Suzlon Energy: These are the 5 reasons mentioned in the report due to which the stock will rise? New target has arrived:

News Topical, Digital Desk : If you have bought or are thinking of buying Suzlon Energy shares, then the FY25 annual report is very important for you. The company has not only shown strength in profits, but the turnaround seen in the business tells a big story. Let us now understand directly in points – what was good, what are the risks, and what strategy should investors adopt. A new target for the stock has come in the report of brokerage house Anand Rathi. A target of Rs 81 has been set on the stock with a buy opinion. Let us understand the report in detail.

What is good

1. The company is continuously profitable . In FY25, Suzlon Energy has made profits for the third consecutive year. At the same time, FY25 Net Profit: has become Rs 660 crore. Last year (FY24): It was Rs 296 crore i.e. there has been a growth of about 123%. This is a big sign for investors that the company has come out of its worst phase.

2. Huge reduction in debt - In FY19, the company's debt was more than ₹ 12,000 crore. Now in FY25, the net debt has come down to just ₹ 1,254 crore. Due to reduction in debt, the interest burden has reduced and profit has increased - there has been a big improvement in sustainability.

3. Great growth in EBITDA - FY25 EBITDA: Rs 1,217 crore. EBITDA Margin: is at 17.6%. EBITDA of the previous quarter (Q4FY25): Rs 427 crore (22.2% margin). Increasing EBITDA means the company's operation is getting stronger.

4. Record order book - Order book of 2.5 GW by the end of FY25, of which more than 80% are orders from IPPs (Independent Power Producers). The company has a strong business pipeline for the next few years.

5. Focus on ESG and Make in India. 89% of Suzlon Energy's supply chain is domestic. The company generated 1.2 GW in FY25 - comes from turbines made in India. The target is Net Zero by 2040. Its presence in green energy and local manufacturing makes it a long term story.

But risks are also mentioned in the report. 1. Seasonal effects and site delays - Projects may get delayed due to reasons such as site clearance and weather. 2. Competition and tariff pressure- Pricing competition is increasing in the market, which may put pressure on margins. 3. Need for high capex and technical upgrades- As the company moves towards new models and larger turbines, investment and upgrading expenses will increase there. Confidence built in the consistent profit turnaround story. Huge decline in debt Financial health improved. Strong order book Revenue visibility. Green energy theme Attractive to ESG-based investors If you have been holding Suzlon Energy shares - stay put. The company has now come out of the phase where survival was in question. New investors can also track this stock from a long-term perspective - but instead of buying on every rise, it would be better to enter on dips. Keep in mind, there will be volatility in the stock - but according to the report, the business model is getting stronger, and the revival story seems to be coming true. Suzlon Energy is no longer just a wind turbine seller, but is becoming a 'green energy play' - and this is its real strength.