project and 50 MW Sadla Wind Power Project, along with operating 81.3 MW of solar projects.

• Market Cap: ₹38,865.67 Cr

• Current Share Price: ₹98.9

• Returns: 1Y (-4.81%), 1M (-9.62%), 6M (-31.41%)

• 5Y Average Net Profit Margin: 41.40%

• Dividend Yield: 1.82%

• 5Y CAGR: 41.40%

• Sector: Renewable Energy

Orient Green Power Company Ltd

Orient Green Power specializes in renewable energy generation, primarily wind energy. The company manages a substantial portfolio of 402.3 MW wind assets distributed across Tamil Nadu, Andhra Pradesh, Gujarat and Karnataka in India, along with a 10.5 MW wind farm in Croatia, demonstrating its international presence.

• Market Cap: ₹1,885.06 Cr

• Current Share Price: ₹16.07

• Returns: 1Y (-21.08%), 1M (-4.57%), 6M (-15.05%)

• 5Y Average Net Profit Margin: 3.63%

• 5Y CAGR: 3.63%

• Sector: Renewable Energy

Adani Green Energy Ltd

Adani Green Energy is a major renewable power generation company developing, building and operating utility-scale grid-connected solar, wind and hybrid projects across India. With operations in 91 locations spanning multiple states, the company sells power through long-term PPAs and merchant arrangements.

• Market Cap: ₹165,642.28 Cr

• Current Share Price: ₹1,045.7

• Returns: 1Y (-37.79%), 1M (1.00%), 6M (-39.04%)

• 5Y Average Net Profit Margin: 7.01%

• 5Y CAGR: 7.01%

• Sector: Renewable Energy

Fundamental Analysis Of the Auto Sector

Eicher Motors Ltd

Eicher Motors has established itself as a unique player in the automotive sector through its iconic Royal Enfield motorcycle brand and commercial vehicle business. The company’s heritage dates back to 1948 and it has successfully transformed itself through strategic partnerships, notably its joint venture with Volvo Group (VE Commercial Vehicles Limited) for trucks and buses.

• Market Cap: ₹136,242.46 Cr

• Current Share Price: ₹4,969.95

• Returns: 1Y (37.42%), 1M (5.62%), 6M (2.32%)

• 5Y Average Net Profit Margin: 18.02%

• Dividend Yield: 1.02%

• 5Y CAGR: 18.02%

• Sector: Trucks & Buses

Ashok Leyland Ltd

Ashok Leyland, part of the Hinduja Group, is India’s second-largest commercial vehicle manufacturer. Founded in 1948, the company has evolved from a purely commercial vehicle maker into a comprehensive mobility solutions provider, with a significant presence in defence vehicles, power solutions and marine applications.

• Market Cap: ₹60,128.33 Cr

• Current Share Price: ₹204.76

• Returns: 1Y (20.27%), 1M (-4.35%), 6M (-11.24%)

• 5Y Average Net Profit Margin: 1.51%

• Dividend Yield: 2.42%

• 5Y CAGR: 1.51%

• Sector: Trucks & Buses

Maruti Suzuki India Ltd

Maruti Suzuki has dominated India’s passenger vehicle market since 1981, emerging as the country’s largest carmaker. Through its multi-channel strategy (NEXA, Arena and Commercial) and comprehensive product portfolio from entry-level to premium segments, the company has maintained leadership by understanding and adapting to Indian consumer preferences.

• Market Cap: ₹373,626.59 Cr

• Current Share Price: ₹11,883.7

• Returns: 1Y (20.52%), 1M (10.00%), 6M (-5.99%)

• 5Y Average Net Profit Margin: 6.70%

• Dividend Yield: 1.05%

• 5Y CAGR: 6.70%

• Sector: Four Wheelers

Mahindra & Mahindra Ltd

Founded in 1945, Mahindra & Mahindra has evolved from a steel trading company to a global conglomerate. The company’s transformation into a leader in SUVs and farm equipment demonstrates its ability to identify and capitalize on emerging market opportunities while maintaining a strong presence across automotive, farm equipment and technology sectors.

