Market leader with scale: The company commands a 35% share of India’s wind installations, supported by a pan-India footprint, long-standing relationships with IPPs and utilities, and a cumulative domestic installed base of nearly 17 GW. Its scale provides a clear advantage through wider tender participation, better cost absorption, and operating leverage. A robust 6.5 GW order book further reinforces SUEL’s strong position in the OEM market and is expected to drive a 33% CAGR in the wind turbine generator (WTG) segment over FY25–FY28E.
Strong financials: Suzlon’s balance sheet has strengthened materially from the highly leveraged phase that followed its global expansion in the late 2000s. The company has achieved a stable financial footing through sustained deleveraging, capital restructuring, and improved cash flow generation. This improvement in its financial profile, along with better working capital management, has enhanced its ability to bid for larger renewable energy tenders and improved earnings visibility.
Large footprint: Its integrated presence across manufacturing, EPC, and O&M enables it to monetise opportunities across the entire project lifecycle. Strong order inflows and efficient EPC execution drive turbine volumes, while the expanding O&M portfolio of nearly 17 GW domestically provides recurring, high-visibility cash flows and long-term margin stability. This is reflected in the steady EBITDA margin expansion from 12.6% in FY22 to 17.1% in FY25, which is expected to further improve to 21.2% by FY28E.
Robust guidance: The company has demonstrated strong execution capabilities and timely project deliveries, translating into robust growth of 67% in revenue, 84% in EBITDA, and 190% in PAT in FY25. Management has reiterated a confident outlook and remains on track to deliver at least 60% growth across all key financial and operational metrics in FY26. A strong order book, higher deliveries, and supportive industry tailwinds are expected to sustain growth momentum going forward.
Systematix says the company’s growth trajectory reflects its leadership in domestic wind installations, an improving execution track record, and rising relevance in hybrid and firm, dispatchable tenders. It values Suzlon at 30x 1HFY28E EPS and believes it is well positioned to deliver a 30%, 39%, 18% revenue, EBITDA, PAT CAGR, respectively, over FY25–FY28.
This is the second bullish call on the counter this week. On Tuesday, domestic brokerage firm Motilal Oswal hiked the target to Rs 74 per share and said the 15% correction in FY26 has made the risk–reward equation attractive.Also read: Change but no change? What Deepinder Goyal’s resignation means for Eternal shareholders
Motilal Oswal estimates that data centres, C&I consumers and PSUs could together drive incremental wind demand of 20-24GW by 2030 (comprising 20% from data centres, 45% from C&I consumers and 35% from PSUs), over and above India’s targeted 100GW wind capacity by FY30.
Suzlon shares gained as much as 2.6% to their day’s high of Rs 46.69.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)