Suzlon Energy Price Target Raised To Rs 80 Despite 4% Dip — What Should Investors Do? | Markets News

Last Updated:August 13, 2025, 15:35 IST

Suzlon Energy’s share price dropped over 4% in Wednesday’s trade, but most brokerages maintained a positive outlook; Should you invest?

Suzlon Energy Share Price

Suzlon Energy’s share price dropped over 4% in Wednesday’s trade, but most brokerages maintained a positive outlook, lifting price targets to as high as Rs 80. Analysts cited record first-quarter deliveries, robust order inflows, and a strong domestic demand environment as reasons for their optimism.

Motilal Oswal, ICICI Securities, and JM Financial reiterated ‘Buy’ ratings, pointing to the company’s execution momentum, 60% annual growth guidance, and competitive advantage in the home market. Nuvama Institutional Equities, however, retained a ‘Hold’ rating, citing margin pressures and leadership changes.

Record Quarter Drives Positive Sentiment

Motilal Oswal reaffirmed its ₹80 target, implying a 27% upside from the last closing price of Rs 63, after Suzlon reported Q1FY26 results broadly in line with estimates. The brokerage highlighted “strong execution at 444MW,” up 62% year-on-year, and a healthy 19% EBITDA margin.

ICICI Securities maintained a Rs 76 target, noting Suzlon’s “highest-ever Q1 execution” and a growing 5.7GW order book—around 3.7 times FY25 execution levels. JM Financial, with a ₹78 target, credited operating leverage for improved margins in the wind turbine generator (WTG) segment, though it flagged a gap between deliveries and installations.

Divergent Views on Risks

Nuvama Institutional Equities trimmed its target to Rs 67 despite acknowledging Q1 execution beat estimates. The brokerage pointed to a weaker EPC mix affecting realisations and flagged the August 31 resignation of CFO Himanshu Mody—credited with playing a key role in Suzlon’s turnaround—as a near-term concern.

Strong Q1 Performance

For the June quarter, Suzlon posted a consolidated net profit of Rs 324 crore, up 7% year-on-year, on revenue of Rs 3,117 crore—a 55% jump driven by higher wind turbine generator volumes. EBITDA rose 62% to Rs 599 crore, with margins improving to 19.2%. The company’s order book grew for the 10th consecutive quarter, bolstered by 1GW in fresh orders.

Outlook Anchored in Domestic Growth

Brokerages expect Suzlon to benefit from India’s target of 122GW wind capacity by FY32, with the commercial and industrial (C&I) segment alone requiring 78GW by FY30. Management has maintained its FY26 guidance of 60% growth across deliveries, revenue, and EBITDA.

While land acquisition and grid connectivity remain execution challenges, most analysts see Suzlon’s expanding order book, regulatory support, and cost efficiencies sustaining earnings momentum. Nuvama, however, sees limited upside without a stronger EPC mix.

Aparna Deb

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More

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