• Market Cap: ₹338,185.02 Cr

• Current Share Price: ₹2,821.3

• Returns: 1Y (76.86%), 1M (-1.06%), 6M (0.59%)

• 5Y Average Net Profit Margin: 5.11%

• Dividend Yield: 0.70%

• 5Y CAGR: 5.11%

• Sector: Four Wheelers

Tata Motors Ltd

Tata Motors represents India’s automotive ambition on the global stage. From acquiring prestigious brands like Jaguar Land Rover to pioneering the affordable car segment with the Nano and now leading India’s electric vehicle revolution, Tata Motors exemplifies the evolution of Indian automotive manufacturing capabilities.

• Market Cap: ₹280,041.58 Cr

• Current Share Price: ₹760.75

• Returns: 1Y (-4.96%), 1M (5.73%), 6M (-24.16%)

• 5Y Average Net Profit Margin: -1.24%

• Dividend Yield: 0.71%

• 5Y CAGR: -1.24%

• Sector: Four Wheelers

Bajaj Auto Limited

Established as a key player in India’s automotive sector, Bajaj Auto has transformed from a scooter manufacturer to a global motorcycle powerhouse. The company’s strategic partnerships with KTM and Triumph, alongside its successful transition to premium motorcycles through the Pulsar brand, demonstrate its ability to evolve with market demands while maintaining profitability.

• Market Cap: ₹236,490.70 Cr

• Current Share Price: ₹8,468.55

• Returns: 1Y (19.34%), 1M (-3.51%), 6M (-10.00%)

• 5Y Average Net Profit Margin: 16.52%

• Dividend Yield: 0.94%

• 5Y CAGR: 16.52%

• Sector: Two Wheelers

TVS Motor Company Ltd

TVS Motor Company has shown remarkable adaptability in the competitive two-wheeler market. From its origins as a transport company, TVS has evolved into a technology-forward manufacturer, being among the first to embrace electric mobility with iQube while maintaining strength in traditional segments through brands like Apache and Jupiter.

• Market Cap: ₹108,804.77 Cr

• Current Share Price: ₹2,291.9

• Returns: 1Y (15.38%), 1M (-4.60%), 6M (-5.53%)

• 5Y Average Net Profit Margin: 3.58%

• Dividend Yield: 0.35%

• 5Y CAGR: 3.58%

• Sector: Two Wheelers

Hero MotoCorp Ltd

As the world’s largest manufacturer of two-wheelers, Hero MotoCorp exemplifies scale and efficiency in manufacturing. The company’s transition from Hero Honda to an independent entity showcases its R&D capabilities. Its recent entry into electric mobility with Vida V1 while maintaining dominance in the commuter segment demonstrates its balanced approach to future growth.

• Market Cap: ₹80,495.81 Cr

• Current Share Price: ₹4,024.8

• Returns: 1Y (-9.44%), 1M (-5.99%), 6M (-26.33%)

• 5Y Average Net Profit Margin: 9.31%

• Dividend Yield: 3.48%

• 5Y CAGR: 9.31%

• Sector: Two Wheelers

Bosch Ltd

Bosch Limited represents the Indian arm of the global technology giant Robert Bosch GmbH. As a leading supplier of technology and services in mobility solutions, the company has been instrumental in India’s automotive evolution since 1951. Their expertise spans fuel injection systems, automotive aftermarket products and increasingly, solutions for electric and autonomous vehicles.

• Market Cap: ₹90,282.98 Cr

• Current Share Price: ₹30,611

• Returns: 1Y (34.41%), 1M (-10.46%), 6M (-10.33%)

• 5Y Average Net Profit Margin: 8.76%

• Dividend Yield: 1.23%

• 5Y CAGR: 8.76%

• Sector: Auto Parts

Bharat Forge Ltd

Bharat Forge has established itself as the world’s largest forging company since its inception in 1961. Under the Kalyani Group, the company has transformed from a traditional auto component manufacturer to a global engineering powerhouse. Their diversification into aerospace, defense and e-mobility components showcases their technological advancement and strategic vision.

• Market Cap: ₹57,449.52 Cr

• Current Share Price: ₹1,201.65

• Returns: 1Y (0.69%), 1M (-5.05%), 6M (-26.07%)

• 5Y Average Net Profit Margin: 4.46%

• Dividend Yield: 0.20%

• 5Y CAGR: 4.46%

• Sector: Iron & Steel

Green Energy Sector Performance & Growth

The below table shows the Green Energy Sector Performance & Growth based on 5 Year Net Profit Margin.

