Adani Enterprises shares continue to surge, up 45% in 3 straight sessions
Adani Enterprises share price: The counter's 14-day relative strength index (RSI) came at 82.72. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company's stock has a price-to-equity (P/E) ratio of 163.37. It has a price-to-book (P/B) value of 19.03.
- May 23, 2023,
- Updated May 23, 2023 2:43 PM IST
Shares of Adani Group's flagship firm Adani Enterprises continued to surge for the third consecutive session in Tuesday's trade. The stock soared 17.66 per cent to hit a day high of Rs 2,736.15 over its previous close of Rs 2,325.55. At today's high price, the scrip has gained 44.92 per cent in three days. The sharp movement in the share price came after it was reported that the Indian conglomerate may consider monetising select real estate assets. Investor sentiments also got a boost after markets regulator Sebi drew a blank in investigations into suspected violations in overseas investments in the Adani Group. Also, a Supreme Court-appointed panel said it found no regulatory failure related to price manipulation in the conglomerate's stocks and violation of minimum public shareholding rules.
A total of 9.60 lakh shares changed hands today on BSE, which was higher than the two-week average volume of 5.98 lakh shares. Turnover on the counter stood at Rs 250.89 crore, commanding a market capitalisation (m-cap) of Rs 3,01,017.30 crore. There were 1,15,526 sell orders today against buy orders of 76,264 shares.
That said, the counter has declined 31.24 per cent on a year-to-date (YTD) basis. Adani Group shares saw a massive market value erosion since January 24 this year, when US-based short seller Hindenburg Research released a report alleging stock manipulation and accounting fraud by the Gautam Adani-led conglomerate. The report led to over $140 billion in value erosion in the listed Adani companies earlier this year. Adani, however, denied all the claims.
On the technical front, Adani Enterprises was last seen trading higher than the 5-day, 20-, 50- and 100-day moving averages but lower than the 200-day moving averages. The counter's 14-day relative strength index (RSI) came at 82.72. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company's stock has a price-to-equity (P/E) ratio of 163.37. It has a price-to-book (P/B) value of 19.03.
The stock has a one-year beta of 2.01, indicating high volatility.
"Adani Enterprises is bullish but also very overbought with strong resistance at Rs 2,665 on the daily charts. A daily close above this level could lead to a target of Rs 3,037 in the near term. Support will be at Rs 2,326," said AR Ramachandran from Tips2trades.
"In the near term, we can see the targets between Rs 3,000 and Rs 3,800 while keeping a strict stop loss placed at Rs 1,480," said VLA Ambala, Research Analyst at Stock Market Today.
Meanwhile, Indian equity benchmarks traded higher in today's deals, extending their gains for the third straight day. The domestic indices traded higher led by gains in metals and energy stocks.
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Shares of Adani Group's flagship firm Adani Enterprises continued to surge for the third consecutive session in Tuesday's trade. The stock soared 17.66 per cent to hit a day high of Rs 2,736.15 over its previous close of Rs 2,325.55. At today's high price, the scrip has gained 44.92 per cent in three days. The sharp movement in the share price came after it was reported that the Indian conglomerate may consider monetising select real estate assets. Investor sentiments also got a boost after markets regulator Sebi drew a blank in investigations into suspected violations in overseas investments in the Adani Group. Also, a Supreme Court-appointed panel said it found no regulatory failure related to price manipulation in the conglomerate's stocks and violation of minimum public shareholding rules.
A total of 9.60 lakh shares changed hands today on BSE, which was higher than the two-week average volume of 5.98 lakh shares. Turnover on the counter stood at Rs 250.89 crore, commanding a market capitalisation (m-cap) of Rs 3,01,017.30 crore. There were 1,15,526 sell orders today against buy orders of 76,264 shares.
That said, the counter has declined 31.24 per cent on a year-to-date (YTD) basis. Adani Group shares saw a massive market value erosion since January 24 this year, when US-based short seller Hindenburg Research released a report alleging stock manipulation and accounting fraud by the Gautam Adani-led conglomerate. The report led to over $140 billion in value erosion in the listed Adani companies earlier this year. Adani, however, denied all the claims.
On the technical front, Adani Enterprises was last seen trading higher than the 5-day, 20-, 50- and 100-day moving averages but lower than the 200-day moving averages. The counter's 14-day relative strength index (RSI) came at 82.72. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company's stock has a price-to-equity (P/E) ratio of 163.37. It has a price-to-book (P/B) value of 19.03.
The stock has a one-year beta of 2.01, indicating high volatility.
"Adani Enterprises is bullish but also very overbought with strong resistance at Rs 2,665 on the daily charts. A daily close above this level could lead to a target of Rs 3,037 in the near term. Support will be at Rs 2,326," said AR Ramachandran from Tips2trades.
"In the near term, we can see the targets between Rs 3,000 and Rs 3,800 while keeping a strict stop loss placed at Rs 1,480," said VLA Ambala, Research Analyst at Stock Market Today.
Meanwhile, Indian equity benchmarks traded higher in today's deals, extending their gains for the third straight day. The domestic indices traded higher led by gains in metals and energy stocks.
Also Read: Vedanta shares jump on Rs 6,877 crore dividend announcement. Record date, history & more
Also Read: BPCL shares at Rs 315 or Rs 530? What analysts said post surge in Q4 profit