Big momentum can come in Adani Power Share, bullish till Rs 895 or bearish till Rs 579
Adani Power Ltd. (NSE: ADANIPOWER) saw its share price surge by 3.82% to ₹651.10 as of 04:00 PM IST today, following the release of its impressive Q1 FY2025 financial results. The company reported a 30% increase in consolidated continuing total revenue to ₹15,052 crore, driven by higher sales volumes and lower import fuel prices.
Main Points
Key Highlights of Adani Power’s Q1 FY2025 Results
- Consolidated power sale volume increased by 38% to 24.1 Billion Units (BU) compared to 17.5 BU in Q1 FY2024, due to improved power demand and larger effective operating capacity.
- Consolidated continuing EBITDA grew by 53% to ₹6,290 crore, up from ₹4,121 crore in Q1 FY2024, owing to higher revenues and lower import fuel prices.
- Consolidated continuing Profit Before Tax surged by 95% to ₹4,483 crore, compared to ₹2,303 crore in Q1 FY2024, driven by higher EBITDA and lower finance costs.
S B Khyalia, CEO of Adani Power, commented, “As Adani Power grows from strength to strength, we have undertaken advance development activities to secure execution pipelines for three Ultra-supercritical projects of 1,600 MW each to prepare ourselves for the anticipated resurgence in the thermal power sector.”
Adani Power’s Stock Performance and Valuation
Over the past 6 months, Adani Power’s share price has increased by 14.84%, and in the last one year, it has surged by 82.62%. The company’s current market capitalization stands at ₹2,44,799 crore.As of September 12, 2024, Adani Power’s key metrics are:
- PE Ratio: 15.32
- EPS (TTM): ₹41.44
- PB Ratio: 5.73
- Dividend Yield: 0.00%
- Face Value: ₹10.00
Adani Power’s Strategic Focus and Growth Plans
Adani Power is dedicated to enhancing lives and ensuring India’s energy security by proactively addressing the need for sustainable, affordable, and reliable power, while also being a responsible steward of the environment and surrounding communities. The company’s strategic focus is to derisk its growth plans by utilizing high efficiency, low emission technologies, pooling its deep experience and multi-domain expertise for project development, securing access to fuel resources, and revitalizing the organization to become more agile and competitive in the digitalized world.
Analysts’ Recommendations and Price Targets
Edelweiss Financial Services has a “REDUCE” rating on Adani Power with a target price of ₹31. Another brokerage firm, IIFL, has a “BUY” rating on the stock with a target price of ₹68.
Adani Power’s Recent Corporate Actions
- Adani Power recently announced the completion of its acquisition of Lanco Amarkantak Power Limited for ₹4,101 crore, following NCLT approval.
- The company also stated its commitment to supplying electricity to Bangladesh as per existing agreements.
Disclaimer: The information given in this article is from investment experts and brokerage companies, they do not represent Local Haryana. Before taking any investment related decision, you must consult a certified expert.
