Is Adani Overcoming His Losses? Adani Group Companies Rose In Morning Trade

Amid the Hindenburg Research Adani Enterprises are continuously facing losses, this morning a ray of hope can be seen that Adani Enterprise will able to cut off their losses.

Shares of most of the Adani group companies rose in the morning trade on Wednesday, with flagship Adani Enterprises gaining nearly 3 per cent. As many as six Adani group firms were trading in the positive territory, while four were in the red.

On the BSE, the scrip of Adani Enterprises jumped 2.84 per cent to Rs 1,800 apiece, with a market capitalization of Rs 2.05 lakh crore. Shares of Adani Wilmar soared 3.33 per cent to Rs 406.70, Ambuja Cements surged 2.35 per cent to Rs 344.55 and NDTV increased 2.31 per cent to Rs 192.70. Adani Ports and Special Economic Zone went up 0.92 per cent to Rs 570.30 and ACC rose 0.64 per cent to Rs 1,842.65 per scrip on the exchange. However, some of the group firms also touched their lower price bands.

The stock of Adani Power slumped to Rs 140.90, Adani Transmission to Rs 1,017.05, Adani Green Energy to Rs 620.75 and Adani Total Gas to Rs 1,078.85. Scrips of these companies fell 5 per cent each. Meanwhile, the 30-share BSE Sensex was trading 10.74 points or 0.02 per cent lower at 61,021.52 points in the morning session. On Monday, Adani Enterprises Ltd (AEL) reported a jump in its profit which stood at Rs 820.06 crore in the third quarter of the current fiscal, as compared to a loss of Rs 11.63 crore in the year-ago period. Its revenue also surged 42 per cent to Rs 26,612.33 crore.

Also read: Equity Market Opens On Negative Note; Sensex Slides 225 Points

Though strong results from AEL did provide a knee-jerk reaction to the flagship company’s stock, it failed to trickle down to other stocks of the group. The market cap of Adani group companies fell 2.1 per cent on February 14, even as 7 out of 10 conglomerate companies ended in the negative territory. The conglomerate’s stocks have lost around Rs 10.4 lakh crore or about 54 per cent of their combined market cap since January 24, when the US-based activist short-seller Hindenburg Research through its adverse report made a litany of allegations, including fraudulent transactions and share price manipulation at the Gautam Adani-led group.