Sign In

Delhi News Daily

  • Home
  • Fashion
  • Business
  • World News
  • Technology
  • Sports
  • Politics
  • Lifestyle
  • Entertainment
Reading: After a 1,300% rally, consolidation hits Suzlon shares. 6 triggers that may energise bulls – Delhi News Daily
Share

Delhi News Daily

Font ResizerAa
Search
Have an existing account? Sign In
Follow US
© 2022 Foxiz News Network. Ruby Design Company. All Rights Reserved.
Delhi News Daily > Blog > Business > After a 1,300% rally, consolidation hits Suzlon shares. 6 triggers that may energise bulls – Delhi News Daily
Business

After a 1,300% rally, consolidation hits Suzlon shares. 6 triggers that may energise bulls – Delhi News Daily

delhinewsdaily
Last updated: July 11, 2025 11:00 pm
delhinewsdaily
Share
SHARE


Contents
Live EventsSuzlon’s turnaround storyStock to buy
Suzlon Energy’s meteoric 1,300% surge from Rs 6 three years ago to its 52-week high of Rs 86 in September (NSE) marked a stellar run. However, the rally has since hit a consolidation phase. Despite still delivering a staggering 980% return at current levels, the stock’s muted performance over the past 10 months signals growing fatigue among the bulls. We explore what it will take to reignite momentum and power the next leg of the rally.

The stock hit its 52-week low of Rs 46 in April this year and has since rebounded to around Rs 66, but it still trades 23% below its September peak.

Suzlon’s massive rally is now showing signs of fatigue as in the last six months, the stock has navigated a phase of consolidation, Om Ghawalkar, Market Analyst, Share.Market.

Ghawalkar said that its RSI also reveals a bearish divergence trap while the MACD and signal lines are converging, hinting at a potential shift in momentum. A tri-star pattern has also emerged, reflecting a period of market indecision, he added.

Another momentum indicator MFI is hovering around 75 and this puts the stock into an overbought zone, hinting at a likely pullback. A number above 70 is seen as overbought while below 30 is considered oversold.

ET logo

Live Events


The stock of Suzlon Energy has also displayed high volatility, with 1-year beta hovering at 1.5, according to Trendlyne.

Suzlon’s turnaround story

Listed in October 2005, Suzlon’s lifetime high is Rs 430.92 on January 9, 2008 while its lifetime low is Rs 1.51 hit on March 26, 2020, during the Covid-19 market crash.

The picture has completely changed and Suzlon is now a turnaround story, backed by financial restructuring. The renewable energy company is net cash positive now and is a market leader in its segment.

This has reflected in the stock’s performance as there are only 23 stocks which have higher returns than Suzlon Energy over a three-year period. ETMarkets has considered only those stocks which have a market capitalisation of Rs 5,000 crore or more.

Some of the most traded stocks that have given superior returns include Mazagon Dock Shipbuilders, Waaree Renewable Technologies, Force Motors, Cochin Shipyard, Rail Vikas Nigam (RVNL), Garden Reach Shipbuilders & Engineers ( GRSE) and Zen Technologies.


Tailwinds – Stock’s next leg of rally backed by 6 reasons:

1. Technicals matter

Suzlon chartETMarkets.com

A golden crossover between the 50-day and 200-day moving averages, signals a strong primary uptrend, while the 10 and 21 day moving averages suggest that shorter-term momentum remains intact.

Suzlon’s is trading above its 50-day and 200-day simple moving averages (SMAs) of 63 and 62, respectively, according to Trendlyne.

The stock also scores high on these 5 factors namely price trends, fair valuation, market perception, risk levels, and financial strength, Ghawalkar added.

2. Restructuring: The company’s restructuring exercise has helped it reduce its debts, making it net cash positive at Rs 830 crore, Anand Rathi said in a note.

“Suzlon’s financial health is further bolstered by a substantial reduction in debt, leaving the company nearly debt-free and enhancing its resilience to market fluctuations,” Ghawalkar added.

