Posted on April 1, 2025, by Niftynews
Suzlon Energy shares are drawing significant attention from investors following the company’s recent announcement about order cancellations and truncations. Despite these challenges, Suzlon’s order book has slightly increased, keeping the stock in focus. The latest update shows Suzlon Energy shares holding firm at 5,622 MW in its order book, compared to 5,523 MW reported earlier in January 2025.
Suzlon Energy Shares and Recent Order Cancellations
Suzlon Energy shares recently revealed that it is experiencing some fluctuations due to a few changes in its order book. The company disclosed the following:
- A 99 MW order from Vibrant Energy was canceled.
- A 201.6 MW order from O2 Power was truncated to 100.8 MW.
- A customer also decided to cancel a 100.8 MW order for 3 MW series turbines.
Although these cancellations were recorded between May and December 2023, Suzlon Energy clarified that they won’t have any material impact on the company’s overall order book position or future performance.
Impact on Suzlon Energy Share Price and Order Book
Despite these cancellations, Suzlon Energy share price remains in a strong position. The company continues to win new orders, ensuring that the order book stays solid. Suzlon Energy has confirmed that the cancellations will not materially affect its overall performance or the value of Suzlon Energy shares moving forward.
Analysts are confident that Suzlon share price today will continue to perform well, with Geojit Financial Services predicting strong order inflows for the company in the near future. They expect further growth in the company’s Commercial & Industrial (C&I) portfolio, especially in the wind energy sector.
Challenges and Forecasts for Suzlon Share Price
While Suzlon share price has remained resilient, the company faces execution challenges such as transmission delays and land-related issues, which have affected the pace of installations. In fact, Suzlon Energy’s installation-to-delivery ratio for the 9MFY25 period was reported at 0.25X, indicating that installations have not kept up with deliveries. As a result, Geojit Financial Services has revised revenue estimates for Suzlon Energy shares, lowering them by 10% for FY26 and 21% for FY27.
Analysts’ Take on Suzlon Energy Share Price
Despite the challenges, analysts remain positive about Suzlon Energy shares and its future growth. Motilal Oswal Financial Services (MOFSL) has set a target price of Rs 70 for Suzlon Energy shares, which represents a slight premium to its historical 2-year forward PE of 27x. The company’s growth trajectory and strong order book continue to support this positive outlook.
Geojit Financial Services also remains optimistic, forecasting 30% Compound Annual Growth Rate (CAGR) for Suzlon’s Profit After Tax (PAT) between FY25 and FY27. The strong presence in the wind energy sector and increasing demand for green energy solutions are key drivers of this continued positive outlook.
Conclusion: What’s Next for Suzlon Energy Share Price?
Although Suzlon Energy shares have faced some setbacks due to order cancellations, the company remains a prominent player in the renewable energy market. The slight increase in the order book, along with new orders won by the company, ensures Suzlon Energy shares are poised for future growth. Investors should keep an eye on Suzlon Energy shares, as the company continues to secure new orders and expand its wind energy projects.
Despite the execution hurdles, Suzlon Energy shares continue to be a valuable investment for those looking to capitalize on India’s growing renewable energy sector. The company’s solid order book, strong financial backing, and growth prospects make Suzlon Energy shares a stock worth considering for long-term investment.
Key Takeaways:
- Suzlon Energy shares now stand at 5,622 MW in its order book, reflecting slight growth despite cancellations.
- 99 MW order from Vibrant Energy and 100.8 MW order from O2 Power were canceled or reduced, but these changes are not expected to affect Suzlon Energy shares significantly.
- Geojit Financial Services expects 30% CAGR for Suzlon’s PAT between FY25 and FY27, forecasting margin expansion in the coming years.
- MOFSL has set a target price of Rs 70 for Suzlon Energy shares, noting a positive outlook despite execution challenges.
