Retail investors’ favourite renewable energy stock recovers 30% in 9 sessions. Is it in your portfolio?

Small cap multibagger stock: Suzlon Energy's share price has made a strong comeback in recent sessions, propelling it to trade above levels not seen in over 2 months. The retail investors' favorite small-cap stocks have gained 30% to ₹61 apiece, in just 9 trading sessions after hitting a 10-month low of ₹46.15 on April 07.

Suzlon Energy share price in the previous trading session crossed the ₹60 level, which was last seen at the end of January. The recovery was driven by steady order wins and improved overall sentiment in the Indian stock market, prompting investors to accumulate the stock at more attractive levels

During the March quarter, retail investors have increased their holdings in the company as their stake stood at 55%, up from 54.6% in the December-ending quarter. Despite this stellar recovery, the stock is still trading 31% below its September peak of ₹85.85 apiece.

Should you buy the stock after a stellar rally?

Technical analysts suggest that the stock could potentially continue its upward trend in the near term. Anshul Jain, Head of Research at Lakshmishree Investment and Securities, said, "Suzlon has formed a triple bottom near the key support of 50.6 and broken out of its lower high–lower low structure by crossing the 59.5 swing high."

"This bullish breakout came with volumes over 2x the 50-day average, hinting at institutional participation. The immediate resistance is placed at 65.6, which is also the logical target for the current setup. As long as it holds above 59.5, momentum traders can ride the move toward 65.6," he further added.

Suzlon Energy recent order wins

On April 17, Suzlon secured a 100.8 MW EPC wind power order from Sunsure Energy, marking the latter’s maiden foray into wind energy. The project is set to be executed in the Jath region of Maharashtra. Under the agreement, Suzlon will supply 48 state-of-the-art S120 wind turbine generators (WTGs) with Hybrid Lattice Towers (HLTs), each rated at 2.1 MW capacity.

In early March, the company secured its third order—204.75 MW—from Jindal Green Wind 1 Pvt. Ltd., a subsidiary of Jindal Renewables. This partnership now represents Suzlon’s largest Commercial & Industrial (C&I) order, with a cumulative capacity of 907.2 MW.

Currently, C&I customers account for 59% of Suzlon’s total order book, which has reached a record 5.9 GW—the highest in the company’s history.

In February, the company secured a repeat order of 201.6 MW from Oyster Renewable, further cementing its leadership in India’s wind energy sector. With this latest order, Suzlon’s partnership with Oyster Renewable has grown to 283.5 MW in Madhya Pradesh within just nine months.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.