Sebi’s clean chit to Gautam Adani and group companies triggered a wave of buying that sent shares soaring to their best day in four months on September 19. All group stocks rallied to add $8.5 billion to the total market capitalisation, taking it past $158 billion, which is still below the high of $235 billion seen on the eve of Hindenburg’s report, released in January 2023.
For a conglomerate that has been under a dark cloud since Hindenburg Research dropped its explosive short-seller note in early 2023, the verdict comes as a relief. Market experts said the ruling not only eases domestic regulatory anxieties, kindling hopes of a broader re-rating notwithstanding pending verdicts around other allegations both by Sebi and US SEC.
The Sebi orders issued on September pertain only to allegations around related party transactions. Sebi verdict around violation or Minimum Public Shareholding in certain group companies and FPI ownership is still pending.
Sebi's clean chit lifts mood
Shares of Adani Enterprises, Adani Power, Adani Green Energy, Adani Total Gas, Adani Ports, and AWL Agri Business ended up to 8 percent higher at close, on September 19. Yet the journey since the Hindenburg saga has been anything but smooth. While most of the group’s listed firms remain deep in the red, with losses of up to 84 percent from their peaks, a couple of outliers, notably Adani Ports and Adani Power have staged a remarkable rebound, chalking up gains of more than 130 percent.
For Aishvarya Dadheech of Fident Asset Management, the clean chit is more than symbolic. He noted that this is the second time Sebi has offered a prima facie clearance, underscoring how each regulatory hurdle crossed adds to investor confidence. According to him, Adani stocks had been underperforming in recent weeks despite an improving broader market; this verdict gave them the momentum to catch up, and he expects the gains to sustain.
Vinit Bolinjkar of Ventura Securities echoed that sentiment, stressing that after three years of scrutiny, Sebi’s orders strengthen confidence and also prepare the ground for additional regulatory clearances both locally and abroad.
Retail investors, mutual funds hold the fort
The tide, however, seems to be turning in the markets. Sebi’s clean chit, combined with the group’s record-high operating performance in the first quarter of FY26, has prompted brokerages to revise their stance.
Bloomberg data showed Adani Enterprises now enjoys 3 “buy” calls, up from just 1 at the end of March 2023. Adani Power’s tally has also risen from 1 to 5, Adani Total Gas from 0 to 1, Adani Green from 0 to 6, Adani Energy from 1 to 8, and Ambuja Cements from 27 to 36.
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One factor that has helped sentiment in the stock is the rising willingness among domestic mutual funds to buy the stock. While foreign institutional investors steadily pared exposure between December 2022 and June 2025, local funds and retail participants filled the gap.
Brokerages are also beginning to call out opportunities. Ventura’s Bolinjkar was bullish on Adani Green Energy, Adani Enterprises and Adani Total Gas as long-term plays, projecting 20–25 percent upside. He was especially positive on Adani Green’s plan to ramp capacity from 15 GW to 50 GW over five years, and pointed to Adani Enterprises’ role as an incubator for growth businesses in defence, airports and new age hydrogen.
Meanwhile, Morgan Stanley initiated coverage on Adani Power with an “overweight” rating and a target of Rs 818, seeing 30 percent upside, citing a successful corporate turnaround. Motilal Oswal added its weight behind Adani Ports, setting a Rs 1,700 target, nearly 20 percent higher on expectations of a robust CAGR in revenue, EBITDA and profit through FY25–27.
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