Suzlon Energy Shares Extend Losing Streak for Fifth Session – Should Investors Sell on Rise?
Suzlon Energy Shares Continue Decline: Should Investors Sell on Rise?
Suzlon Energy Ltd’s shares closed lower for the fifth consecutive session on Tuesday amid broader market corrections. The stock touched the Rs 50 mark during the afternoon session, dropping 4.6% to Rs 50.32 on the BSE before recovering slightly to end 1.44% lower at Rs 51.99. This recent downtrend has left investors questioning whether to hold, sell, or buy the renewable energy stock.
Over the past six months, Suzlon Energy has fallen by 32.11% and is down 20.43% in 2025. However, the stock remains a multibagger, gaining 9.73% over the past year and a staggering 469% in two years. Despite the current decline, its market capitalization stands at Rs 70,953 crore.
Stock Performance and Market Trends
The trading session saw a turnover of Rs 45.49 crore, with 88.46 lakh shares exchanged on the BSE. Suzlon Energy’s stock is currently 39.57% below its 52-week high of Rs 86.04, recorded on September 12, 2024. The 52-week low was Rs 35.49 on March 14, 2024.
With a beta value of 1.2, the stock exhibits high volatility. It is trading below its 5-day, 10-day, 20-day, 30-day, 50-day, 100-day, 150-day, and 200-day moving averages, signaling continued weakness.
Expert Opinions: Bearish Trend in the Short Term
Jigar S Patel, Manager at Anand Rathi Securities, highlighted that Suzlon’s price action is below the Ichimoku Cloud, indicating a bearish trend. Strong resistance near the 200-day Exponential Moving Average (DEMA) has reinforced weakness. Additionally, the stock is trading below the S3 Camarilla pivot, suggesting further downside potential. Patel advises that any upward bounce should be used as an exit opportunity, and long positions should be avoided until a clear trend reversal emerges.
Hardik Matalia, Derivative Analyst at Choice Broking, noted that Suzlon is consolidating near demand zones after significant selling pressure. However, the stock needs a clear reversal signal before a potential uptrend can be confirmed. Currently trading below key moving averages across short, medium, and long terms, the stock remains weak. The Relative Strength Index (RSI) at 38.9 suggests it is approaching oversold territory, indicating a possible technical bounce. If Suzlon sustains above Rs 60 with strong volume, it could regain positive momentum. Until then, investors are advised to keep a strict stop-loss at Rs 50.
AR Ramachandran, SEBI-registered independent analyst, pointed out that Suzlon has strong resistance at Rs 55.08 and could decline to Rs 47.8 if it closes below Rs 52.
Brokerage Views: Mixed Sentiments on Suzlon Energy
Despite the current weakness, Morgan Stanley has maintained an ‘overweight’ stance on Suzlon Energy with a price target of Rs 71 per share. The brokerage expects wind industry constraints regarding land acquisition to ease from FY26. Additionally, Suzlon’s new capex of Rs 350-400 crore for blade manufacturing in Madhya Pradesh and Rajasthan is seen as a positive factor for future growth.
On a more bullish note, JM Financial assigned a ‘buy’ rating with a target price of Rs 80. The firm believes Suzlon’s strong order book of 5.5GW, enhanced manufacturing capacity, and supply chain improvements position it for substantial growth.
Financial Performance: Strong Growth in Q3 FY25
Suzlon Energy reported a 91% year-on-year (YoY) rise in its consolidated net profit for Q3 FY25, reaching Rs 388 crore compared to Rs 203 crore in the year-ago period. Revenue from operations also surged 91% YoY to Rs 2,969 crore from Rs 1,553 crore.
Should Investors Buy, Hold, or Sell Suzlon Energy Stock?
Given the current technical weakness and bearish trends, investors should proceed cautiously. Experts suggest avoiding long positions unless a clear reversal signal appears. A breakout above Rs 60 with strong volume confirmation could indicate renewed upward momentum. Until then, traders should manage risk effectively with a stop-loss at Rs 50.
Long-term investors may consider Suzlon’s strong financial performance, order book, and future growth potential as positive factors. However, given the stock’s volatility, strategic entry points should be carefully analyzed before making investment decisions.
