Suzlon Energy shares decline for the fifth day in a row, extend fall from peak to 40%

Shares of Suzlon Energy Ltd. are down for the fifth day in a row on Wednesday. The stock fell as much as 8.7% in mid-week trading, marking its biggest single-day drop in nearly two years.

The stock has declined 22% during this five-day losing streak and has significantly extended its correction from its record high which it had hit in the month of September.

As of close to 3 PM, as many as 18.26 crore shares of Suzlon were traded, which is nearly 4 times higher than its 20-Day Average volume of around 5 crore shares.

On the charts, Suzlon's Relative Strength Index (RSI) is now at levels of 23, which indicates that the stock is "oversold." An RSI reading below 30 indicates that the stock is in "oversold" territory. Towards the end of July this year, Suzlon's RSI was at levels of 86.

With this fall, Suzlon's shares have now declined below its 200-Day Moving Average, which was placed at levels of ₹56.65.

The circuit limit for shares of Suzlon Energy was recently revised to 10% from a 5% circuit earlier.

The wind energy solutions provider reported a 48% increase in revenue compared to the same period last year. The topline for the quarter stood at ₹2,103 crore. The company had reported a revenue of ₹1,421 crore last year.

Suzlon Energy's Net Profit nearly doubled compared to the year-ago period to ₹200 crore. It had reported a bottomline figure of ₹102 crore last year.

Out of the five analysts that have coverage on Suzlon, three of them have a "hold" rating on the stock, while the other two have a "buy" rating.

Shares of Suzlon are trading 8% lower at ₹54.63. With this correction, the stock has trimmed its 2024 gains to just 41%.