The Adani Group has been in focus ever since the Hindenburg Research report was published in January 2023, triggering a sharp fall in its listed companies’ market valuations. For nearly two years, the group faced regulatory scrutiny, investor concerns, and significant volatility. However, with the Hindenburg case coming to a close, market attention is shifting back to the fundamentals and growth outlook of Adani companies. Analysts now believe select Adani stocks may have potential for meaningful gains, with estimates pointing to an upside of up to 58% in some counters.
This blog explores five Adani Group stocks that could be watched closely by investors in the near term.
1. Adani Enterprises
Adani Enterprises, the flagship company of the group, is often seen as the incubator for new businesses. The company is engaged in segments such as airports, roads, green hydrogen, and data centers. With India’s focus on infrastructure and renewable energy, analysts expect steady earnings growth. Brokerages have highlighted that Adani Enterprises could see further traction as its long-term projects gradually mature. Price targets suggest potential gains in the range of 20–25%.
2. Adani Green Energy
Adani Green has been one of the group’s most closely tracked companies, given India’s rising renewable energy push. The firm has a portfolio of operational and under-construction projects across solar and wind. As India works toward ambitious renewable energy capacity targets for 2030, Adani Green stands to benefit from policy support and demand growth. According to market estimates, the stock may deliver gains of 30–35% from current levels, though volatility is expected due to sector-specific risks like project delays and tariff uncertainties.
3. Adani Ports and SEZ
Adani Ports and Special Economic Zone remains the largest private port operator in India. Its diversified presence across multiple ports and steady cargo volume growth provide visibility on earnings. The company is also expanding into logistics, which adds another revenue driver. Analysts tracking the stock believe it has scope to generate 25–28% upside, supported by higher trade volumes and the government’s continued infrastructure push.
4. Adani Power
Adani Power has benefited from the recovery in demand for electricity and rising capacity utilization. Its long-term power purchase agreements with state utilities provide stable cash flows, while recent additions in generation capacity strengthen its position in the sector. Brokerage assessments indicate that the stock may offer upside potential of 40–45%, with improved profitability as demand for power continues to grow across India. However, risks from regulatory changes and fuel costs remain factors to watch.
5. Adani Total Gas
Adani Total Gas operates in the city gas distribution (CGD) space, which is witnessing steady expansion due to rising adoption of cleaner fuels. With its joint venture with TotalEnergies, the company is strategically positioned to grow in urban and semi-urban markets. Increasing penetration of piped natural gas (PNG) and compressed natural gas (CNG) could provide a strong base for revenue growth. Market projections suggest the stock has scope for up to 55–58% upside, making it one of the more closely tracked counters among the Adani portfolio.
Key Factors Driving the Outlook
Several factors are influencing the renewed investor interest in Adani stocks after the closure of the Hindenburg case:
- Regulatory Clarity: With the case concluded, uncertainties weighing on investor sentiment have eased.
- Infrastructure Growth: Government-led infrastructure projects continue to provide opportunities for Adani Group companies.
- Renewable Energy Transition: The group’s focus on green hydrogen and renewable power aligns with India’s long-term energy transition goals.
- Strategic Partnerships: Collaborations with global players such as TotalEnergies strengthen credibility and operational expertise.
Risks to Consider
While analysts see potential for gains, investors should also remain cautious of certain risks:
- High debt levels across group companies may impact financial flexibility.
- Sectoral risks, including regulatory changes, commodity price swings, and project execution delays.
- Global macroeconomic uncertainties that could influence capital flows into Indian equities.
Conclusion
The end of the Hindenburg case has shifted the narrative for Adani Group companies, allowing investors to refocus on fundamentals and growth prospects. Adani Enterprises, Adani Green, Adani Ports, Adani Power, and Adani Total Gas are among the group firms where analysts foresee upside potential ranging from 20% to 58%. However, as with any investment decision, investors should carefully assess risks and align their choices with their portfolio goals and risk tolerance.
Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.
