Adani Power enters top-50 most-valued firms club; zooms 109% in a month

Adani Power entered the list of top-50, most valued companies, in terms of market captialisation (market cap), in the country as the stock price of company more-than-doubled in the past one month.

The Gautam Adani-led Adani Group Company, engaged in the electric utilities business hit a new high of Rs 259.20, on gaining 5 per cent on the BSE in Friday's intra-day trade. With today's rally, the stock has zoomed 109 per cent in the past one month from a level of Rs 123.75.

Meanwhile, Adani Power is also set to join the elite club of companies with Rs 1-trillion market-cap. The company’s market cap was at Rs 99,972 crore as of 10:19 am on Friday, the BSE data shows. In comparison, the S&P BSE Sensex was down 0.89 per cent at 57,396.

Adani Power stood at 49th position in overall market-cap ranking, surpassing personal products company Dabur India (Rs 98,470 crore) and real estate major DLF (Rs 95,052 crore), data shows.

Adani Power is the sixth Adani Group Company which featuring in top 50 most valued listed companies. Adani Green Energy (Rs 4.44 trillion), Adani Transmission (Rs 2.92 trillion), Adani Total Gas (Rs 2.66 trillion), Adani Enterprises (Rs 2.51 trillion), Adani Ports and Special Economic Zone (Rs 1.85 trillion) are others have a market cap in excess of Rs 1 trillion each. Recently listed Adani Wilmar is at the 52nd position in overall ranking with a market cap of Rs 94,493 crore, data shows.

Adani Power, a part of the diversified Adani Group, is the largest private thermal power producer in India. The company has an installed thermal power capacity of 12,410 MW spread across six power plants in Gujarat, Maharashtra, Karnataka, Rajasthan and Chhattisgarh, apart from a 40 MW solar power plant in Gujarat.

Adani Power had posted consolidated net profit of Rs 218.49 crore for third quarter of FY22 (Q3FY22). The company incurred a loss of Rs 288.74 crore while total income stood at Rs 5,593.58 crore relative to Rs 7,099.20 crore in the same period a year ago.

Tech view
Target: Rs 282
Support: Rs 210-230

The stock of Adani Power has been able to sustain its upward bias, despite being in the overbought-zone on the 14-day Relative Strength Indicator (RSI) since March 25. This is due to healthy volume-based buying at the counter. If this bias continues to remain positive, the stock could soon hit Rs 282-mark, as per the daily chart.
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The price-to-moving average action, and momentum indicators, too, suggest upward trend for the stock. Its immediate support is placed at Rs 231 (upper Bollinger Band on the weekly chart), and then at Rs 210 (20-day moving average).