In August, Suzlon Energy, a player in renewable energy, became a favourite among mutual funds, experiencing a significant surge in their holdings, increasing by a remarkable 357% on a month-on-month (MoM) basis. Mutual funds collectively added over 50 crore shares of Suzlon Energy to their portfolios, bringing their total holdings to 64.71 crore shares, up from 14.09 crore shares in July, according to data from ACE MF.
As of the end of August, 64 mutual funds had included Suzlon Energy in their portfolios, with a combined market value of Rs 1,567 crore. This substantial increase in mutual fund holdings coincided with Suzlon Energy's impressive returns as a multibagger stock, delivering a 176% return over the past year and a remarkable 190% return in just six months.
During August, Suzlon Energy was among the top additions to mutual funds in the small-cap universe, as reported by brokerage firm Nuvama in its August mutual fund report. Other notable additions in this category included Minda Corporation, SJS Enterprises, Inox Wind, and Medplus Health Services.
Bandhan Mutual Fund emerged as the top buyer of Suzlon Energy shares in August, investing Rs 288 crore and increasing its stake in the stock to 4.4%. Edelweiss Mutual Fund also made significant purchases, buying shares worth Rs 84 crore. Additionally, Suzlon Energy was newly included in the portfolios of Invesco Mutual Fund and Franklin Templeton Mutual Fund. Invesco Mutual Fund acquired shares worth Rs 182 crore, while Franklin Templeton Mutual Fund purchased a stake worth Rs 29 crore, as reported by the Nuvama report.
Furthermore, HDFC Mutual Fund and ICICI Prudential Mutual Fund entered into positions in Suzlon Energy during this period.
In terms of overall market activity in August, mutual funds acquired shares worth Rs 14,500 crore, while foreign institutional investors (FIIs) purchased equities worth Rs 11,300 crore in the Indian secondary market. Suzlon Energy's robust performance and growing popularity among mutual funds highlight its appeal as a renewable energy player in India's evolving energy landscape.
