Shares of Suzlon Energy look set to give up the Rs 80 mark they reclaimed six sessions ago. The multibagger stock hit an intra day low of Rs 80.75 today amid analysts warning investors that the rally has momentum in the short term. On September 11, the Suzlon Energy stock closed at Rs 81.95, breaching the key level of Rs 80 (on a closing basis) after 15 straight sessions.
Riding on the bullish sentiment, the stock hit a 52 week high of Rs 86.05 in the next session (September 12). However, since then, the Suzlon Energy stock has run out of steam.
In the current session, the stock fell 1.52% intraday to Rs 80.75 on BSE. Market cap of the green energy firm fell to Rs 1.11 lakh crore on BSE. Suzlon Energy stock has climbed 229% in a year and gained 879% in two years.
The multibagger stock clocked a high turnover of Rs 32.29 crore as 39.44 lakh shares changed hands on BSE in today’s session. Suzlon Energy shares fell to their 52-week low of Rs 24.47 on September 20, 2023. Suzlon Energy shares have a beta of 0.8, indicating low volatility in a year.
Shares of Suzlon Energy are trading above their 10 day, 20 day, 30 day, 50 day, 100 day, 150 day, 200 day but lower than the 5 day moving averages.
Analysts have mixed views on the outlook of the renewable energy stock.
Shiju Koothupalakkal - Technical Research Analyst,PL Capital- Prabhudas Lilladher said, "The stock has been in a strong uptrend with recently indicating a higher bottom formation pattern on the daily chart and getting a fresh upward move with positive bias maintained. With near-term support positioned near Rs 79 zone, the stock is anticipated to rise further in the coming days with next targets of Rs 96 and Rs 107 levels expected. At the same time, the 72 zone (50EMA) would be the crucial and important support level below which the overall bias would turn weak."
AR Ramachandran, an independent Sebi registered analyst said, "Suzlon Energy stock price is bearish on the Daily charts with strong resistance at Rs 86.5. A Daily close below the support of Rs 80 could lead to a fall till Rs 70.5 in the near term."
Kushal Gandhi, Technical Analyst, StoxBox said, "The price behavior of Suzlon Energy, despite exhibiting a positive upward trend, appears to be losing momentum. The relative strength index has displayed a downward trend, indicating a negative divergence in comparison to the price. The stock encountered resistance near Rs 84.30, with the price being rejected at these levels on relatively higher volume. Additionally, the stock's relative strength in comparison to Nifty50 has shown a decline. Consequently, it is advisable to refrain from purchasing the stock at the current market price."
Suzlon Energy is a provider of renewable energy solutions. The company is a producer of wind turbines. It offers a range of solar energy solutions, such as solar irradiance assessment, land acquisition and approvals, infrastructure and power evacuation, supply chain, installation and commission and life cycle asset management.