Name	Close Price (rs)	5Y Avg Net Profit Margin (%)
SJVN Ltd	98.90	41.40
NHPC Ltd	79.02	31.23
JSW Energy Ltd	557.55	14.12
K.P. Energy Ltd	456.35	8.43
Adani Green Energy Ltd	1045.70	7.01
Tata Power Company Ltd	365.90	4.30
Orient Green Power Company Ltd	16.07	3.63
Waaree Renewable Technologies Ltd	1015.95	-4.14
Suzlon Energy Ltd	57.43	-9.16
Inox Wind Ltd	165.57	-48.96

Auto Sector Performance & Growth

The below table shows Auto Sector Performance & Growth based on 5 Year’s Net Profit Margin.

Name	Close Price (rs)	5Y Avg Net Profit Margin (%)
Eicher Motors Ltd	4969.95	18.02
Bajaj Auto Limited	8468.55	16.52
Hero MotoCorp Ltd	4024.80	9.31
Bosch Ltd	30611.00	8.76
Maruti Suzuki India Ltd	11883.70	6.70
Mahindra and Mahindra Ltd	2821.30	5.11
Bharat Forge Ltd	1201.65	4.46
TVS Motor Company Ltd	2291.90	3.58
Ashok Leyland Ltd	204.76	1.51
Tata Motors Ltd	760.75	-1.24

Government Policies & Incentives For The Green Energy and Auto Sector

Both sectors receive government support through targeted policies promoting sustainable development and manufacturing growth. Green energy benefits from renewable targets while the auto sector gains from production incentives.

Policy frameworks include tax benefits, infrastructure support, research funding and manufacturing incentives. These initiatives enhance sector competitiveness while promoting technological advancement.

Challenges Faced By the Green Energy and Auto Sector

The main challenges include infrastructure requirements, technology adaptation needs, market competition and regulatory compliance affecting both sectors’ growth and operational efficiency.

• Infrastructure Development: Significant investments needed for renewable energy facilities and automotive manufacturing units pose financial and implementation challenges across production and distribution networks.

• Technology Updates: Continuous technological advancement requirements, research and development costs and innovation needs affect competitiveness and market positioning.

• Market Dynamics: Changing consumer preferences, international competition and price sensitivity impact growth strategies and market share maintenance.

Future Outlook Of Green Energy and Auto Sector

The green energy sector shows promising growth potential through increasing renewable energy adoption, technological improvements and supportive policies. Meanwhile, the auto sector evolves with changing mobility needs and emission regulations.

Both sectors demonstrate strong innovation potential, with green energy focusing on sustainable solutions and auto manufacturers adapting to changing consumer preferences and environmental requirements.

How to invest in the Green Energy and Auto Sector Stocks?

Start by opening a demat account with Alice Blue, completing KYC requirements and researching companies in both sectors. Focus on fundamentals, growth prospects and technological capabilities while understanding sector dynamics.

Maintain systematic investment approach through regular monitoring of company performance, policy developments and market trends while ensuring proper portfolio diversification across sectors.

Difference Between Auto Sector And Green Energy Sector – Conclusion

• The main difference between the green energy and auto sectors is that green energy focuses on renewable power and sustainability, while the auto sector revolves around vehicle manufacturing, distribution and evolving technologies.

• The green energy sector includes companies producing renewable energy like solar, wind and hydro, driving innovation in clean energy, reducing emissions and attracting investments through increasing environmental awareness.

• The automotive sector consists of manufacturers, suppliers and service providers, playing a vital economic role by driving innovation, employment and industrial growth through a diverse range of products and supply chains.

• Both sectors receive government support through tax benefits, infrastructure development, research funding and incentives, enhancing their competitiveness and fostering technological advancements for sustainability and economic growth.

• The main challenges affecting both sectors include infrastructure needs, technology adaptation, regulatory compliance and market competition, impacting growth and operational efficiency.

• Green energy is growing with rising adoption and policies, while the auto sector evolves with emission regulations and mobility trends, showcasing strong innovation potential in sustainability and consumer-driven technology.

• Invest in both sectors by opening a demat account with Alice Blue, researching fundamentals, monitoring market trends and policy changes and ensuring diversification while maintaining a systematic investment approach.

Green Energy Sector Vs Auto Sector – FAQs

Disclaimer: The above article is written for educational purposes and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.