Suzlon Energy - Sell
We have a negative view on the stock on account of high debt, rating downgrades and ongoing issues in the sector the company operates.

In Q1FY20, the company posted revenue of Rs833crs, down 34.5% YoY on account of sectoral slowdown, owing to the prolonged industry transition to the bidding regime and policy uncertainty in few states. The company reported a net loss of Rs335crs against loss of Rs572crs YoY due to lower expenses. Suzlon currently has very high debt amounting to Rs7,751crs in long-term debt and Rs4,000crs of working capital debt. It's long-term bank facilities were downgraded to D from BB in April 2019 by Care Ratings and the company missed payments on its dollar-denominated convertibles in the month of June and July of 2019. Earlier this month, company's plan to reduce debt through stake sell saw a downturn as Brook-field cancelled its intention to purchase a stake in the company as they could not reach on a with lenders with regards to the valuation of the company.

Suzlon is a vertically integrated wind power company that makes and installs windmills. The company manufactures blades, generators, panels, and towers in-house and large on or offshore turbines. Their service comprises an end-to-end offering in wind energy, which provides customers with everything from land acquisition to life-cycle asset management and design to construction.