Kotak Institutional Equities has reiterated its buy rating on Adani Ports and Special Economic Zone (APSEZ) while raising the target price to ₹1,900, highlighting the strong pace of value addition across its newly commissioned assets and East Coast acquisitions. The brokerage expects robust growth in the company’s container and transshipment portfolio to drive earnings momentum over the medium term.
Kotak said it anticipates strong volume growth in nearly two-thirds of APSEZ’s port portfolio, including Mundra, East Coast assets, and recently commissioned transshipment terminals. This strength is expected to translate into compounded annual growth rates of 16% and 17% in EBITDA and profit after tax, respectively, over FY2025–28.
At the current market levels, the stock is trading at 14.5 times one-year forward EV/EBITDA, which Kotak considers reasonable given the scale of operations and growth visibility. It added that APSEZ’s well-diversified portfolio and strategic positioning in India’s port sector provide further confidence in its long-term growth trajectory.
Disclaimer: The views and recommendations made in this article are those of Kotak Institutional Equities. This article does not constitute investment advice. Investors should consult their financial advisors before making any investment decisions.
