Shares of Suzlon Energy, a prominent player in the renewable energy sector, captured significant attention on April 23 as the company secured a substantial order of 378 MW from NTPC Green Energy. This latest development not only reinforces Suzlon’s collaboration with NTPC but also emphasizes its commitment to sustainable growth and market leadership.
Major Contract Win for Suzlon Energy
Suzlon announced in an exchange filing that this new order elevates its partnership with NTPC Green Energy Ltd. (NGEL) to an impressive 1,544 MW. The latest order involves the supply of 120 S144 Wind Turbine Generators (WTGs), featuring Hybrid Lattice Towers (HLT), each boasting a capacity of 3.15 MW. The firm will also handle the foundation, erection, and commissioning of the project, along with maintenance services.
- Key Details of the Order:
- Total Capacity: 378 MW
- Number of WTGs: 120
- Rated Capacity per WTG: 3.15 MW
- Additional Responsibilities: Foundation, erection, commissioning, and maintenance
This marks Suzlon’s second significant order in under a week, following a 100.8 MW contract from Sunsure Energy just days prior.
Stock Performance and Market Trends
Despite the positive contract news, Suzlon Energy’s share price faced challenges in the market. On April 23, shares opened slightly higher at ₹59.61 but later experienced profit-taking, dipping to a low of ₹58.12—a nearly 2% decline from the previous close of ₹59.29. By 10:28 AM, the stock was trading at ₹58.65, down 1.08%.
- Recent Performance:
- Two-Week Gain: 15%
- One-Year Growth: 41%
- Five-Year Increase: 2121%
Insights on Future Performance
Anshul Jain, Head of Research at Lakshmishree Investment and Securities, shared insights into the stock’s potential trajectory. He noted that Suzlon has formed a triple bottom near a crucial support level of 50.6, breaking its previous lower high-lower low structure by surpassing the 59.5 swing high. Jain highlighted that the recent bullish breakout, supported by trading volumes over twice the 50-day average, indicates institutional interest.
- Target Levels:
- Immediate Resistance: ₹65.6
- Support Levels: ₹57 and ₹55.50
In addition, Milan Vaishnav, founder of Gemstone Equity Research & Advisory Services, anticipates strong momentum if the stock surpasses the ₹64 mark. He explained that the stock has been consolidating within a ₹54-64 range, and a decisive breakout above ₹64 would suggest a shift towards upward momentum.
Conclusion
With a strong pipeline of projects and strategic partnerships, Suzlon Energy is poised for growth in the renewable energy sector. Investors should keep an eye on the stock’s performance and market trends as it navigates through its current trading range. For more detailed insights on investment opportunities, visit Gemstone Equity Research and Lakshmishree Investment and Securities.
