A more savvy investor would hold on to it at least until the quarterly results or longer because of the below mentioned reasons.
1) These months are the most lucrative for hydropower generation companies and this would entail a higher profit.
2) The new tariff is out and there will be an excess 150 - 170 million added to the bottom line of the #VPEL quarterly results.
3) DP mentioned in the annual report that they are planning on expanding their Balangoda wind farm and are looking for other sources of renewable energy so their are not limited to hydropower only (ex; wind, solar, tide, biogas).
4) Sri Lanka has targeted 22% of its electricity need to be from renewable sources by 2020, so there is favourable government policy and support.
5) Japan has begun investing in a solar energy.
6) Currently, contributing the highest to the national grid in terms of hydropower (21.85 MW).
Also initiatives like this are taking form.
Am I mistaken or do I see some serious potential for this company?
I would appreciate some thoughts on the matter?