Suzlon Energy shares rally 45% in 3 months; analysts see up to 40% more upside

Brokerage firms continue to remain positive on Suzlon Energy Ltd, following its quarterly results for the March 2026 quarter, despite some hits and misses in the earnings. They are positive on the company's execution plans for FY27, along with new fronts of growth for the company. Some brokerages have increased the targets and see up to 40 per cent upside in the counter.

Despite opening lower, shares of Suzlon Energy saw some buying interest on Tuesday, as the stock gained 3 per cent to Rs 55.49, commanding a total market capitalization close to Rs 77,000 crore. The stock has gained more than 45 per cent from its 52-week low at Rs 38.17 hit in early March 2026.

Suzlon Energy reported a 6 per cent fall in the net profit on a year-on-year (YoY) basis to Rs 1,114 crore, while revenue surged 45 per cent YoY to Rs 5,494 crore for the quarter ended on March 31, 2026. Ebitda grew 67 per cent YoY to Rs 965 crore, while margins expanded to 17.6 per cent for the reported period. It also reported its highest quarter and annual delivery volumes.

Suzlon reported mixed performance for Q4FY26. It continues to benefit from strong order inflows, improving return ratios, and enhanced earnings visibility as execution ramps up. Suzlon is well positioned to deliver sustained profitability improvement and cash flow generation as India’s wind capacity additions accelerate and service revenues scale alongside the installed base, said Centrum Broking.

"We expect revenue, Ebitda and PAT to clock 31.2 per cent , 33.4 per cent and 6.8 per cent  CAGR over FY26-FY28E. We have revised our FY27E/FY28E EPS by -0.1 per cent and 0.6 per cent  We maintain our 'buy' rating with a revised target price of Rs75 per share (Rs 74 earlier) at unchanged PE of 30 times in March 2028E," it added.

Suzlon’s Q4FY26 revenue was above estimate, due to better per MW realisations but Ebitda below estimates, due to higher expenses. Deliveries during the quarter were 830MW versus 617MW/573MW in 3QFY26/4QFY25. SUEL’s current order book stands at 5,892MW, including the recent 195MW order from Sunsure Energy, net of 4QFY26 deliveries, said Systematix Institutional Equities.

"Suzlon closed FY26 with a solid net cash position of Rs 2,384.⁠ It incurred Rs 577 crore capital expenditure in FY26 and expects to maintain a similar run rate over the next two years towards its strategic goals and expansion plans. It also re-entered into the European markets through its Blue Sky platform launch in Spain, offering S175 and S163 turbines with rated capacities of 5MW and 6.3MW, respectively," it added with a 'buy' and revised target price of Rs 71 per share.

Suzlon delivered a strong year with wind turbine deliveries of 2.5GW —its highest ever in India. Its order book (OB) stands at 5.7GW as of March 2026—2.3 times its FY26 deliveries. Notably, it is accelerating its EPC transition; the EPC contribution in OB grew to 28 per cent at H1FY26-end, said ICICI Securities, which has a 'buy' rating on the stock with a target price of Rs 65.

"It is targeting a 50 per cent EPC share by FY28, improving execution control and margin quality. The revival of Andhra Pradesh development rights covering 2.1GW could aid the execution pipeline, with 775MW awaiting FDRE tariff finalisation and 1,325MW planned to be monetised as EPC contracts. With wind turbines worth 971MW already erected but awaiting commissioning, FY27 could see a meaningful improvement in commissioning," it added.

Execution remains the most arduous challenge. Over the past eight quarters, out of 4,006MW delivered, only 1,080MW of equipment has been commissioned, said JM Financial. "Working capital days have improved to 124 days, better than our expectations. On the back of 5.9GW order book, we estimate FY27/FY28 deliveries at 3.1GW/3.3GW," it said with a 'buy' and a target price of Rs 65.

The pace of fresh order inflows, project deliveries, and installations across FY27/FY28, which will be critical for sustaining current growth momentum, WTG segment’s Ebitda margin remained flat QoQ at 13.7 per cent in 4QFY26, and With EPC business continuing to gain share in the overall order mix, working capital may see some pressure, said Motilal Oswal with a 'buy' tag and a target price of Rs 65.