Suzlon Energy shares gained 2.10% to ₹49.02 on Monday morning, marking a notable recovery from the previous session's decline. According to Moneycontrol, the positive movement places the stock among the notable movers on the Nifty Midcap 150 index, reflecting renewed investor interest in the renewable energy sector. The latest recovery comes after the stock had plunged 9.65% to $48.02 from a previous close of $53.15, losing $5.13 in a single session as investors focused on margin pressures over revenue growth. The stock now trades closer to the lower end of its 52-week range of $38.19 to $66.81, standing about 21.9% above the low and 28.1% below the high.
ICICI Securities has joined Motilal Oswal in issuing bullish recommendations on Suzlon Energy, both maintaining buy ratings with target prices of ₹65. According to ICICI Securities research report dated July 29, 2026, the brokerage values the business at 32x FY28E EPS, while Motilal Oswal applies a target P/E multiple of 30x to FY28E EPS, representing a slight premium to the company's historical average two-year forward P/E of 27x. However, JM Financial has trimmed its target to ₹62 from ₹64, while Centrum has cut its target to ₹74 from ₹75, suggesting mixed sentiment among analysts despite the positive ratings.
Suzlon Energy reported mixed results in Q1FY27, with revenue growing 22% YoY to ₹38 billion, driven by higher realisation of ₹63 million in the WTG segment. However, the company faced margin pressures as EBITDA margin contracted 360bps YoY to 15.5%, with PAT and EBITDA falling 6% and 0.6% YoY respectively. The margin compression was attributed to expenses related to Suzlon 2.0 and geopolitical and supply chain issues in the WTG segment. As per JM Financial, the performance indicated the classic leadership dilemma of growth versus profitability, with the company prioritizing expansion over immediate profitability. Management expects EBITDA margins to stay around 17%-18%, with a tolerance of about 1 to 2 percentage points.
Despite profitability challenges, Suzlon Energy demonstrated robust operational performance with highest-ever Q1 deliveries at 506 MW, up 14% YoY and commissioning of 269 MW, showing a 2.3 times scale-up. The company recorded new order additions of around 1 GW during the quarter, maintaining a healthy order inflow of approximately 1GW in YTD-FY27. The EPC order share in the order book increased to 32%, rising 10% from a year ago period, while the order book swelled to 6.1GW. Management guided for a stronger H2 performance with H1/H2 split of 35-40%/60-65%, expecting EBITDA margin of 17-18% and capex of ₹700 crore. The company also highlighted 1,257 MW of erected turbines awaiting commissioning and expects recovery of 10%-20% of deferred deliveries in coming quarters.
On an annual basis, Suzlon Energy's consolidated revenue witnessed a substantial increase to ₹16,731.84 crore for the year-ending March 2026, up from ₹10,889.74 crore in March 2025. Net profit also surged to ₹3,163.39 crore in March 2026 from ₹2,071.63 crore in March 2025. The company's EPS improved significantly from 1.52 in 2025 to 2.31 in 2026, and its Return on Equity (ROE) stood at 33.42% in March 2026. Looking ahead, Suzlon has outlined several growth drivers including first deliveries of the S 175 5 MW turbine starting near the end of FY 2027 and continuing through FY 2028, and development of the S 163 6.3 MW turbine for international markets with first shipments expected in 18-24 months. The company maintains a target of 3.1 GW of battery energy storage systems by FY 2031 and expects to finalise battery energy storage system (BESS) partnerships in the coming months.
