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SUZLON · Renewables

Suzlon Energy

₹57.01
-0.9 (-1.55%)
Prev close
₹57.91
52w high
₹68.30
52w low
₹38.19
Market cap
₹78348.52 Cr

1Y price

Weekly close

AI beginner analysis

Summary

Suzlon Energy is a major Indian player in the wind energy sector, specializing in the manufacturing and maintenance of wind turbine generators. While the company has historically faced financial struggles, it is currently undergoing a turnaround fueled by a strong order book and a focus on India's renewable energy transition.

Bull case

The company is benefiting from high revenue growth and significant new orders from major players like Tata Power, indicating strong market demand. Its shift toward a "2.0 roadmap" and positive sentiment from Foreign Institutional Investors (FIIs) suggest improving confidence in its operational recovery.

Bear case

Suzlon carries a very high Debt-to-Equity ratio of 5.87, which presents a significant financial risk if cash flows do not meet expectations. Additionally, recent earnings growth has been negative, and the stock can be highly volatile despite its relatively low beta.

Suitability for beginners

This stock is generally considered high-risk for beginners due to its history of financial instability and high debt levels. New investors should be cautious and ensure such a speculative asset forms only a very small part of a well-diversified portfolio.

Long-term outlook

The long-term outlook depends entirely on the company's ability to reduce debt and execute its massive order backlog profitably. If the Indian renewable sector continues to expand, Suzlon could benefit, provided it maintains its manufacturing leadership and improves its Return on Equity.

F&O notes

Futures and Options in high-debt turnaround stocks like Suzlon are extremely risky for beginners due to high volatility and potential for sudden price swings. F&O should only be used by experienced traders for hedging purposes, as the risk of total capital loss is significantly higher than in simple equity investing.

Key metrics

P/E
24.68
P/B
8.29
ROE
40.64%
Debt/Equity
5.87
Beta
0.68
Div yield
Earnings ↑
-5.60%
Revenue ↑
44.90%

News sentiment

positive
0.43
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Latest news

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