Foreign institutional investors (FIIs) quietly increased their exposure to Suzlon Energy in the March quarter, even as they pulled out more than Rs 1 lakh crore from Indian equities during the same period. FIIs raised their stake in the renewable energy company by about 1.68 crore shares sequentially. Their holding stood at 3,07,46,15,640 shares, or 22.42%, at the end of the March quarter, compared with 3,06,32,23,175 shares, or 22.34%, in the December quarter.

The incremental buying comes at a time when Suzlon’s stock has corrected around 12% so far this year, following a sharp rally over the past two years that turned it into a multibagger after its turnaround phase.

The FII move stands out against the broader trend of foreign outflows, suggesting selective accumulation in companies where growth visibility remains intact despite near-term market volatility.

Operationally, Suzlon has delivered decent numbers in the recent past. The company reported a 15% year-on-year rise in consolidated profit to Rs 445 crore in the December quarter, while revenue jumped 42% to Rs 4,228 crore, reflecting robust execution and order conversion.

Street expectations remain strong heading into the March quarter. JM Financial estimates Suzlon could report a 51% year-on-year jump in revenue to Rs 5,708 crore, with EBITDA seen rising 54% to Rs 1,068 crore and net profit expected to grow 53% to Rs 888.8 crore.

Brokerage views also remain constructive on the longer-term outlook. Systematix highlights Suzlon’s leadership in India’s wind energy market with around 35% share in installations and a strong order book of 6.5 GW, which provides visibility for sustained growth. The company’s integrated model spanning manufacturing, EPC and operations and maintenance is seen supporting recurring revenue streams and margin expansion.

Suzlon’s improving balance sheet is another key positive. After years of high leverage, the company has strengthened its financial profile through deleveraging and better working capital management, enabling it to bid for larger renewable energy projects.With India accelerating its renewable energy push, particularly in wind capacity addition, Suzlon remains well placed to benefit from sector tailwinds. The recent FII buying, despite broader market selling, suggests institutional investors may be positioning for that next phase of growth.

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