Adani Enterprises, Adani Ports, other group stocks rally up to 6%

Adani Enterprises stock surged over 5 percent after Cantor Fitzgerald initiated coverage on the stock with an 'Overweight' rating.

Shares of all Adani Group firms jumped up to nearly 6 percent in the morning on January 29 as multiple factors, including talks of fund raising,  lifted the stocks, led by flagship Adani Enterprises.

Adani Enterprises surged more than 5 percent to hit an intraday high of Rs 3,050 on the National Stock Exchange after Cantor Fitzgerald initiated coverage on the stock with an "overweight" call.

According to the international brokerage firm, Adani Enterprises is at the core of everything India needs, so it can achieve the economic growth it is envisioning.

This makes "AEL a unique long-term investment opportunity. We believe Risk/ Reward is attractive at current levels," it said. It has a target price of Rs 4,368 for Adani Enterprises.

Adani has taken actions to reduce liquidity risk, improve governance and increase transparency, according to Cantor, which further said that Adani is "too big to ignore" as the country needs Adani as much as Adani needs the country.

Adani Enterprises is nearing the pre-Hindenburg research report levels. It was almost a year ago that the American short-seller's report accusing the group of stock manipulations and other wrongdoings led to a rout in the group stocks, many of which are yet to fully recover from  the blow.

Ten Adani stocks trade on exchnages.

Shares of Adani Energy Solutions jumped over 5 percent after the company incorporated wholly-owned subsidiary Adani Energy Solutions Step-Twelve Limited (AESSTL).

Adani Power jumped over 3 percent after AdaniConnex (ACX), a 50:50 joint venture of Adani Group and EdgeConneX, signed a contract with Adani Power to acquire a 100 percent equity stake in two wholly owned subsidiaries of the company.

Adani Ports was up around 4 percent on morning deals. The company is slated to announce its Q3 results on February 1. Shares of Adani Green Energy, Adani Total Gas, and Adani Wilmar also jumped over 3 percent.

Other Adani Group firms including ACC, Ambuja Cement and NDTV were also trading with gains of over 2 percent.

Also Read | Adani Energy Solutions rallies 5% on incorporating subsidiary

The rise in Adani stocks follows a news report that the Gautam Adani-led conglomerate is in talks with global private equity (PE) firms as well as several Indian banks to raise $3 billion over the next few months.