Suzlon Energy Up 5%, Hits 9-Year High On Strong Q2 Update; Know What Analysts Say – News18

Shares of Suzlon Energy hit 9-12 months excessive of Rs 34.44, up 5 per cent on the BSE in Friday’s intraday commerce. This comes after its revenue for the September quarter grew 78.11 per cent 12 months-on-12 months (YoY) to Rs 102.29 crore in contrast with Rs 57.43 crore in the identical 12 months-in the past interval.

Revenue from operations slipped 0.92 per cent to Rs 1,417.21 crore in Q2 FY24 from Rs 1,430.38 crore within the corresponding interval final 12 months.

JM Financial stated Suzlon Energy’s income was 3 per cent decrease than its estimates. Revenue progress was led by dispatches of 132MW of Wind Turbine Generator (WTG) and steady O&M income, it stated. Ebitda for the quarter was 4 per cent increased than JM Financial’s estimates. Adjusted revenue was facilitated by higher margins and a discount in curiosity value, it stated.

JM Financial famous that Suzlon Energy has an order ebook of 1,613MW, out of which 62 per cent was for 3x MW generators, the availability of which might begin within the March quarter. Additionally, Suzlon Energy has received 50MW orders subsequently. Suzlon Energy is specializing in excessive worth high quality orders (higher margins) with a powerful counterparty, the home brokerage stated whereas including that the trade has a pipeline of 13GW renewables (together with hybrid) initiatives, which incorporates 11GW of the wind vitality element.

JM Financial has retained its ‘Buy’ suggestion on Suzlon Energy Ltd, with a revised goal value of Rs 37 on the inventory from Rs 30 earlier.

“We expect Suzlon Energy to deliver revenue and Ebitda CAGR of 38 per cent and 43 per cent, respectively, over FY23-26. We have revised our estimates for FY25E/26E upwards driven by healthy order inflow, better execution visibility and an improving product portfolio. We maintain our BUY rating on the stock with a revised target of Rs 37 per share,” he stated.

The Suzlon Energy administration has guided for a doubling of dispatches in H2FY24 in contrast with H1FY24. JM Financial sees dispatches at 800 MW for FY24. Suzlon stated it expects annual addition of 4-5GW in FY24E and 6-7GW in FY25E.