Adani Power Share Price Target

Adani Power Share Price Target 2023, 2024, 2025, 2030.

Adani Power Share Price Target 2023, 2024, 2025, 2030

Adani power company overview

Do you know the leader of thermal power generation and multi-bagger return provider company?

Yeah, You are right, it’s Adani power, The giant in Thermal Power Generation.

Namaskar to all Investors and traders,

Welcome to Maya Shares.

In today’s article, we are going to talk about Adani’s power Share Price Target for 2022,2023, 2024, 2025, and 2030.

Before going to write this article, I went through deep research, I visited many websites, videos, blogs, and Top management interviews but found nothing.

Okay, but don’t worry, I will try my best to open everything for you about Adani power.

Keep Reading,

As you know, Adani Power Limited (APL) is a part of the most prominent and diversified Adani group.

Adani Power set up its first power generation plant in 2006 at Mundra in Gujarat.

It has the capacity to generate 12,450 MW of thermal energy.

The company has established various plants across different states in India.

They are located in Gujarat, Rajasthan, Karnataka, Maharashtra, and Chhattisgarh.

Adani Power also ushered in the solar power generation business and established a 40 MW plant at Mundra, in Gujarat.

Board Of Directors Of Adani Power

Mr. Gautam Adani

According to the Bloomberg billionaires index Once Gautam Adani was the second richest now 4th richest person in the world with a net worth of $128.8 billion.

Mr. Gautam Adani, the chairman of the Adani Group is an Indian billionaire.

He has more than 33 years of business experience.

It is his business experience that made his company progress beyond the sky.

Rajesh Adani

(Director)

Rajesh Adani, director of Adani Power has been associated with the Adani group since its inception.

He takes care of all the operational activities of the group.

he is also developing a business relationship with the Adani group.

His vision, approach, and expertise experience help a lot in the growth of the Adani group.

Anil Sardana

Managing director

Anil Sardana has over 3 decades of experience in power generation and infrastructure development.

He has worked with the Tata group. He was MD and CEO of the Tata Power group of the Mumbai unit.

Anil Sardana is an honors graduate in Electrical engineering from Delhi University.

Adani power- Financial Overview Vs Tata Power Financial Overview.

Adani power- Financial Overview Vs Tata Power Financial Overview.

Adani PowerOverview
Market cap 1,30,055 CR
Number of shares385.69 CR
Current market price337
52 Week High432.50
52 Week Low93.60
P/E13.8
Industry P/E30.4
EPS24.4%
P/B 8.14
ROE9.25%
ROCE11.26%
debt-to-equity12.6
Promoters holding74%
Dividend Yield0%

Adani Power share Price History | Adani Power share price From 2009 to 2023.

Adani Power Share Price Target 2023, 2024, 2025, 2030.

YearOpen PriceHigh PriceLow PriceClose PriceSpread High-LowSpread Close-OpenChange %
2009105107.990.2599.117.65-5.9-5.6%
201099.75144.5597130.147.5530.3530.4%
2011131131.8559.462.372.45-68.7-52.4%
20126296.736.861.759.9-0.3-0.5%
201361.968.429.453938.95-22.9-37.0%
201439.568.531.944.3536.64.8512.3%
201544.56019.6529.7540.35-14.75-33.1%
201632.2536.122.4530.113.65-2.15-6.7%
201730.3546.325.941.6520.411.337.2%
20184258.215.250.9438.921.2%
201950.873.7533.3561.840.41121.7%
202061.665.9524.349.741.65-11.9-19.3%
202150.1167.0548.499.75118.6549.6599.1%
2022100.05432.898356.15334.8256.1256.0%

Key highlights to understand the historical data of Adani’s power.

Adani Power Share Price Target 2023, 2024, 2025, 2030

  • In the above table, I have shown the data from 2009 to 2022.
  • The above table has seven columns and 15 rows
  • In the second column, you can see the open price. This is the yearly open price of the stock
  • According to 2009 data, the open price of Adani stock was 105 and as you can see in the fifth column its closed price was 99.1 rupees.
  • The sixth column describes the spread of high and low. In 2009 the stock spread between high and low was 17 rupees 65 paise.
  • It means the stock had a volatility of 17.65 in the whole year of 2009.
  • In the last column, you can see the percentage growth or fall of the stock. In 2009 stock did not do well and closed 5.6% down from its opening price.
  • In 2018, the Stock touched its all-time lowest price of 15.2

Did you notice some more key things in this historical price –

✓ in 2021, the stock was trading at 50% lower than the opening price and closing price of 2009.

