21-07-2025
Mutual funds boost holding in Suzlon Energy to an all-time high in June quarter
Mutual funds increased their bets on Suzlon Energy in the June quarter, as the latest shareholding data reveals that domestic fund houses collectively picked up an additional 1.07% stake in the wind energy company during the period.
As of the end of June 2025, 30 mutual funds collectively held a 5.24% stake in Suzlon Energy, equivalent to 7.18 crore shares. This marks a notable increase from 4.17% at the end of the March quarter and 3.82% in Q1FY25, according to BSE shareholding data.
The data also shows that Motilal Oswal Midcap Fund now holds a 1.03% stake in the company—a new addition, as the fund had no holdings in Suzlon at the end of March.
Meanwhile, the Life Insurance Corporation of India (LIC) continues to hold a 1.02% stake. Retail investors also slightly increased their holdings by 0.1% to 55.1%, while promoters trimmed their stake to 11.7% from 13.3% in Q1FY25.
Suzlon has remained on investors' radar in recent months due to positive brokerage views and multiple orders. Motilal Oswal, for instance, recently issued a 'buy' rating with a target price of ₹ 82 per share.
The brokerage's optimism is driven by the expected adoption of the Revised List of Models and Manufacturers (RLMM) local content draft notification by Q2FY26, strong order prospects, the gradual phase-out of the ISTS waiver over the next four years, and an increasing share of EPC projects in the order book.
Discussions with industry participants suggest that the RLMM notification—mandating local content in key wind turbine components—is likely to be formally implemented in Q2FY26.
Motilal Oswal believes that Suzlon is well-positioned to benefit from favorable regulatory developments, a growing order book offering strong revenue visibility, and operational gains through proactive land acquisition and EPC expansion.
Earlier, Anand Rathi also noted that Suzlon's 5.6 GW order book, which is 3.6x its FY25 execution volume, provides long-term growth visibility and ensures a steady pipeline of projects. It also reinitiated coverage with a 'buy' rating and a target price of ₹ 81 apiece.
Despite these positive projections, the stock has come under pressure in recent months due to broader market weakness, declining 12% from its recent highs. However, Suzlon remains a strong long-term performer, with shares rising 277% over the past two years and over 1,200% in the last five years.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
