Brokerage Firm predicts a further 30% potential increase in this wind turbine stock

Renewable energy solutions provider Suzlon Energy Limited (BOM: 532667 and NSE: SUZLON) shares have seen a lot of volatility in the last month and have fallen by more than 22%. However, we are now seeing positivity in the stock. Brokerage firms are also bullish and giving targets for this stock. Apart from this, CRISIL Ratings has upgraded Suzlon’s rating to ‘A-‘ with a positive outlook citing the company’s better financial position.

Suzlon Energy shares have risen more than 350% in the last 12 months. Currently, it is trading at Rs 38.55 on BSE. Its 52-week high is Rs 50.72 and its 52-week low is Rs 6.96.

Brokerage Firm Predicts a Further 30% Potential Increase in Stock

Anand Rathi Securities, a financial analysis company, suggests that Suzlon shares have the potential to reach their recent peak of ₹50 per share. Their analysis indicates that Suzlon shares are currently undervalued and could increase in value, prompting them to set a target price of ₹49.

Suzlon holds a 30% market share in India’s wind turbine market. The country’s current wind capacity is 45 GW which is expected to increase to 100 GW. According to the brokerage’s assessment, Suzlon is expected to play an important role in this expansion.

Anand Rathi Securities estimates a compound annual growth rate (CAGR) of 64% in Suzlon’s net profit from 2024 to 2026. This brokerage firm has also set a valuation multiple of 35 times the price-to-earnings (PE) estimate for fiscal 2026.

However, Anand Rathi’s analysis also highlights certain risks for Suzlon, including adverse government policies, a slower-than-expected uptake in Wind Turbine Generators, and intense competition.

Suzlon Energy Shares Performance & Return

Shares of Suzlon Energy were listed on BSE in Feb 2005, and since its listing, it has not delivered any returns on a long-term basis. But its shares have surged more than 580% in the last five years. Below you can see the detailed performance of the shares.

In the last twelve months, it has increased investors’ money more than 4 times. If you had invested ₹1 lakh in it twelve months ago, the value of those shares would have increased to ₹484,906 today.

Suzlon Energy Performance in 2024 YTD

Suzlon Energy Shares Surged 256 Percent in 2023

Investors who invested in it in 2023 earned good returns. The share price of Suzlon Energy in January 2023 was ₹10.72 and on the last trading day of the year, it closed at ₹38.18 with a gain of 256.16%.

Suzlon Energy Shares Last 10 Years Performance (Compounded)

The table below shows the company’s absolute returns and CAGR growth from the listing. You can also check that if someone has invested a lump sum of Rs 1 lakh then what is the value of those shares today…

• Suzlon Energy shares have increased more than 385% in the last 12 months.
• Shares of Suzlon Energy have increased investors’ money more than 8 times in the last three years.
• The value of shares of investors who had invested Rs 1 lakh in it four years ago has increased to ₹2,202,857 (₹22 lakh) today.
• The CAGR growth of the stock over the last 5 years is 46.82% and 14.23% over the last 10 years.

Suzlon Energy Shares Performance since Inception (Year-wise)