IIFL Capital, a domestic brokerage firm, has expressed a positive outlook on power transition stocks as the summer season approaches. The firm is particularly interested in renewable energy themes, predicting a significant increase in profit opportunities for developers in this sector. They emphasize factors such as transferring profits from government entities and primary energy suppliers to developers, capturing value through vertical integration, and exploring new profit avenues like storage and green hydrogen. Despite acknowledging challenges in execution and potential constraints due to factors like 'Solar Maximum', IIFL Capital believes that integrated developers with the ability to leverage adjacencies and deploy substantial resources are well-positioned to succeed in this phase of energy transition. The brokerage also stresses the importance of key elements such as timely transmission access, energy storage solutions, and comprehensive vertical integration to facilitate the growth of renewable energy capacity. In terms of stock recommendations, IIFL Capital maintains a 'buy' rating on Tata Power, setting a target price of Rs 435. Additionally, they have initiated coverage on Acme Solar with a 'buy' rating and a target price of Rs 290 per share. They have also provided an 'add' rating for NTPC Green Energy with a target price of Rs 105 and a 'reduce' rating for JSW Energy with a target price of Rs 495. The firm's positive stance reflects its confidence in the potential of power transition stocks amidst the ongoing energy transition.