Suzlon Energy Shares Extend Rally, Gain Over 3% in Early Trade

Suzlon Energy shares witnessed strong buying interest during the Opening Bell on March 10, continuing their six-day winning streak. The stock opened higher at ₹55.11 per share on the National Stock Exchange (NSE) and soon climbed to an intraday high of ₹56.69, marking a 3% rise from its previous close of ₹54.92 per share on Friday.

This sustained momentum has pushed Suzlon shares up by over 14% in the last six trading sessions, making it one of the standout performers in the renewable energy sector this month.

Technical Outlook: Key Support and Resistance Levels

Stock market experts suggest that Suzlon Energy has established a strong support base at ₹52. However, the stock is currently testing a resistance zone between ₹58 and ₹60. If it manages to break past this level, analysts predict further upside potential, with targets of ₹62 and ₹70 per share.

Conversely, if Suzlon shares fall below ₹52, the stock may face selling pressure, potentially shifting momentum in favor of the bears.

Brokerage Views: Investec’s Bullish Call

Suzlon’s recent uptrend was further fueled by domestic brokerage firm Investec, which initiated coverage on the stock with a target price of ₹70. According to Investec analysts, Suzlon Energy is well-positioned to benefit from the revival of the wind energy sector.

The brokerage highlighted several key factors contributing to Suzlon’s improving financial health:

• Net-cash entity: The company has successfully reduced its debt burden, transitioning into a financially stronger position.

• Robust return ratios: Suzlon’s operational efficiency and profitability have significantly improved.

• Expanding order book: With a strong pipeline of 5.5 GW, the company is well-placed to capitalize on the growing demand for renewable energy.

• Optimized supply chain: A well-structured supply network ensures efficiency and scalability for future growth.

Renewable Energy Growth Fuels Optimism

The wind energy sector is witnessing renewed investor interest, and Suzlon Energy is emerging as a key player in this revival. With government initiatives promoting clean energy, a strong order book, and improving financials, Suzlon’s upward trajectory is drawing attention from both retail and institutional investors.

While short-term volatility may persist, the stock’s long-term growth potential remains promising, provided it continues to execute its business strategy effectively. Investors will be closely watching whether Suzlon can break through its resistance levels and sustain its momentum in the coming sessions.