Multibagger Wind Energy Stock Bags 1166 MW Order From NTPC, Buy For Fresh TP Rs 115

Suzlon Energy shares today traded in red despite announcing receiving Limited (the renewables arm of India's largest energy conglomerate NTPC Limited) for 1166 MW. Last trading price of Suzlon Energy Ltd shares on BSE is Rs 74.34 per share. Suzlon Energy shares gave returns of 209% in last 1-year. The company has a market capitalisation of Rs 101399.78 crore. FII-backed Suzlon conducted stock split in the proportion of 1:5 in the year 2008. FII/FPI have increased holdings from 19.57% to 21.53% in June 2024 quarter. Check details below:

Suzlon Energy Bags NTPC Order: As per the BSE filing of Suzlon Energy dated September 9, 2024, "Suzlon will install a total of 370 wind turbine generators (WTGs) of S144 equipped with a Hybrid Lattice Tubular (HLT) tower and a rated capacity of 3.15 MW each at two projects of NTPC Renewable Energy Limited (a wholly owned subsidiary of NGEL) and one project of IndianOil NTPC Green Energy Pvt. Ltd. (A group company of NGEL) in the state of Gujarat. This win takes Suzlon's largest‐ever cumulative order book close to 5 GW as of 03rd September 2024."

Girish Tanti, Vice Chairman, Suzlon Group, said, " We are delighted to partner with NTPC Green Energy Limited, the renewables arm of India largest utility NTPC Limited, in our capacity as the nation's premier Wind Energy OEM. This landmark collaboration reaffirms our commitment to accelerating India's renewable energy transition. Notably, this marks our first direct wind energy order from NGEL, signaling Suzlon's triumphant return to the PSU customer segment."

Should You Buy Suzlon Shares? According to ICICI Securities, "Suzlon's current orderbook provides visibility of execution for next 2 years. Also, a large number of orders of ~1.5GW from public sector entities are yet to be finalised. We are baking in over 2GW of order inflow in FY25E and FY26E. Maintain ADD with a revised target price of Rs 80."

Meanwhile, SAMCO Securities assigned buy call to Suzlon Ltd shares with target price of Rs 115. The analyst feels that the stock is likely to hit this target price of Rs 115 by year-end. The RSI of Suzlon is hovering near 88 indicating an overbought condition and bullish momentum stays intact on broader monthly chart.

Suzlon Energy Shares Performance: The 52-week high price of Suzlon Energy share on BSE is Rs 84.40 per share (as on 13/08/2024) and 52-week low price is Rs 21.71 per share (as on 13/09/2023). Suzlon Energy shares gained 49% in just last 3-months, soared 84% in last 6-months, surged 740% in last 2-years, and offered return of 1195% in last 3-years. Suzlon Energy shares offered return of 2781% in last 5-years.

Suzlon Energy Results: Suzlon Energy declared its revenue from operations at Rs 2016 crore for the June 2024 quarter, up 50% as against Rs 1348 crore declared in the corresponding quarter of last year. EBITDA of Suzlon Energy for Q1 FY25 declared at Rs 370 crore, up 86% as compared to Rs 199 announced in Q1FY24. EBITDA margin for the quarter under review announced at 18.4% up from 14.8% in the year-ago period.

Shareholding: FII/FPI have increased holdings from 19.57% to 21.53% in June 2024 quarter. Number of FII/FPI investors increased from 574 to 652 in June 2024 quarter. Mutual Funds have increased holdings from 1.86% to 3.82% in June 2024 quarter. Number of MF schemes remains unchanged at 23 in June 2024 quarter. Institutional Investors have increased holdings from 25.88% to 30.69% in June 2024 quarter, according to Trendlyne.

Suzlon Energy Dividend: Suzlon Energy Ltd. has declared 4 dividends since February 3, 2006.

About: With over 29 years of operational track record, the Group has a diverse workforce of over 6,200 employees. Suzlon is also India's No. 1 wind energy service company with the largest portfolio of over 14.7 GW in wind energy assets. The Group has ~6 GW of installed capacity outside India, according to its official website.

Disclaimer: The stock has been picked from the brokerage report of ICICI Securities and SAMCO Securities. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.