Suzlon Energy Ltd. has seen its stock price rally by over 45% in the last three months, reaching Rs 55.49 by late May 2026, up from a 52-week low of Rs 38.17 in early March 2026. This significant upward movement comes as brokerage firms maintain a positive outlook on the wind energy solutions provider, forecasting potential gains of up to 40%.
The optimism follows Suzlon's mixed financial results for the quarter ended March 31, 2026. The company reported a 6% year-on-year (YoY) decline in net profit to Rs 1,114 crore. However, revenue saw a robust 45% YoY increase, reaching Rs 5,494 crore. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 67% YoY to Rs 965 crore, with margins expanding to 17.6%.
Analyst Projections and Growth Drivers
Brokerage firms highlight several factors contributing to their positive sentiment. Centrum Broking, for instance, noted Suzlon's strong order inflows, improving return ratios, and enhanced earnings visibility. They expect revenue, EBITDA, and Profit After Tax (PAT) to achieve a CAGR of 31.2%, 33.4%, and 6.8% respectively, over FY26-FY28E. Centrum maintains a 'buy' rating with a revised target price of Rs 75 per share.
Systematix Institutional Equities pointed to Suzlon's Q4 FY26 revenue surpassing estimates due to better per-megawatt realizations. The company's current order book stands at 5,892MW. Suzlon also ended FY26 with a solid net cash position of Rs 2,384 crore and re-entered European markets through its Blue Sky platform launch in Spain, offering S175 and S163 turbines. Systematix also recommends a 'buy' with a revised target price of Rs 71 per share.
Strategic Expansion and Execution Focus
ICICI Securities highlighted Suzlon's strong year, with wind turbine deliveries of 2.5GW—its highest ever in India. The order book (OB) reached 5.7GW as of March 2026, equivalent to 2.3 times its FY26 deliveries. The firm is accelerating its Engineering, Procurement, and Construction (EPC) transition, aiming for a 50% EPC share by FY28 to improve execution control and margin quality. ICICI Securities holds a 'buy' rating with a target price of Rs 65.
The revival of Andhra Pradesh development rights, covering 2.1GW, is expected to further aid the execution pipeline. With 971MW of wind turbines already erected but awaiting commissioning, FY27 could see a meaningful improvement in commissioning rates.
JM Financial noted that while execution remains a significant challenge, working capital days have improved to 124 days, better than expectations. Based on the 5.9GW order book, they estimate FY27/FY28 deliveries at 3.1GW/3.3GW, maintaining a 'buy' rating and a target price of Rs 65.
Motilal Oswal also rated Suzlon a 'buy' with a target price of Rs 65, emphasizing that the pace of fresh order inflows, project deliveries, and installations across FY27/FY28 will be critical for sustaining current growth momentum.
As Suzlon continues to benefit from accelerating wind capacity additions in India and scaling service revenues, analysts anticipate sustained profitability improvement and cash flow generation in the coming years.