Adani Total Gas shares reclaim Rs 1,000 level after 24 sessions; Adani Transmission & Adani Green climb too
Shares of Adani Total Gas on Friday settled above the Rs 1,000 mark after a gap of 24 consecutive sessions. During intraday deals, the scrip jumped 5 per cent to hit the upper price band of Rs 1,032.45. It eventually finished 2.49 per cent higher at Rs 1,007.80 in volatile trade. At today’s closing level, the stock has rebounded sharply by jumping 53.86 per cent from its 52-week low of Rs 655, hit on March 1, 2023. Yet, the counter has slumped 74.80 from its one-year high level of Rs 3,998.35, touched on January 23 this year.
On the earnings front, the company reported a consolidated net profit of Rs 150 crore for the December quarter (Q3 FY23), up 17 per cent from Rs 128 crore in the same quarter a year ago. Revenue from operations came at Rs 1,185 crore in Q3 FY23, up 27 per cent from Rs 932 crore in Q3 FY22. Adani Total Gas is a joint venture between France’s energy major TotalEnergies and Adani Group.
A total of 7.38 lakh shares changed hands today on BSE, which was more than two times compared to Adani Total’s two-week average volume of Rs 2.77 lakh shares. Turnover on the counter stood at Rs 73.64 crore, commanding a market capitalisation (m-cap) of Rs 1,10,838.86 crore.
Apart from Adani Total, Adani Transmission and Adani Green Energy also continued their climb today. Both the counters also settled in the green but a bit lower from their respective upper circuits. Adani Transmission ended with 3.78 per cent gains, while Adani Green Energy surged 4.84 per cent.
Ravi Singh, Vice-President and Head of Research, Share India, “After the US boutique investment firm GQG Partners announced a cumulative investment, Adani Green Energy, Adani Total Gas and Adani Transmission recovered from the lows. The stocks are bullish on technical setup and showing strength on daily chart patterns. The stocks are trading higher on short-term moving averages and momentum indicators are suggesting a quick rally and high volatility ahead.”
In this momentum, Adani Total Gas may rise up to Rs 1,070, Adani Green Energy up to Rs 1,080 and Adani Transmission up to Rs 1,170 in the near term, Singh suggested.
Ravi Singhal, CEO at GCL, said, “Adani Total Gas looks strong from here and valuations are good to invest for a target price of Rs 1,450. Keep a stop-loss placed at Rs 950.” The company has a good order book and natural gas prices have also come down significantly, Singhal added.
For Adani Green Energy, the GCL CEO said, “The stock still looks weak as the company’s expansion plans could be put on hold or take more time. This can also result in a drop in market share as well.” Singhal lowered the target price for Adani Green to Rs 750.
The listed entities of Adani Group saw a massive market value erosion since January 24, when US-based short seller Hindenburg Research released a report alleging stock manipulation and accounting fraud by the Gautam Adani-led conglomerate. Adani Group, however, denied all the allegations.
The stocks recorded a decent recovery after US boutique investment firm GQG Partners announced a cumulative investment of Rs 15,446 crore in four Adani firms — Adani Enterprises, Adani Green, Adani Ports and Adani Transmission.
Meanwhile, Indian equity benchmarks extended their fall for the second straight session today, dragged by banks, financials, metals, consumer and energy stocks.
ALSO READ: Vedanta Resources’ Anil Agarwal says there has been no default ever in debt repayment
