Why Suzlon Energy Share Price is Rising

Indian stock markets are surging strongly on 12 May 2025, driven by positive geopolitical and global trade developments.

The Nifty 50 index is up nearly 3%, trading around 24,700 points, while the BSE Sensex has jumped over 2,200 points, above 81,600 levels.

A ceasefire agreement between India and Pakistan, easing regional tensions and geopolitical risks has helped investor sentiment.

Progress in US-China trade talks, with both sides signalling an important consensus, is also boosting risk appetite.

Market breadth is robust, with the majority of stocks advancing and volatility indices dropping to recent lows, reflecting reduced market uncertainty.

The one stock that is rallying sharply in trade is the stock of Suzlon Energy.

Let us see why there is substantial gains in the stock today.

Sizeable Contract from Bharat Petroleum

One of the reasons for the sharp rally in the stock of Suzlon Energy is the contract the company received from Bharat Petroleum Corporation (BPCL).

The company has recently awarded contracts for the development of 100 MW of wind power projects as part of its green energy transition and renewable energy roadmap aiming for a 10 GW portfolio by 2040 and achieving net zero emissions in Scope 1 and Scope 2 by the same year.

The contracts are split into two 50 MW projects: Suzlon Energy has been awarded the 50 MW wind project in Madhya Pradesh, while Integrum Energy Infrastructure will develop the 50 MW project in Maharashtra.

These wind farms will supply captive renewable power to BPCL's Bina Refinery in Madhya Pradesh and Mumbai Refinery in Maharashtra, reducing reliance on fossil fuels and lowering carbon emissions from refinery operations.

Both projects are expected to be completed and commissioned within two years.

What Next?

India's ambitious target of 500 GW of non-fossil fuel energy capacity by 2030, with wind energy playing a crucial role, creates a favourable environment for Suzlon's expansion.

As of February 2025, Suzlon Energy's order book stands robustly at approximately 5,622 MW, reflecting a slight increase from 5,523 MW reported in January 2025.

The order book is diversified, with around 92% (5 GW) comprising orders for the S144 turbine model, which has been well received in the Indian market.

Suzlon is actively ramping up production capacity, including expansions at its Daman and Puducherry nacelle manufacturing facilities to reach an annual capacity of 4.5 GW, and adding production lines at Ratlam and Jaisalmer to meet the growing demand.

Suzlon's order pipeline includes a mix of new and repeat customers, with recent large orders reaffirming partnerships with key clients such as Jindal Renewables and Torrent Power.

The company's strategic focus on Commercial & Industrial (C&I) and Public Sector Undertaking (PSU) customers now constitutes about 80% of the total order book, indicating a shift toward more stable and strategic segments.

In short, Suzlon Energy is well-positioned to capitalise on India's renewable energy growth, supported by improving financials, a strong order book, and government backing.

However, investors should remain mindful of short-term market volatility, raw material cost pressures, and execution risks.

How Shares of Suzlon Energy have Performed Recently

Over the last one month, the share price of Suzlon Energy has gained 4.9% from levels of Rs 54.36 to the current levels of Rs 57.03. In past one year, shares of the company have gained 46%.

The stock hit a 52-week high of Rs 86.04 on 12 September 2024. The stock also hit a 52-week low of Rs 37.95 on 13 May 2024.

About Suzlon Energy

Suzlon Energy is one of India's leading renewable energy companies, primarily focused on wind energy production and wind turbine manufacturing.

Founded in 1995, Suzlon has installed over 20.9 GW of wind energy capacity across 17 countries on six continents, making it a significant global player in renewable energy.

The company is headquartered in Pune, India, and operates a vertically integrated business model with 14 manufacturing facilities across India and R&D centers in Germany, the Netherlands, Denmark, and India.

Suzlon employs over 7,800 people and manages more than 13,000 wind turbines, with a strong presence in India where it holds about a 31% cumulative market share and operates over 111 wind farms with an installed capacity exceeding 14,340 MW.

Suzlon's order book is robust, exceeding 5,600 MW, including large contracts with major clients such as NTPC and other public and private sector firms.

The company is expanding its manufacturing capacity to meet growing demand and is also developing competencies in solar power and hybrid wind-solar solutions.

To know more, check out the Suzlon Energy fact sheet and latest quarterly results. You can also compare Suzlon Energy with its peers on our website.

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To know what's moving the Indian stock markets today, check out the most recent share market updates here.

Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.

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