✓ It means the stock has given a negative return of -50% from 2009 to 2021.

✓ The stock’s opening price in 2022 was almost the same as in 2009.

✓ the closing price of Adani power on October 10 is 356.15, which is almost 256% up from its opening price in 2022 and 2009.

✓ Historical data of Adani power tells us that the stock has given its maximum return in 2022.

Now, we will analyze quarterly of Adani power results to predict its share price target for 2023 and 2025.

Adani Power Share Price Target 2023.

Adani Power Share Price Target 2023, 2024, 2025, 2030

adani power quarterly analysis

As you can looking in the picture, quarter-on-quarter sales are Growing.

In the above picture, the last year’s quarterly sales Jetta has been given.

Important highlights –

  • Quarter-on-quarter (QOQ) sales of Adani power are increasing.
  • In the March 2022 quarter company reported 98% more sales than the previous quarter.
  • We observed that Adani Power has reported 109% more sales than in the same quarter of the previous year.
  • The company is growing its sales by an average of 29% quarter on quarter from March 2020 to June 2022.
  • The company has an excellent operating profit margin.
  • Its peer competitor Tata Power has an operating profit margin of 14% for June 2021 to June 2022, and Adani power has a profit margin of 34%.
  • Tata Power has grown its sales by 7.33% while Adani power has grown its sales by 22.5% for the same quarter.
  • The average EBITDA margin, from June 2021 to June 2022 is 22%, it’s a good number one may consider.

Investor Insight

  1. Sales are increasing but we could not find consistency in the sales.
  2. The company is suffering from bumps and dumps in sales.
  3. Look at the graph given below, and observe the sales of Adani power for the given period of 2 years.
  4. Are you getting any consistency in the sales? What patterns of growth do you observe?
adani power quarterly sales analysis.webp
EBITDA Margin Of Adani Power.

EBITDA MARGIN OF ADANI POWR AND TATA POWER

In spite of having high fluctuation in sale company is maintaining a healthy EBITDA Margin.

In the above graph, you can compare the EBITDA margin of Tata Power and Adani power.

From June 2020 to June 2022, Adani power maintained a better margin than Tata Power.

It is nothing but the earnings of the company before interest tax depreciation and amortization.

Where ever is the question of its share price target in 2023,

It will trade in the range of 300 to 500.

300 will be the strong support for the stock, and 400 and 450 will be the upside level.

It may face strong resistance or selling pressure at 500.

Adani Power share price target | Adani Power target price | Adani Power shares Target | Adani Power Share Price Target Long Term

Adani Power Share Price Target 2024

Before going to analyze the share price target for 2024 let’s focus on some key highlights…

  • in the last 5 years sales is increased by 23% from 2018 to 2022, but the price is increased by almost 1500%. It’s almost unrealistic growth.
  • It shows the strength of the power sector but never buys the overvalued stock.
  • Adani Power is paying an average of 80% of its operating profit as interest expense, so the company has leveraged a lot to face the competition.
  • The average operating profit of Adani power for the last 5 years is 13%, Tata Power also shows a similar but quite more operating profit of 15% from the last 5 years.
  • Adani Power Is paying an average of 12% of its gross profit as depreciation expense, This number stands below 9% for Tata Power.
  • The company has earned nothing in the last 5 years in comparison to its sales.
  • Since the stock has already given almost 400% of return in the last 1 year then there are fewer chances of the stock to provide another big move.
  • Stock may touch the level of 550 by 2024.
  • 500 will act as strong support for the stock.

Adani shares Price Target 2025.

Adani shares Price Target 2025.

No one can deny that with the largest population India will be the top consumption center in the world.

This will directly work in favor of Adani’s power share Price Target.

According to the chairman of Adani power, if there is any time to bet on India it is now.

In upcoming years India will emerge as a manufacturing, service, and consumer hub.

The company is more focused on optimizing its capital utilization.

It is redesigning its organizational structure to reduce the risk of business.

Very strategically, Adani group is bringing equity partners to invest in the group.

The total investment made by them was USD 1.6 billion during the year.

