The stock of adani Energy Solutions, the power generation and distribution company of adani Group, can give bumper returns to investors. Brokerage house ICICI Securities has advised investors to buy the stock of adani Energy Solutions. In its coverage report on the stock of adani Energy Solutions, Equity Research of ICICI Securities has advised investors to buy the stock for a target of 30 percent jump. The brokerage house has given a target of Rs 1318. And after the release of this report, the stock closed at Rs 1040 with a jump of 3.02 percent in the trading session of Tuesday, october 1.
adani Energy Solutions is the country's largest power transmission company running the largest discom. Also, the company has entered the field of smart meters and has become the second largest smart meter company. adani Energy Solutions entered this field with full force by acquiring mumbai Discom business. In the financial year 2019-20, the company sold 25 percent of Mumbai's distribution business to QIA. In the financial year 2022-23, the company entered the smart meter business and in the same financial year, Abu-Dhabi based IHC invested Rs 39 billion in the company.
ICICI Securities said in its report, india is going to invite bids for new transmission assets worth Rs 1.6 lakh crore, which can bring a big opportunity for adani Energy Solutions. Also, smart meter bidding of Rs 1.2 lakh crore is going to take place in the next 12 to 18 months. In such a situation, strong growth opportunities are seen for the company in the unregulated business.
Before the release of the Hindenburg Research report in january 2023, the stock of adani Energy Solutions has made a high of Rs 4236. The stock has declined by nearly 70 per cent in 2 years. However, in 5 years, the stock has also given a multibagger return of 363 per cent to the investors.
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