Equity / Stocks - Suzlon Energy Ltd - AVOID / SELL in MARKETS - CMP : 54 Suzlon Energy Ltd designs, manufactures, operates, and maintains wind generating equipment. The Company constructs large wind parks. ...
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Suzlon Energy Ltd - AVOID / SELL

  1. 07-03-2010 12:37 AM
    mani.buzzingstocks
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    Suzlon Energy Ltd - AVOID / SELL

    CMP : 54

    Suzlon Energy Ltd designs, manufactures, operates, and maintains wind generating equipment. The Company constructs large wind parks.
    Reasoning behind Sell Call:
    Balance Sheet is weak, loaded with debt.
    Income Statement totally downturned over the last few years.
    Current market cap is 9500 Cr. Even if they turnaround to good old profits of 1000 Cr, that’s a P/E of 10. It’s a low margin business and any kind of a turnaround is going to take a long long time.
    Recently their COO has quit the company.
    Is there anything to cheer about?
    Final Verdict: This has been a sinking ship for quite sometime now. We don’t see any dramatic turnaround in the near future. It may rise a little based on news, but that is not going to help us in the longer run. If you are fundamental trader, stay away from this stock.

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  2. 08-12-2011 11:40 AM
    Abhijit
    Suzlon Energy (BSE: 532667, NSE: SUZLON) is a global wind power company based in India. In terms of market share, the company is the fifth largest wind turbine manufacturer in Asia (and the 8th largest worldwide). In terms of net worth, it is the world's most valuable wind power company

    Suzlon posted net profits of Rs. 309.82 crores for quarter of Mar ‘11. Earlier in Dec.’10 quarter it had posted net profit of just Rs. 1.2 crore. This profitable turnaround would soon start translating in stock price appreciation. As mentioned above, analysts are expecting profit of Rs 500 crores this FY and Rs 900 crores next FY. If everything goes as per this, Suzlon could provide good returns to it’s investor’s in next 3 - 4 years time frame.

    Company posted losses for two consecutive years. Stock market analysts are expecting the company to report about Rs 500 crore worth profits in the current financial year and Rs 900 crore in 2012-13. The order book of company has also seen increments that would give it a better revenue visibility. Suzlon could be well on its way to turnaround as a profitable company again very soon. One may buy stocks in small quantities at every dip for long term portfolio
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  3. 10-24-2011 05:02 PM
    rmani84
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    [Suzlon Energy Ltd.] Q2 2012 net profit at Rs19 crore ...

    Its a year since we gave a Avoid/Sell recommendation on Suzlon. Its not a wealth builder. Investors should avoid it.
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