Adani Green’s Share Price Climbs As Jefferies Puts Spotlight On This Huge

Shares of Adani Green were gaining on Monday after the company received a bullish call from global brokerage Jefferies, which underlined one of the group’s big projects as one to keep an eye on.

What Happened: Jefferies initiated its coverage on Adani Green Energy with a “buy” recommendation, predicting strong industry growth will enhance the company’s prospects, setting a price target of ₹2,130 per share, which equates to an 18% increase from its last closing price.

Jefferies highlighted the Khavda 30-gigawatt project as a game changer for Adani Green, which, earlier this year, began operating the 551-megawatt solar capacity at the plant to supply power to the national grid.

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Adani Green plans to develop 30 gigawatts of renewable energy capacity at this site, with completion expected in the next five years, making it the largest renewable energy installation globally.

Jefferies also noted that Adani Green’s balance sheet leverage is expected to decrease to 2.8 times by 2030 from the current 6.4 times, thanks to prudent capital management. The company’s management is focused on profitable growth and achieving healthy internal rates of return during project bidding.

The company’s growth in revenue, EBITDA, and cash profit in the first quarter of FY25 was primarily driven by adding 2,618 megawatts of capacity over the past year. The company’s operational capacity went up 31% year-on-year to 10,934 megawatts in the first quarter.

Price Action: Adani Green’s share price was up 1.29% at ₹1,827.05 in morning trade on Monday. The stock has gained 14.3% so far this year.

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