Suzlon Share Price: Since the beginning of the 2023-24 fiscal year, Suzlon Energy Limited has been attracting significant attention in the stock market. As of March 2023, the company’s shares were priced at 7.05 per share. But the stock’s journey has been meteoric since, and it has emerged as one of the multi-bagger stocks on Dalal Street that have showcased an impressive performance in FY24.
One primary reason for this surge, as highlighted by market experts, is the company’s recent announcement concerning its debt reduction plans. It seems the bulls or optimistic investors in the market have significantly increased their stake in Suzlon shares post this announcement. The bolstered order book and solid fundamentals of the company, aided by recently secured orders, further explain the growing interest in Suzlon Energy.
Elaborating on the stock’s surge, market pundits shared, “In the past five months, the share price of Suzlon Energy has skyrocketed. As of May 5, 2023, the price jumped from 8.65 to a staggering 29.25, yielding an approximate return of 238%. This significant surge can largely be attributed to the company’s strategic debt reduction initiatives. The company’s recent acquisition of a substantial order for a wind energy project, along with some brokerage firms recommending its purchase, indicates a promising future.”
Suzlon Share: Further insights revealed that Suzlon Energy Limited holds a commanding 33% market share in India’s domestic market, based on total installations. On a global scale, its operational wind energy capacity stands at an impressive 20 gigawatts, positioning it way ahead of its competitors. The existing order book of 1.5 gigawatts is promising for execution over the next two years. Moreover, in August 2023, the company secured a significant order for a 201.6-megawatt wind energy project from O2 Power’s Tech Green Power XI segment.
The bull’s spotlight on Suzlon shares on Dalal Street is backed by strong fundamentals. For instance, the company successfully reduced its debt by repaying a full-term loan using the proceeds from a 2,000 crore institutional placement. As a result of these sound financial decisions, CRISIL, a renowned rating agency, upgraded its rating positively to BBB+/A2.
Suzlon Energy’s strategic financial decisions, combined with its robust market position and promising order book, make it a watch-worthy stock in the current market scenario.
