Brokerage firm Morgan Stanley has downgraded Suzlon Energy Limited's shares from its previous rating of "overweight" to "equalweight". However, the brokerage has raised the target for the company's shares from ₹73 to ₹88 per share. Morgan Stanley has written in its note that the price of Suzlon's shares has doubled in the last six months.

What is in the report-  The research note states that the reason for Suzlon's better performance is the tremendous growth in the order book. The company's balance sheet has improved. Also, cash flow is good. Suzlon's order book is now at an all-time high, close to the 5 gigawatt mark. (Rappid Valves SME IPO: You will know in 1 minute, this is the easiest way to know IPO allotment)

The brokerage has said that Suzlon tells the growth story of India's wind energy. It has the potential to increase its market share to between 35% and 40% in the future. Ordering activity in the renewable energy sector remains strong and Morgan Stanley expects to get 32 ​​gigawatts of new orders in the financial year 2025-2030. Morgan Stanley wrote in its note, "Suzlon has been prudent in taking orders and this is also due to the high share of C&I and captive customers and large orders from NTPC. Suzlon's acquisition of Renome provides the company entry into new multi-brand O&M business and Morgan Stanley is looking forward to signing up customers in this business, which will add to Suzlon's earnings. What to do in the stock - After the downgrade, only two of the five analysts covering Suzlon Energy have given a "buy" rating on the stock, while the other three have recommended "hold". Despite the downgrade, Morgan Stanley's price target on Suzlon is the highest in the market.