Suzlon Energy Share Price Target 2025, 2026, 2030 & 2040

Published on: February 14, 2024

In this article you will get know about Suzlon Energy Share Price Target for 2025, 2026, 2027, 2030, and 2040. Once Suzlon was considered as the country’s largest provider of renewable energy, Suzlon has faced significant challenges in its business due to financial crises. Consequently, Suzlon’s share price has experienced significant declines. However, in recent years, with the increasing demand for renewable energy, investors are seeing potential for good growth in Suzlon Energy’s business.

Looking ahead, we will try to understand the company’s business through thorough analysis and also look at future prospects, which will give us a good estimate of Suzlon Energy’s Share Price Target.

When it comes to wind energy, Suzlon Energy stands out as one of India’s largest companies, holding approximately 33% market share alone. Seeing the increasing demand for clean energy, the company is actively expanding its power production capacity. Currently, the company has a power production capacity of 19,108 MW, and management is increasing investment significantly every year to enhance this capacity.

In addition to this, Suzlon Energy is continuously working on new innovations in its wind turbines to further increase its power production capacity. As the company continues to increase its power production capacity in various ways, you can expect a steady increase in the company’s market share.

With the company’s market share growing, Suzlon Energy Share Price Target for 2025 seems promising, with a potential first target of Rs. 50 per share. After that, you can consider a second target of Rs. 54 per share.

Suzlon has always focused heavily on Research and Development to improve its products. With extensive experience, the company has innovated significantly in wind turbines, enhancing its energy production capacity. Additionally, leveraging its strong R&D, Suzlon is swiftly developing new turbine models using carbon-fiber technology. Analysts anticipate that as Suzlon continues to develop superior products, the company is poised for significant growth in the coming years, with an initial target price of around ₹60 by 2026, followed by a target of approximately ₹65.

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Suzlon Energy’s management is currently focused on reducing its debt burden. The company is prioritizing projects with the highest profit margins to increase its profitability and gradually reduce its debt. Over the past few years, Suzlon has successfully controlled its debt burden, resulting in significantly reduced interest expenses. Consequently, the company is gradually witnessing profits in its business, with expectations of further growth as debt decreases. The target price for 2027 is estimated around ₹75, with a potential secondary target of ₹80.

The future is expected to witness a substantial increase in the utilization of green energy, driven by growing demand as more people adopt green energy for various purposes. Suzlon Energy’s management is expanding its production capacity in line with the increasing opportunities in the sector. Analysts believe that by 2030, renewable energy could contribute up to 50% of India’s total energy consumption, benefiting companies like Suzlon Energy, which are prominent players in this segment. Consequently, a significant growth trajectory is anticipated, with a target share price of around ₹130 by 2030, followed by a potential secondary target of ₹150.

India’s government is increasingly focusing on promoting environmental sustainability by transitioning to various renewable energy sources. This shift is supported by substantial investments in the sector. Government initiatives are providing assistance to companies like Suzlon Energy to expand their production capacity, aligning with the nation’s renewable energy goals. With governmental support and Suzlon’s strategic positioning in the sector, substantial growth is anticipated, with a target share price of around ₹600 by 2040.

Anticipating future opportunities, Suzlon Energy is already expanding its business by setting up wind turbines in numerous new locations. As the company’s production capacity grows, it is expected to capitalize on business opportunities. Government support for the green energy sector further strengthens the prospects for Suzlon Energy’s future growth. However, investors should be mindful of the risks associated with the sector, particularly the intense competition and financial constraints that Suzlon has faced in the past.

Risk of Suzlon Energy

The biggest risk in Suzlon Energy’s business lies in the increasing competition in the sector due to the prospects of growing future growth. Many companies are entering this sector and making significant investments, which may pose a challenge for Suzlon Energy due to its limited funds for investment, making it difficult to expand its business.

The company has faced financial crises multiple times, which have pushed it to the brink of collapse. However, banks have provided Suzlon Energy with opportunities to revive its business. If the company fails to perform well in the coming days and struggles to repay its debts, it may experience a unilateral decline in its share price.

Conclusion

The future prospects for Suzlon Energy suggest significant growth potential but also come with inherent risks. Investors considering this stock should invest only what they can afford to lose, especially considering the volatility of the sector. As the company demonstrates consistent positive results, investors may consider gradually increasing their investment. However, it’s crucial to seek financial advice before making any investment decisions at any price point.