3. Order book: Its record-high 5.6GW order book—3.6x FY25 execution—ensures robust assurance, says Anand Rathi.
Ghawalkar said that the order book provides robust revenue visibility for the coming years.

4. Energy outlook: Demand for electricity is expected to rise at a steady 5-7% over 2025-30, with the greater emphasis on non-fossil-fuel generation (500GW renewables capacity), MNRE targets 10GW annual wind-capacity addition till 2030.

5. Game changer: Apart from the above factors, the rollout of the advanced S144 platform, underscores Suzlon’s constructive outlook.

6. Earnings: In FY25, the company’s consolidated revenue soared 67% year-on-year to more than Rs 10,851 crore, while net profit surged 214% to Rs 2,072 crore. The Earnings Before Interest, Taxes, Depreciation (EBITDA) margins rose to 17.1%.

The company’s operational efficiency is evident in higher contribution margins and improved cash reserves, positioning it well for future expansion, Ghawalkar said.

Stock to buy

Brokerage Anand Rathi has initiated a coverage with a ‘Buy’, pegging the price target at Rs 81, valuing it at 40x FY27e PE.

“The company’s journey from a challenging past to a position of strength highlights its adaptability and commitment to driving India’s clean energy transition. As Suzlon continues to innovate and expand, it remains a key player to watch in the evolving landscape of renewable energy,” the Share.market expert said.

The stock was in news on Friday after Motilal Oswal Financial Services (MOFSL) gave its highest-ever target price for the stock at Rs 82, believing that Suzlon Energy will benefit from local content mandates, a strong order book ensuring revenue visibility, and improved execution via land acquisition and EPC expansion.

(Inputs from Ritesh Presswala)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)



Source link

Share This Article
Twitter Email Copy Link Print
What do you think?
Love0
Sad0
Happy0
Sleepy0
Angry0
Dead0
Wink0
Previous Article News18 ‘First Decide Which Party You Belong To’: Congress Leader Jabs Tharoor Over Kerala CM Survey – Delhi News Daily
Next Article Glass house farms row: Over 200 immigrants arrested in California’s marijuana farms – Times of India – Delhi News Daily
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recent Posts

  • 58-year era ends: Corporation for Public Broadcasting to close after Trump pulls funding; $1.1 billion cut by Congress – Times of India – Delhi News Daily
  • Why UAE cares so much about dates: From AED 8 million festival prizes to Golden Visas for date farmers | World News – Times of India – Delhi News Daily
  • ‘Calling people Nazi for thinking Sydney Sweeney is beautiful’: JD Vance reacts to American Eagle’s jeans row – Times of India – Delhi News Daily
  • ITC Q1 Results: Cons PAT rises 3% YoY to Rs 5,244 crore, revenue jumps 19% – Delhi News Daily
  • ‘Dangerous Game’: Rijiju Responds To Rahul Gandhi’s ‘Atom Bomb’ Attack On ECI – Delhi News Daily

Recent Comments

No comments to show.

You Might Also Like

Business

Waaree Energies shares may break April 2025 peak after Friday’s 12% jump: Anand James – Delhi News Daily

After a blistering 12% rally on Friday, Waaree Energies is back in the spotlight. With the stock inching closer to…

8 Min Read
Business

Retail investors now the smart money, HNIs more prone to panic: Sandeep Tandon – Delhi News Daily

"I can say with good amount of confidence, at least till 2047 when demographic cycle peaks out in India, till…

15 Min Read
Business

Ashish Kacholia and Samara Capital backed Sahajanand Medical Technologies files DRHP for IPO – Delhi News Daily

Sahajanand Medical Technologies (SMT) Limited has filed its Draft Red Herring Prospectus (DRHP) with capital markets regulator, Securities and Exchange…

4 Min Read
Business

A White House lunch date has everyone talking amid an unfolding geopolitical game involving US, Pak, Iran, India – Delhi News Daily

On Wednesday in the White House, the kitchen will emit not just aroma of food but strategic signals too. Field…

8 Min Read

Delhi News Daily

© Delhi News Daily Network.

Incognito Web Technologies

Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?