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SUZLON - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.2

Last Updated Time : 03 May 26, 11:25 am

Technical Rating: 4.2

Stock Code SUZLON Market Cap 75,617 Cr. Current Price 55.6 ₹ High / Low 74.3 ₹
Stock P/E 24.3 Book Value 5.37 ₹ Dividend Yield 0.00 % ROCE 36.2 %
ROE 45.6 % Face Value 2.00 ₹ DMA 50 47.9 ₹ DMA 200 51.5 ₹
Chg in FII Hold 0.12 % Chg in DII Hold -0.05 % PAT Qtr 298 Cr. PAT Prev Qtr 1,328 Cr.
RSI 71.0 MACD 3.60 Volume 10,79,82,730 Avg Vol 1Wk 15,54,29,476
Low price 38.2 ₹ High price 74.3 ₹ PEG Ratio 0.38 Debt to equity 0.01
52w Index 48.2 % Qtr Profit Var -24.1 % EPS 2.28 ₹ Industry PE 37.9

📈 Chart Patterns & Trend: SUZLON is trading above both 50 DMA (₹47.9) and 200 DMA (₹51.5), with current price at ₹55.6. The stock is in a strong uptrend but showing signs of overbought conditions. Trend bias remains bullish with caution.

📊 Indicators: RSI at 71.0 indicates overbought territory, suggesting possible short-term pullback. MACD positive at 3.60 confirms bullish crossover. Bollinger Bands show price near upper band, signaling stretched momentum.

🔎 Volume: Current volume (10.79 Cr.) is below average weekly volume (15.54 Cr.), showing reduced participation at higher levels.

🎯 Entry Zone: ₹52–₹54 (near 200 DMA support)

🚪 Exit Zone: ₹60–₹62 (resistance zone, potential swing target)


Positive

  • Strong ROCE (36.2%) and ROE (45.6%) highlight operational efficiency.
  • PEG ratio of 0.38 indicates undervaluation relative to growth.
  • Low debt-to-equity ratio (0.01) ensures financial stability.
  • FII holdings increased by 0.12%, showing foreign investor confidence.

Limitation

  • Quarterly PAT decline (₹1,328 Cr. → ₹298 Cr.) with -24.1% variation.
  • Dividend yield at 0.00% offers no income return.
  • Stock P/E (24.3) is below industry average (37.9), suggesting limited valuation premium.
  • DII holdings decreased by 0.05%, showing domestic caution.

Company Negative News

  • Sharp decline in quarterly profits raises concerns about earnings consistency.
  • Overbought RSI levels may trigger near-term correction.

Company Positive News

  • Strong efficiency metrics (ROCE, ROE) and low leverage profile.
  • Foreign institutional investors marginally increased stake.

Industry

  • Industry PE at 37.9 is higher than SUZLON’s 24.3, suggesting undervaluation compared to peers.
  • Renewable energy sector outlook remains positive with policy support and demand growth.

Conclusion

SUZLON is trending upward with bullish signals from MACD and moving averages, but RSI indicates overbought conditions. Entry near ₹52–₹54 offers favorable risk-reward, with exit around ₹60–₹62. Strong fundamentals support long-term growth, but earnings volatility and overbought momentum require cautious positioning.

Would you like me to also prepare a short-term intraday trading setup for SUZLON, with tighter entry/exit levels and momentum triggers, alongside this swing/investment view?

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