Suzlon Energy shares are down 30% from their peak and the market capitalization is now below Rs 80,000 crore on the NSE. Over the past one year, the stock has slipped 7%, underperforming not just the benchmarks Nifty (6%) and the BSE Sensex (5%) but also the sector (10%) according to Trendlyne data.
The stock is fully priced-in at current valuations, Kranthi Bathini, Director-Equity Strategy at WealthMills Securities said, adding that Suzlon shares could, at best, rally 10%-15% from here in the medium-to-long (12 months) from here. When the stock’s market capitalization crossed the Rs 1 lakh crore mark, there was a concern if the company commands this kind of valuation, notwithstanding multiple tailwinds.
The recent performance has been the reflection of how Street is currently viewing stock prices vis-a-vis the growth potential, Bathini said.
Suzlon’s P/E multiple is down from the peak of 191 on September 20, 2024 — the day when the stock hit its all-time high — to 26.15 as on Friday November 7, 2025 closing.
ETMarkets.comConsolidation despite tailwinds
The renewable energy solutions company reported a record-breaking performance for the second quarter of FY26, with consolidated Profit After Tax (PAT) surging 538% year-on-year (YoY) to Rs 1,279 crore, its highest quarterly profit in 30 years. The figure excludes exceptional items. Revenue from operations rose 85% YoY to Rs 3,866 crore in Q2FY26, driven by a robust performance in the wind turbine generator (WTG) segment and higher deliveries.
Suzlon’s net profits have grown YoY for the past six quarters while its revenue has seen a YoY uptick for 8 successive quarters.
Nuvama Institutional Equities notes Suzlon’s duopolistic position in EPC, WTG (Wind Turbine generator) businesses, underpinning the company’s ability to sustain a 30%+ market share.
The company’s highest ever domestic order book of 6.2 GW and strong pipeline provides a clear revenue outlook.
Meanwhile there is a government thrust towards renewable energy, which puts the company in a sweet spot to land the government orders.
Anand Rathi sees Suzlon as a key beneficiary from India’s accelerating wind-energy on the back of strong EPC integration and clear policy support. “Execution has gained pace with 565MW delivered in Q2 FY26 and >1,865MW under execution. Management reiterates 60% YoY growth guidance for FY26. 7GW land under development, greater site control and disciplined WC management reduce execution risks and strengthen margin visibility, with EBITDA margin is likely to remain at 17-19%,” this brokerage said, reiterating a buy view on the counter.
Institutional behaviour
The total Foreign institutional investors’ (FIIs) holding has come down for the past two quarters. From 23.04% at the end of the March quarter, it was down by 33 bps to 22.71% at the end of the September 30 ended quarter.
Meanwhile mutual funds also slashed their holdings by 33 bps to 4.91% in the September quarter versus 5.24% in the April-June quarter. They had raised stakes from 4.17% in the March quarter.
What should investors do?
Technical view
Expert Nilesh Jain, Head Vice President, Equity Research Technical and Derivatives at Centrum Broking sees no encouraging signs for the investors on the technical charts to make a move in the stock.
Suzlon is moving sideways suggesting that there is no clear trend as of now, Jain said while recommending investors to avoid any trade with a short term view. But those with a long term view can add the stock in their portfolios, he opined.
He placed a strong support at Rs 55 while resistance at Rs 61.5.
Fundamental view
Anand Rathi has maintained a ‘Buy’ rating on the stock with a higher 12-month target price of Rs 82, valuing it at 40X September 2027 EPS.
Nuvama stuck to its ‘Hold’ view as it expects the wind industry to plateau at 8–10 GW over next 2–3 years amid rising competition from solar and Battery Energy Storage Business (BESS) projects. The target price is marginally lowered to Rs 66 from Rs 67, earlier.
(Data Inputs by Ritesh Presswala)
(Disclaimer: The recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of The Economic Times.)