This study presents a comparative analysis of the stock performance and risk-return characteristics of Tata Power and Adani Green Energy Limited in the Indian sustainable energy sector. Using secondary data from the National Stock Exchange and Bombay Stock Exchange for the period 2018–2024, the study evaluates key financial metrics such as returns, standard deviation, beta, and risk-adjusted performance measures including Sharpe Ratio, Treynor Ratio, and Jensen’s Alpha. The findings reveal that both companies generated higher returns than the BSE Sensex, but with significantly higher risk and volatility. The portfolio analysis indicates high returns accompanied by high risk, reflecting aggressive investment behavior. The study highlights the importance of balancing risk and return in sustainable investments and provides insights for investors and analysts in making informed decisions.
W et al. (Sun,) studied this question.