Company Snapshots

• Adani Power Limited, a subsidiary of the Adani Group.
• Adani Power Limited, is the leading private thermal power producer in India with a vast capacity spread across multiple states.
• It is India’s largest private thermal power producer with a current capacity of 15210 MW at its 8 power plants.
•  The company established the world’s first coal-based Supercritical thermal power project under the Kyoto protocol.

Market Position

• Company accounted for 6% of India’s total power generation from thermal power plants.
• 16% of all the power generated by private sector thermal power plants as of FY23.
• 81% of the Co’s gross capacity has been secured by long-term and Medium term power power purchase agreements

Revenue Breakup

• Power Generation: 98%
• Trading, Investment and others: 2%

Fundamental Analysis

Key Ratios

Market Cap	₹ 2,61,308 Cr.
Current Price	₹ 678
High/Low	₹ 897 / 274
Stock PE	16.4
Industry PE	35.1
ROCE	32.20%
ROE	57.10%
PEG Ratio	0.18
Debt To Equity	0.80

Financial Trend

Revenue: 5  Year Comparison

• 2020: 26,468 crore
• 2024: 50,351 crore
• 5 Year Percentage change: 90.26 %

Net Profit: 5 Year Comparison

• 2020: -2,275 crore
• 2024: 20,829 crore
• 5 Year Percentage change: 1015.54 %

Shareholding Pattern

Change in Shareholding Pattern

	Mar-23	Jun-24	1 Year Change
Promoters	74.97%	72.71%	-2.26%
FIIs	11.70%	14.73%	3.03%
DIIs	0.01%	1.42%	1.41%
Public	13.32%	11.14%	-2.18%

Stock Price Returns

1 Year Stock Returns

• Adani Power Limited has given 1 Year returns of 141 %
• 1 Lakh invested in August 2023 would have become 2.41 Lakhs in August 2024

5 Year Stock Returns

11x returns in 5 years

• Adani Power Limited has given 5 Year returns of 1064.70 %
• 1 Lakh invested in August 2020 would have become 11.64 Lakhs in August 2024

Company Valuation

• Current PE- 16.4
  
• Median PE- 14.7
  
• Company is Fairly Valued: As the Median PE & the can say that Adani Power is fairly valued company.

Should you Invest ?

• Adani Power being the part of Adani Group, is the India’s largest private thermal power power plant.
• Company has reduced its debt significantly & debt to equity ratio is standing at 0.80
• Adani Power has strong fundamentals when it comes to Revenue Growth & Net Profit Growth.
• In fact 5 year Net Profit Growth stands at 1015.54 % which is really massive growth
• In the same period of 5 years (2020-2024) company’s stock price has given 11x returns to their investors.
• After the Hindenberg Report claiming the irregularities in the internal company but since then company has performed very well.
• At this current market price of Rs. 678, one can start fresh investment but only in terms of the long term
• As the Market Cap stands at 2.61 lakh crore, this company can grow at a gradual pace because of the Large cap of the company.

Check Out this- How Adani Green turned 1 lakh into 37 lakh ?

Disclaimer

• Money Minded School is not a SEBI registered investment advisor, Please do your own research before investing
• This article is a complete guide about Adani Power Ltd.
• These information and forecasts are based on our analysis, research, company fundamentals and history, experiences, and various technical analyses.
• Also, We have talked in detail about the share’s future prospects and growth potential.
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