Bernstein Report Compares The Situation Of Adani Group During The Two Crisis Moments

The Adani Group has shown remarkable resilience and financial stability, according to a Bernstein report. After the challenges of the Hindenburg allegations in January 2023, the Group has made substantial improvements across key metrics, including share pledges, leverage, debt repayment, and valuations. A significant transformation has occurred in share pledging practices, with dramatic reductions across Adani companies. Adani Power’s pledge dropped from 25% to just 1%, while Adani Ports eliminated its pledges entirely. Promoter holdings have also increased, demonstrating the Group’s commitment to long-term stability. Debt management has improved as well. Although Adani Green faced significant debt maturities in 2024, including a $750 million bond, robust cash flows have made refinancing more manageable. The Group’s leverage has decreased significantly from 3.8x during the Hindenburg crisis to under 2.5x now, signalling improved financial discipline. On valuations, Bernstein is bullish on Adani Ports, citing its undervaluation compared to peers like JSW Infra and Concor.