Adani Group: Up 35% from 52-week low, this multibagger stock gets a thumbs up from ICRA

Shares of Adani Power Ltd were trading in the red in the afternoon session on Friday even as the Adani Group firm got a thumbs up from credit rating agency ICRA. Adani Power stock slipped 1% to Rs 582.65 in the current session against the previous close of Rs 587.90.

Market cap of the firm fell to Rs 2.24 lakh crore. A total of 2.31 lakh shares of the Adani Group firm changed hands amounting to a turnover of Rs 13.51 crore on BSE.

In terms of technicals, the Adani Group stock is trading neither in the oversold nor in the overbought zone, signals the relative strength index (RSI) of Adani Power, which stands at 61.4. The stock has risen 35% from its 52 week low of Rs 430.85. It clocked multibagger returns of 136%in two years and gained  1524% in five years. , 

Adani Power stock is trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages. 

"This is to inform that ICRA Limited has assigned [ICRA] AA (Stable) credit rating to additional term loan facilities and [ICRA] AA (Stable) / A1+ credit rating to additional working capital and bank guarantee facilities of Adani Power Limited (“APL”), which were combined with the existing bank facilities of APL upon amalgamation of its erstwhile wholly owned subsidiary Adani Power (Jharkhand) Limited (“APJL”). The rating agency has also reaffirmed the AA/Stable rating assigned to APL’s existing bank facilities and proposed Non-Convertible Debentures," said Ithe credit rating agency.

Adani Power said the rating reflects APL’s diversified power generation portfolio having high cash flow visibility, supported by long-term power purchase agreements, and healthy operating efficiencies. 

It also factors in an increase in APL’s earnings and comfortable credit metrics supported by calibrated capacity additions planned over the next five years.