Adani stocks rally up to 13% on Day 2 of rebound

NEW DELHI: With positive newsflow dominating the conversation around Adani Group, the conglomerate's stocks on Wednesday extended their rebound to the second straight session to rally up to 13%.

Shares of Adani Enterprises rallied up to 13% to the day's high of Rs 2,045.10 on BSE before paring some of the gains later on in the morning session.


Adani Ports, which reported a 16% fall in consolidated net profit at Rs 1,315 crore and 17% rise in revenues in the December quarter, was up around 6%. Adani Wilmar was locked in the 5% upper circuit limit at Rs 419.35. Adani Transmission, Adani Power and NDTV rallied between 2-5% each.

On the other hand, Adani Green and Adani Total Gas were the only two stocks in Adani Group to be under selling pressure.

Following yesterday's quarterly results, global brokerage Goldman Sachs has maintained its buy rating on Adani Ports with a target price of Rs 840 post December quarter results.

Adani Green Energy, which reported doubling of quarterly profit to Rs 103 crore, was trading 1.3% lower at Rs 832 on BSE.

Ambuja Cements stock was trading over 1% higher after the company reported a 46% rise in profit to Rs 369 crore.

Investor nerves were calmed on Monday when the promoters of the conglomerate announced that they have prepaid loans totalling $1.1 billion ahead of its September 2024 maturity in three key companies — Adani Green Energy, Adani Ports, and Adani Transmission.

Despite the bounce back seen in Adani stocks, Hemang Jani of Motilal Oswal said it is a little premature to say that the Adani saga is over.

"There are a lot of moving parts. What really happens to the MSCI and whether there is going to be a meaningful outflow, how the management deals with the current debt. We have heard some reports saying that they are trying to reduce the debt by diluting the stake, etc. So how exactly that is going to pan out is something that we will have to watch out for," he said.

Before the recovery in the last 2 days, the combined market value of all 10 Adani stocks had halved following explosive allegations made in the Hindenburg report.

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