Suzlon Energy shares down; renewable energy solutions provider gives update on tax penalty

Suzlon Energy Ltd shares were trading lower in Wednesday's trade, even as the renewable energy solutions provider said the Madras High Court vide its order dated July 21, quashed an order of the Joint Commissioner of CGST and Central Excise. The order had alleged excess input credit/ineligible input credit in GST returns filed by the company for FY2020-21, FY2021-22 and FY2022-23.  

The stock fell 1.45 per cent to hit a low of Rs 65.57 on BSE.

Suzlon Energy had filed a writ petition was filed against the said order of the Joint Commissioner of CGST and Central Excise with the Honourable High Court of Judicature at Madras. The penalty imposed stood at Rs 1,18,39,093 and no material impact was expected on the financial, operation or other activities of the company due to teh order.   

"This is to inform that a Writ Petition was filed by the Company against the said order of the Joint Commissioner of CGST and Central Excise with the Honourable High Court of Judicature at Madras and the Honourable High Court vide its order dated 21st July 2025 (received by us on 22nd July 2025) has quashed the said order of the Joint Commissioner of CGST and Central Excise. This is for your information as also for the information of your members and the public at large," Suzlon Energy said.

As far as the Suzlon Energy stock is concerned, it witnessed several 'Buy' ratings this month. 

MOFSL this month retained its 'Buy' with a target price of Rs 82, citing expected adoption of the RLMM local content draft notification by 2QFY26, healthy order prospects, including 1.5GW NTPC orders, where Suzlon Energy is a strong contender; 
estimated 4GW of new orders in FY26 and gradual phase-out of the ISTS waiver over the next four years, which should help to reduce congestion in certain states, supporting smoother project execution. Besides, this brokerage expected an increase in EPC share in the order book to 50 per cent, thus improving execution visibility.

After navigating a difficult decade, Suzlon Energy has staged a robust recovery, said Anand Rathi. 

"Because of its huge order backlog and a robust pipeline supported by national RE targets, we maintain our positive outlook on the stock. We expect deliveries of 2.5GW in FY26 and 3.2GW in FY27. We value the stock at 40x PE on FY27e, given strong tailwinds, and re-initiate coverage with a Buy recommendation and a target price of Rs 81," Anand Rathi said.