Suzlon Energy Shares: Facing Resistance at Rs 19 Level, Can They Surpass It?

Suzlon Energy

Suzlon Energy Share Price: Secures 47.6 MW Wind Power Project, Eyes Rs 2,000 Crore Fundraising

Suzlon Energy Ltd has recently achieved a significant milestone by securing a 47.6 MW wind power project from The KP Group in Gujarat. The company’s Board of Directors also made a noteworthy announcement last week, revealing their plans to raise up to Rs 2,000 crore. To fulfill this objective, Suzlon Energy will explore diverse financial avenues.

Shares of Suzlon Energy Ltd experienced a slight decline during Thursday’s trading session, slipping below the Rs 18.54 mark, which represents their 52-week high. The stock faced a 2.50 percent decrease, reaching a day low of Rs 17.53. On the Bombay Stock Exchange (BSE), approximately 2.69 crore shares were traded, which is lower than the two-week average volume of 6.17 crore shares. The turnover on the counter stood at Rs 48.22 crore, and the company’s market capitalization (m-cap) amounted to Rs 21,945.96 crore.

Renewable Energy Provider Secures 47.6 MW Wind Power Project in Gujarat

Suzlon Energy’s recent acquisition of a 47.6 MW wind power project from The KP Group in Gujarat has propelled the company’s growth in the renewable energy sector. Additionally, the company’s Board of Directors has given the green light to a proposal aimed at raising Rs 2,000 crore. Suzlon Energy plans to explore various financial routes to raise the necessary funds.

Technical Analysis Suggests Resistance at Rs 19 Level

According to market analysts, Suzlon Energy’s stock is currently encountering resistance around the Rs 19 level. On the downside, potential support levels can be identified at Rs 16.65, followed by Rs 15.80, Rs 12, and Rs 10. Some experts even believe that the stock might climb up to Rs 21 in the near future.

Ravi Singh, a market expert, states, “Suzlon Energy’s share price has soared following the release of impressive Q4 results. The company demonstrated efficient expense management, resulting in a 14 percent operating margin and a 500 basis points increase. Moreover, Suzlon Energy managed to reduce its net debt by a significant 90 percent. With a target price of Rs 21 in the near term, the stock is exhibiting a bullish outlook.”

Positive Outlook Backed by Technical Research and Market Analysis

Vaishali Parekh, Vice-President of Technical Research at Prabhudas Lilladher, states, “Suzlon Energy has experienced a substantial rise from Rs 13.30 levels. Although a slight decline occurred due to profit booking, the stock is currently finding support near Rs 16.65 levels. An upward movement with an initial target of Rs 18.70 is highly likely. If the momentum is sustained, the stock may further rise and reach Rs 20.20.”

Santosh Meena, Head of Research at Swastika Investmart, highlights, “Suzlon Energy has recently shown promising signs of emerging from a bear market that persisted for 15 years. A significant breakthrough is the stock’s breakout from a long-term downsloping trendline originating from its 2008 peak. Presently, Suzlon Energy is exhibiting an encouraging pattern of higher highs and higher lows, forming an ascending triangle. However, it’s important to note that the price range of Rs 19-20 may present an immediate supply zone, which could potentially impact further upward movement.”

Meena further mentions, “In case of a pullback, it is worth noting that the Rs 12-10 range is expected to act as a strong demand zone, which will provide ample support to the stock price.”

AR Ramachandran from Tips2trades adds, “Suzlon Energy appears bullish on the daily charts, with the next resistance at Rs 19. A daily close below the support of Rs 15.80 could lead to a decline towards Rs 13.20 in the near term.”

Suzlon Energy: A Leading Provider of Renewable Energy Solutions

Suzlon Energy stands as a prominent provider of renewable energy solutions, specializing in wind turbines. The company offers a comprehensive range of solar energy solutions, encompassing solar irradiance assessment, land acquisition and approvals, infrastructure and power evacuation, supply chain, installation and commissioning, and life cycle asset management.

Market Surges to All-Time High Levels

Meanwhile, the Indian equity benchmarks witnessed a significant surge, reaching their all-time high levels. This impressive growth was primarily driven by gains in banks, financials, metals, technology, and realty stocks.

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