Buy Suzlon Energy; target of Rs 82: Anand Rathi

Anand Rathi's research report on Suzlon Energy

Suzlon is well-placed to capitalise on India’s growing wind cycle, supported by substantial scale leverage at its Puducherry plant (~30% utilisation with the ability to ramp from 3 to 8 nacelles/day) with minimal capex, while the addition of three AI-enabled blade facilities would enhance logistics and execution. Concerns around central tender delays are mitigated by ~15GW pipeline visibility and a resilient order mix with ~51% coming from C&I and retail customers. Structurally, India’s push toward RTC/FDRE-based renewable procurement is firmly re-establishing wind as a critical component of hybrid portfolios leading to improved project economics vs. solar+BESS alone.

Outlook

As a fully integrated domestic OEM with a leading service footprint, the company stands out as the key beneficiary of this transition, reinforcing a positive long-term outlook for growth. We retain BUY rating on the stock with a 12-mth TP of Rs 82.

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