Jefferies has maintained its Buy rating on Adani Power with a target price of ₹690, indicating a potential upside of 15% from the current market price of ₹598.70. The brokerage cited the company’s strong capacity addition pipeline, comfortable balance sheet, and reduction in risk profile as key positives driving its bullish outlook.
Adani Power is expected to see significant capacity growth over the coming years, with a large portion of the upcoming capacity already backed by long-term, profitable power purchase agreements (PPAs). This visibility into future earnings, Jefferies noted, has materially reduced the company’s risk profile.
Recent payments received from Bangladesh for power supply have also helped ease investor concerns around receivables, further strengthening the balance sheet and liquidity position.
Looking ahead, Jefferies expects Adani Power’s EBITDA to double by FY30, driven by scale, improved tariff realization, and cost efficiencies. The brokerage also highlighted that Adani Power is growing faster than peers like NTPC and sees a potential upside surprise in its FY30 financial targets.
Disclaimer: The views expressed above are those of Jefferies and do not constitute investment advice. This article is for informational purposes only.
