Suzlon share price soars 14% as Motilal Oswal sees 27% upside on Q4 earnings beat, bullish FY26 outlook

Shares of Suzlon Energy surged as much as 13.6% on Friday to Rs 74.30 on the BSE after brokerage Motilal Oswal raised its target price to Rs 83 and reiterated its “buy” rating, citing a strong Q4 performance and a robust outlook for FY26.

Motilal Oswal’s revised target implies a potential return of 27% from the stock’s last closing level and a further 11.7% upside from Friday’s intraday high. The brokerage highlighted Suzlon’s March-quarter earnings, which came in significantly ahead of expectations, driven by better-than-anticipated wind turbine generator (WTG) deliveries and margin expansion.

“Suzlon Energy delivered a strong set of results, with deliveries and EBITDA coming in ~15% and 38% ahead of our expectations, respectively,” Motilal Oswal said in a note. “Management maintained its positive outlook and guided for at least a 60% year-on-year improvement in deliveries, revenue, EBITDA, and adjusted PAT for FY26.”

Q4 profit more than quadruples

Suzlon reported a 365% year-on-year surge in consolidated net profit to Rs 1,182 crore in Q4FY25, up from Rs 254 crore a year earlier. Revenue from operations rose 73% to Rs 3,773 crore. On a sequential basis, net profit jumped 205%, while revenue grew 27%.

EBITDA stood at Rs 690 crore, marking a 94% year-on-year increase, with the EBITDA margin expanding to 18.4%. The earnings included a deferred tax gain of approximately Rs 600 crore.

Revenue from the wind turbine generator (WTG) segment more than doubled to Rs 3,142 crore, while EBIT surged over fivefold to Rs 420 crore. Deliveries during the quarter stood at 573 MW, bringing total deliveries for FY25 to 1,550 MW — a 118% increase from the previous year.

FY25 sees broad-based growth

For the full year, Suzlon reported a 67% rise in revenue to Rs 10,851 crore and a 214% increase in net profit to Rs 2,072 crore. EBITDA grew 81% to Rs 1,857 crore, supported by a sharp improvement in the WTG segment’s contribution margin, which exceeded 23%.

The company’s order book stood at 5,555 MW as of May 2025, including 1,500 MW from NTPC. In FY25, a total of 336 MW was installed, with an additional 371 MW ready for commissioning.

Sector tailwinds, execution key drivers

Motilal Oswal noted that sector momentum is picking up, with India’s wind energy installations expected to grow to 6 GW in FY26, and further to 7–9 GW annually over the next two years. The brokerage said Suzlon is well-positioned to benefit from this expansion and described the company’s execution track record as encouraging.

It also highlighted policy support as a potential tailwind, stating that the early implementation of local content-related guidelines could act as a significant catalyst for the stock.

“The early implementation of the local content-related draft notification can be a strong catalyst for the stock,” Motilal Oswal said.

The brokerage values Suzlon at a forward P/E of 35x FY27 estimated earnings—a slight premium to its historical average — citing stronger earnings visibility and execution momentum.

Also read | Suzlon Energy shares soar 13% after Q4 net profit surges 365% YoY to Rs 1,182 crore

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