This will help the group to grow better in the future.

Adani Power Share Price Target 2030.

Adani Power Share Price Target 2030.

The balance sheet is the key to analyzing the financial health of the company.

Therefore it is essential to analyze the balance sheet of Adani power in greater detail.

A sound balance sheet gives stability to the company.

An important point to notice in the balance sheet of Adani power.

⛔ Adani power has increased its share capital by 36% from 2013 to 2022. This resulted in an increasing number of traded shares and a decrease in earnings per share.

⛔ Very shockingly, the company has maintained negative reserves from 2017 to 2022. It’s really a very bad sign for the company.

⛔ Adani Power is carrying very heavy debt on its balance sheet. At present, it is 48,444 crore. It’s very high in comparison to it’s it equity.

⛔ According to screener data the debt-to-equity ratio of Adani power is 12.6. It means Adani power is carrying 12.6 times more debt on its balance sheet in comparison to its equity or net worth.

⛔ fixed assets of Adani power are almost 70% of its total assets. According to the annual report of March 2022 Adani power has 53,274 crores of assets as fixed assets.

Which is better Tata Power or Adani Power?

The two companies investors are greatly confused about investing in Adani Power and Tata Power.

But don’t worry,

This might help you in making your confusion disappear forever.

Adani Power Tata Power
Adani Power has a market cap of 128185.37 crores.
Adani Power is four times larger than Tata Power.
Whereas Tata Power has a market cap of 70505.17 crores.
Adani Power has not paid any dividends to the shareholders.Tata Power is paying dividends to shareholders.
It has a dividend yield of .79%.
According to June 2022 quarterly result, Adani Power has sales of 13723 crores.For the same quarter, Tata Power has sales of 14495 crores.
In spite of having a four times lower market cap, the sales of both companies are almost the same.
Adani Power has a good return on capital employed (ROCE) of 20.68%.
Here, Adani’s power leads the race.
while Tata Power has return on capital employed is only 9.3%.
Promoters of Adani power have pledged its 25.33% share.
while promoters of Tata Power have pledged only 1.40% of their stack.
When there is a question of promotors pledging share, less always means more.
Adani Power has a free cash flow ratio of 28.31.

While Tata Power has a free cash flow ratio of 352.27.
Here Tata power leads the game by generating more free cash flow.
Adani Power has a book valuation of 36.95Tata Power has a book value ratio of 3.14.
It means on a valuation point of view Tata Power is cheaper than Adani power.

Future Of the Power Sector

India is the third largest producer and consumer of electricity in the world.

India has installed a Power capacity of 404.13 GW. India has a growing population with increasing per capita use the power sector will get a new boost.

The Indian government is also very interested in boosting the sector

The government has allowed 100% FDI in the sector, resulting in total FDI inflow in the power sector reached to US $15.89 billion from 2000 to 2022.

Dindayal Upadhyay Gram Jyoti Yojana and integrated power development scheme will increase electrification in India.

These all activities will further boost the sales and earning capacity of Adani power.

its result will be displayed in the portfolio of every investor who has invested in the stock at right time.

Conclusion- I have thoroughly analyzed the Adani Power Share Price Target on a fundamental and technical basis.

From a valuation point of view, Adani power looks more overvalued than Tata Power.

Since the stock has already given a bigger move then there is very less possibility for another big move.

And there are very high chances that your capital will be blocked for a shorter period of time.

Day by day evolving power sector will further boost the Indian economy.

Companies that are involved in the power generation and distribution business will be directly benefited.

After touching its all-time high of 432.5, the stock has retraced by 110 points which is almost 27% of its all-time high.

technical analysis of adani power

Here, they are good chances that stock will bounce back again and may touch the 370 level in the near month.

Whatever will be the case we will update you on regular basis.

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FAQ- Adani Power Share Price Target

Adani power is one of the multi-bagger stocks in 2022. The stock has given 256% of return In the single year of 2022.

From a valuation point of view and stability in income, Tata Power looks better than Adani power.

No Adani power is not a debt-free company. At present, it is 48,444 crore. It’s very high in comparison to it’s its equity.

Adani Power is involved in the business of power generation, and it is the leader in thermal power generation.

Adani Power has never given any dividends to the shareholder. While its peer competitor Tata Power is paying dividends on regular basis.

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