Suzlon Energy shares poised for 30% upside on strong orderbook, expansion plans: Bajaj Broking

Bajaj Broking has maintained a bullish outlook on Suzlon Energy Ltd, citing robust order inflows, strategic acquisitions and improving financial metrics that underline the company’s growth potential. The brokerage has issued a ‘Buy’ rating on the stock with a target price of Rs 70, implying an upside potential of about 29.75 per cent from Tuesday’s closing price of Rs 53.95.

The brokerage noted that India’s renewable energy push offers a major growth opportunity for domestic wind turbine manufacturers. India aims to achieve 500 GW of non-fossil fuel capacity by 2030, with wind energy forming a key pillar of this strategy. The country’s wind power capacity, which stood at 49.8 GW in 2024, is expected to rise to 127.9 GW by 2033, representing a compound annual growth rate (CAGR) of 11.04 per cent. Bajaj Broking said Suzlon, with its domestic manufacturing base and market leadership, is well-positioned to capture a meaningful share of this expansion.

Suzlon reported a record firm orderbook of 5.7 GW as of Q1 FY26 (June 30, 2025), underscoring strong revenue visibility. Recent key wins include a 100.8 MW order from Sunsure Energy in April 2025 and a landmark 838 MW order from Tata Power Renewable Energy in September 2025. This robust pipeline provides 2.5–3 years of assured revenue visibility, the brokerage said.

Bajaj Broking also highlighted the company’s acquisition of a 76 per cent stake in Renom Energy Services for Rs 660 crore, calling it a strategically important move. Renom’s 2.5 GW of assets under management and expertise in multi-brand O&M services give Suzlon access to the 32 GW non-Suzlon wind service market, creating cross-selling and operational synergies that could enhance profitability.

For FY26, Suzlon plans a capex of Rs 400–450 crore, including Rs 225–250 crore for R&D, aimed at developing advanced turbine designs and improving operating leverage through backward integration. Bajaj Broking said Suzlon’s transition to a net cash position and continued execution strength reinforce confidence in its long-term prospects, despite low promoter holding remaining a concern.