Multiple Adani Group companies experienced significant share price declines in today's trading session, with some stocks falling by as much as 9%. This downturn occurred alongside a broader market crash that saw both the Sensex and Nifty indices record substantial losses.
Adani Group Shares Decline Across the Board
Adani Green Energy recorded the steepest fall among the group's listed entities, dropping 9.16% to Rs 1,212. Its market capitalization consequently decreased to Rs 2.01 lakh crore. Adani Enterprises, the flagship firm, saw its shares slip 7% to Rs 2,566, reducing its market cap to Rs 3.47 lakh crore.
Other Adani Group shares also faced pressure:
- Adani Power: Plunged 5.6% to Rs 185.60, with a market cap of Rs 3.57 lakh crore.
- Adani Energy Solutions (AESL): Down 6% to Rs 1,241.30, bringing its market cap to Rs 1.52 lakh crore.
- Adani Ports and Special Economic Zone (APSEZ): Slipped 4% to Rs 1,677.55, with its market cap falling to Rs 3.87 lakh crore.
- Adani Total Gas: Declined 3% to Rs 564.15, resulting in a market cap of Rs 62,298 crore.
Broader Market Context and Jefferies Ratings
The widespread slump in Adani Group shares comes as the overall Indian stock market witnessed a sharp correction. The Sensex plummeted 790 points to 71,848, while the Nifty lost 273 points, closing at 22,327.
Interestingly, these declines occurred despite recent 'Buy' ratings and optimistic price targets issued by global investment bank Jefferies for several Adani Group companies. Jefferies had assigned a 'Buy' rating on Adani Energy Solutions with a 12-month target price of Rs 2,060, citing its 2.5 GW round-the-clock power supply agreement with MSEDCL.
For Adani Enterprises, Jefferies maintained a 'Buy' rating with a target price of Rs 3,830 (and a bull-case target of Rs 4,700), anticipating an earnings inflection phase driven by its Airports business and growth prospects in Adani ConneX due to AI adoption.
Adani Green Energy also received a 'Buy' rating from Jefferies, which highlighted management's confidence in adding 5 GW capacity by FY27E and ramping up Battery Energy Storage System (BESS) capacity. Jefferies set a target of Rs 1,695 for Adani Green.
Adani Power was projected to reach Rs 270 within a year by Jefferies, based on its target to expand capacity to 45 GW by FY32 and the high percentage of upcoming capacity locked in long-term Power Purchase Agreements (PPAs). India's largest port operator, Adani Ports, received a target price of Rs 2,160 from Jefferies, which noted the company's confidence in achieving its 1 billion metric tonnes cargo target by 2030 and its strong balance sheet.
Despite these positive long-term outlooks from analysts, the immediate market sentiment, influenced by broader economic factors, led to a significant downturn in Adani Group shares today.