Adani Green Energy Ltd (AGEL) saw its stock surge by 7.19%, hitting a day high of ₹1,080, before settling at ₹1,037.10, up 2.93% in intraday trading. Despite today’s rally, the stock has declined 38.73% over the past year.
Operational Updates
AGEL announced a significant expansion in its operational capacity, which grew by 37% YoY to reach 11,609 MW. This includes greenfield additions of 2,693 MW in solar and 438 MW in wind power plants.
The company reported a 23% YoY increase in energy sales during the first nine months of FY25, delivering 20,108 million units. Over the past four years, AGEL’s energy generation has grown at a CAGR of 49%, supported by a rising share of merchant power.
New Project Commissioning
AGEL also disclosed the commissioning of a 57.2 MW wind power component of its hybrid wind-solar project at Khavda, Gujarat. With this addition, AGEL’s total operational renewable energy capacity now stands at 11,666.1 MW.
Stock-Specific Performance
The stock exhibited high trading activity on the BSE, with 8.38 lakh shares traded, significantly above the two-week average of 4.16 lakh shares. The day’s turnover was ₹87.86 crore, giving AGEL a market capitalization of ₹1,64,533.45 crore.
In terms of technical indicators, the stock traded above its 5-day, 10-day, and 20-day SMAs, but remained below its 30-day, 50-day, 100-day, 150-day, and 200-day SMAs. The 14-day RSI stood at 46.16, indicating neutral momentum.
Adani Green Market Insights
AGEL’s rise comes amid speculation about potential overseas fundraising by the Adani Group, as noted by Anshul Jain of Lakshmishree Investment. However, market experts have highlighted the high-beta nature of Adani stocks, suggesting elevated volatility.
Kranthi Bathini (Equity Strategy Director) at WealthMills Securities, observed, “The broad-based recovery in the market is reflected in Adani stocks. However, these stocks tend to exhibit higher volatility due to their beta nature.”
Valuation Metrics
AGEL’s valuation metrics remain challenging. The stock has a negative P/E ratio of 2216.66 and a P/B value of 21.08. The EPS stands at (-)₹0.45, while the RoE is (-)0.95%.
As of December 2024, promoters held 60.94% of the company’s stake, according to BSE data.
Conclusion
While AGEL has showcased strong operational growth, its stock performance remains volatile, influenced by speculative market sentiments and broader recovery trends. Investors should weigh the company’s growth potential against its valuation metrics and the high-beta nature of its shares.
