Suzlon Energy Ltd (SUZLON) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Hitachi Energy

TD Power Systems

BHEL

GE Vernova T&D

CG Power & Ind

A B B

Triveni Turbine

Schneider Elect.

Suzlon Energy

Inox Wind

Thermax

Why is Suzlon Energy Ltd ?

With ROE of 40.4, it has a Very Expensive valuation with a 8.8 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -24.14%, its profits have risen by 221.6% ; the PEG ratio of the company is 0.1

Underperformed the market in the last 1 year

Even though the market (BSE500) has generated returns of 2.12% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -24.14% returns

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Heavy Electrical Equipment)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Suzlon Energy for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Suzlon Energy

-24.14%

-0.64

37.93%

Sensex

4.83%

0.41

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

39.83%

EBIT Growth (5y)

37.85%

EBIT to Interest (avg)

3.35

Debt to EBITDA (avg)

3.63

Net Debt to Equity (avg)

-0.06

Sales to Capital Employed (avg)

1.72

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

32.86%

ROCE (avg)

22.35%

ROE (avg)

14.45%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

8.80

EV to EBIT

31.09

EV to EBITDA

27.32

EV to Capital Employed

9.34

EV to Sales

4.99

PEG Ratio

0.10

Dividend Yield

ROCE (Latest)

30.03%

ROE (Latest)

40.37%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

28What is working for the Company

PAT(Latest six months)

At Rs 1,603.76 cr has Grown at 219.16%

NET SALES(Latest six months)

At Rs 7,002.50 cr has Grown at 69.76%

PBDIT(Q)

Highest at Rs 720.84 cr.

PBT LESS OI(Q)

Highest at Rs 535.95 cr.

EPS(Q)

Highest at Rs 0.93

-8What is not working for the Company

INTEREST(9M)

At Rs 297.45 cr has Grown at 74.89%

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.32 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.28 times

Loading Valuation Snapshot...

Here's what is working for Suzlon Energy

Profit After Tax (PAT) - Quarterly

At Rs 1,279.44 cr has Grown at 144.4% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 523.42 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 535.95 cr has Grown at 43.9% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 372.32 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Net Sales - Quarterly

Highest at Rs 3,870.78 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 3,870.78 cr has Grown at 29.0% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 2,999.97 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 720.84 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 535.95 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 1,279.44 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 0.93

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Here's what is not working for Suzlon Energy

Interest - Latest six months

At Rs 212.73 cr has Grown at 37.91%

over previous Half yearly period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Inventory Turnover Ratio- Half Yearly

Lowest at 0.32 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio- Half Yearly

Lowest at 0.28 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio