Heavy Buying Alert: Wind Energy Stock under Rs 60 Hit Upper Circuit; FIIs Bought 30,26,83,899 Shares & Strong 5,100-MW Order Book

The stock gave multibagger returns of 635 per cent in 2 years and a whopping 2,530 per cent in 5 years

On Monday, one of the Top Gainers on BSE, shares of Suzlon Energy Ltd hit a 5 per cent upper circuit to Rs 59.61 per share from its previous closing of Rs 56.78 per share. The stock’s 52-week high is Rs 86.04 and its 52-week low is Rs 33.83. At the closing bell, the shares of the company were trading at Rs 59.40 per share, up 4.61 per cent and saw a spurt in volume by more than 2.01 times on BSE.

Suzlon is one of the leading global renewable energy solutions providers. It is a vertically integrated WTG manufacturer. It also undertakes installation and O&M of all WTG sales. Operations include design development and manufacturing of all major components, including rotor blades, tubular towers, generators, control equipment, gears and nacelles. Apart from manufacturing, it offers a full gamut of wind project planning and execution services, including wind resource assessment, infrastructure and power evacuation, technical planning and execution of wind power projects. It also offers O&M services in India and overseas countries.

According to Quarterly Results, the net sales increased by 48 per cent to Rs 2,093 crore, EBITDA increased by 31 per cent to Rs 294 crore and net profit increased by 96 per cent to Rs 201 crore in Q2FY25 compared to Q2FY24. In its annual results, the net sales increased by 9.4 per cent to Rs 6,529.1 crore and net profit decreased by 77 per cent to Rs 660.35 crore in FY24 over FY23. The company maintained a robust financial position with a net cash balance of Rs 1,277 crore as of September 30, 2024.

Suzlon Group's robust Q2 FY25 performance, highlighted by 256 MW of net volumes and a record-breaking 5.1 GW order book, aligns with market expectations. Key achievements include a landmark 1,166 MW wind energy order from NTPC Renewable Energy Limited, strategic acquisitions like Renom Energy Services, and a significant 400 MW C&I order from JSP Green Wind 1 Pvt Ltd. The innovative S144 wind turbine, tailored for low wind conditions, boasts a substantial 4.7 GW order book, driving the expansion of manufacturing capacity.

Suzlon Energy Ltd is a mid-sized company in the power sector, listed on the Bombay Stock Exchange (BSE) & National Stock Exchange (NSE) with a market capitalization surpassing Rs 81,000 crore. The company is also included in the BSE's Power Index, reflecting its focus on the power industry. As of September 30, 2024, Suzlon has a healthy order book of 5,100 megawatts, indicating upcoming projects and potential revenue generation. In September 2024, FIIs bought 30,26,83,899 shares and increased their stake to 23.72 per cent and DIIs decreased their stake to 9.02 per cent stake compared to 21.53 per cent and 9.16 per cent respectively, in June 2024. The stock gave multibagger returns of 635 per cent in 2 years and a whopping 2,530 per cent in 5 years. Investors should keep an eye on this mid-cap power stock.

Disclaimer: The article is for informational purposes only and not investment advice.