Suzlon Energy Share Price Update: Level of 87.60 important for tomorrow, bullish till Rs 133 or fall may come till Rs 42,
Suzlon Energy’s share price has shown remarkable activity, closing at ₹83.11, a notable increase of 1.73% from the previous day’s closing price of ₹81.95. This surge follows a series of positive developments for the company, including a significant order from NTPC Green Energy for 1,166 MW, which has boosted investor confidence and the stock’s momentum.
Main Points
In the past few months, Suzlon Energy has been a standout performer in the stock market. The company’s shares have gained an impressive 266% over the past year and a staggering 827% over the last two years. This remarkable growth has led to a market capitalization of approximately ₹1.14 lakh crore, placing it among the top players in the renewable energy sector in India.
The stock has also been trading above its moving averages across various time frames, indicating a strong bullish trend. Analysts have noted that the stock is currently experiencing a consolidation phase, forming a bullish flag pattern, which suggests that the upward momentum may continue in the near future.
- Major Contracts: The recent contract with NTPC Green Energy is a game changer for Suzlon. This order not only enhances the company’s revenue potential but also solidifies its position in the renewable energy market.
- Investor Sentiment: There has been a noticeable increase in interest from foreign institutional investors (FIIs) and mutual funds, which has further driven up the stock price. Retail investors, however, have been seen booking profits during the June quarter, indicating a mix of strategies among different investor groups.
- Technical Indicators: Market experts are optimistic about the stock’s future. Analysts suggest that if the stock breaks through the ₹80-82 resistance levels, it could potentially reach ₹100 in the short term. Technical indicators are also showing strong buy signals, which is encouraging for potential investors.
Suzlon Energy’s financial metrics paint a picture of a company on the rise. The stock has a Price-to-Earnings (P/E) ratio of 129.65 and an Earnings Per Share (EPS) of ₹0.63. The company has reported a return on equity (ROE) of 16.84%, significantly outperforming its five-year average of -5.95%.Despite these positive indicators, some analysts caution that the stock is trading at a high valuation compared to its book value, which stands at ₹2.88. This high valuation could pose risks if the company’s growth does not meet investor expectations.
Looking ahead to tomorrow, September 16, 2024, market analysts are closely watching the stock’s performance. Given the current momentum, it is likely that the stock will continue to attract buyers, especially if it maintains its position above the ₹80 mark.
Market sentiment remains bullish, with predictions suggesting that the stock could test the ₹100 level if the current trends persist. However, investors are advised to keep an eye on the support levels, particularly around ₹78, as a drop below this could signal a potential reversal.
Disclaimer: The information given in this article is from investment experts and brokerage companies, they do not represent Local Haryana. Before taking any investment related decision, you must consult a certified expert.
