Shares of Adani Green tanked 9.61 per cent today to hit their 52-week low level of Rs 1,073.60 against a previous close of Rs 1,187.70. The stock stood slightly above its lower circuit (10 per cent) of Rs 1,068.95. At today's low-price level of Rs 1,073.60, the scrip has lost 45.65 per cent in six consecutive sessions. The counter, however, recovered from today's low level in afternoon deals.
Around 3.19 lakh shares changed hands today, which was higher than the company's two-week average volume of 2.12 lakh shares. Turnover on the counter came at Rs 35.97 crore, commanding a market capitalisation (m-cap) of Rs 1,83,628.97 crore. There were 27,871 buy orders on BSE against sell orders of 23,158 shares.
Technical analysts largely felt the counter looked 'oversold' and suggested a sell-on-rise strategy.
"Adani Green looks very oversold on the daily charts. Investors should buy only on a close above Rs 1,190 level for targets of Rs 1,599-1,800," said AR Ramachandran from Tips2trades. Support on the counter would be seen at Rs 1,080, he added.
A sell-on-rise strategy is recommended in Adani Green, said Mahesh Prakot, Technical Research Analyst, Bonanza Portfolio. On the downside, the counter may find support around Rs 1,300, while upside resistance is intact at Rs 1,800, Prakot mentioned.
"On the weekly chart, major support stood at the Rs 930-950 zone. Investors can wait for some more consolidation to happen at this level. So one should avoid this stock at the current level for a fresh buy," said Ganesh Dongre - Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers.
The stock was last seen trading lower than 5-day, 20-, 50-, 100- and 200-day moving averages. The counter's 14-day relative strength index (RSI) came at 18.65. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company's stock has a negative price-to-equity (P/E) ratio of 1206.
Adani Green has an average target price of Rs 3,581, Trendlyne data showed, suggesting a potential upside of 214.26 per cent. The scrip has a one-year beta of 1.11, indicating high volatility.
Adani Green Energy was listed in June 2018 after the company was demerged from the group's flagship Adani Enterprises. The Ahmedabad-headquartered company is an Indian renewable energy company that operates Kamuthi Solar Power Project. The company manages 5,290 MW of wind energy and solar power plants including 46 operational projects in 11 states of India.
The company board of Adani Green Energy would meet on February 7, 2023, to consider and approve the results for the period that ended on December 31, 2022. Earlier in January, Adani Green acquired 50 per cent equity in Essel Saurya Urja Company of Rajasthan (ESUCRL) for Rs 15 crore, while the remaining 50 per cent stayed with the state government.
Meanwhile, Indian equity benchmarks extended their fall in today's trade, dragged by financial and technology stocks.
Also read: FTSE Russell says monitoring Adani report, group stocks stay eligible
Also read: Adani Transmission rebounds 18% from 52-wk low, Adani Ports recovers 6%
Copyright©2023 Living Media India Limited. For reprint rights: Syndications Today