Suzlon, Waaree Energies, NTPC Green, ACME Solar shares: Targets post Q2 results

Centrum Broking has retained its 'Buy' ratings on four renewable energy (RE) stocks - Suzlon Energy Ltd, Waaree Energies Ltd, ACME Solar Holdings Ltd and NTPC Green Energy Ltd - even as their September quarter results were mixed. Transmission constraints affected capacity additions, while power demand continued to grow strongly. Centrum said Q2 was a seasonally weak quarter for solar power generation due to lower capacity utilisation.

Among the four stocks, ACME Solar is Centrum's preferred pick, as it expects the company to maintain strong financial performance, led by proactive battery energy storage system (BESS) and firm and dispatchable renewable energy (FDRE)/hybrid capacity additions.

"Overall, the sector outlook remains constructive, led by strong renewable bidding pipeline, rising electricity demand, domestic manufacturing expansion and growing adoption of battery storage; with execution, grid availability, transmission infrastructure and project level returns remaining key monitorables," Centrum said. 

Suzlon Energy share price target: Rs 68

Centrum said Suzlon Energy Ltd reported a mixed Q2FY27, with revenue of Rs 4,869.05 crore, up 27.3 per cent QoQ and 26 per cent YoY, led by wind turbine generator (WTG) revenue (up 32.7 per cent QoQ and 30 per cent YoY), which accounted for 86.5 per cent of revenue, and Foundry & Forging (up 32.8 per cent QoQ and 38.4 per cent YoY). Operations and maintenance (O&M) revenue grew 1.2 per cent QoQ and 11.2 per cent YoY, Centrum noted.

Suzlon's Ebitda margin fell 81 basis points QoQ to 15 per cent, owing to an increasing engineering, procurement and construction (EPC) mix. Deliveries rose to 710 MW from 506 MW in Q1FY27 and 565 MW in Q2FY26. Commissioning increased to 454 MW, up 69 per cent QoQ and 196 per cent YoY, while the 6 GW order book remained flat QoQ. Average selling price (ASP) improved to Rs 5.93 crore per MW from Rs 5.74 crore per MW in Q2FY26.

Centrum said Suzlon is expanding into higher-capacity S175/S163 turbines, repowering, BESS and solar-hybrid solutions, with an estimated 25 GW Indian repowering opportunity and a FY31 ambition of 10 GW in RE sales. Management expects H2 deliveries to be 1.5-1.65 times H1 levels, it noted.

Waaree Energies share price target: Rs 3,457 

Centrum said Waaree Energies Ltd reported a weak Q2FY27, with revenue of Rs 7,518 crore, down 5.2 per cent QoQ but up 23.9 per cent YoY. Ebitda margin declined to 17.8 per cent from 18.2 per cent in Q1FY27 and 23.2 per cent in Q2FY26, primarily due to the absence of the US duty refund benefit that had supported Q1FY27 margins.

Module production stood at 3 GW, up 15.4 per cent YoY, while the order book declined to Rs 59,200 crore from Rs 61,500 crore in Q1FY27 and Rs 47,000 crore in Q2FY26. Installed manufacturing capacity stands at 25.8 GW for solar photovoltaic (PV) modules and 5.4 GW for solar cells, with an additional 10 GW of cell capacity expected to ramp up in FY27, driving greater cell integration.

Battery energy storage system (BESS) capacity and transmission and distribution (T&D) expansion further diversify growth. Higher domestic content requirement (DCR) production, the US ramp-up and export recovery are expected to support margins. The company reaffirmed its FY27 Ebitda guidance of Rs 7,000-7,700 crore.

ACME Solar share price target: Rs 506

ACME Solar Holdings Ltd reported a robust Q2FY27, with revenue of Rs 887 crore, up 3.4 per cent QoQ and 89.6 per cent YoY, driven by BESS monetisation and renewable capacity additions.

Power generation moderated to 184 crore units (MU) in Q2FY27, up 19.6 per cent YoY, from 2,020 MU in Q1FY27. Capacity utilisation factor (CUF) stood at 27.8 per cent against 30.9 per cent QoQ and 24.1 per cent YoY, while the average tariff remained stable at Rs 3.4 per kWh. Ebitda margin moderated to 84.9 per cent, down 68 basis points QoQ, due to power purchase costs for BESS charging.

Operational capacity stood at 2,990 MW, flat QoQ. The total portfolio stood at 8,370 MW, including 20 GWh of BESS installations, with 7,300 MW having signed power purchase agreements (PPAs). BESS is emerging as a key growth driver, with cumulative commissioned capacity reaching 5.2 GWh.

ACME targets around 1.5 GW of renewable capacity commissioning and more than 12 GWh of BESS capacity in FY27. It has upgraded its 2030 ambition to 15 GW of renewable capacity and 50 GWh of BESS.

NTPC Green Energy share price target: Rs 105

NTPC Green Energy Ltd delivered a muted Q2FY27 performance, with revenue rising 53.2 per cent YoY but falling 15.2 per cent QoQ to Rs 938 crore. Ebitda margin declined 89 basis points QoQ to 88.4 per cent.

Centrum said NTPC Green added 388 MW of renewable capacity during the quarter, taking its operational capacity to 11.1 GW. Generation rose to 10,881 MU in H1FY27 from 6,760 MU in H1FY26.

Its portfolio comprises 10,156 MW of operating solar capacity, 903 MW of operating wind capacity, 16,627 MW of contracted and awarded projects, and 3,231 MW of pipeline projects. Growth visibility remains robust, driven by continued capacity additions, hybrid/round-the-clock (RTC) projects, BESS and strategic partnerships. Timely commissioning, CUF and leverage remain key monitorables, Centrum said.