Here's Why Suzlon Energy Stock is Up 17% in July

Suzlon is one of the primary makers of wind energy components in India. The company's stock is up nearly 250% over the past year and close to 17% so far in the month of July, as investors continue to favor the company's prospects in the wind energy space.

Context: Suzlon Energy reported a 200% year-on-year profit growth to ₹302 crores in Q1 FY25, according to the company's latest financial report.

• Revenue jumped 50% to ₹2,016 crores.
• EBITDA increased by 86% to ₹370 crores, with an improved margin of 18.4%.
• Delivery volume reached 274 MW, up 103% from the previous year.

State of play: Suzlon's order book stands at a record 3.8 GW, its largest since inception, indicating strong future growth potential.

• The company achieved its highest Q1 deliveries in seven years.
• A healthy net cash position of ₹1,197 crores as of June 30, 2024, further bolsters investor confidence.

The company recently appointed long-time executive Gurpratap Boparai as CEO of Manufacturing could further enhance Suzlon's operational efficiency.

The big picture: Suzlon's performance aligns with India's push towards sustainable development and growing demand for renewable energy solutions.

Bottom line: Increased confidence in India's renewable energy sector and a generally bullish market, that has helped the Nifty 50 achieve 14% returns so far this year, has helped energy and infrastructure stocks perform well.