Adani Power share price: Targets by Bernstein, Morgan Stanley & Cantor Fitzgerald post Q1 results

Adani Power Ltd has received 'Overweight' or 'Outperform' ratings from three global brokerages following its June quarter results. Morgan Stanley suggested an 'Overweight/In-line' recommendation on the stock with a target of Rs 275 apiece. Cantor Fitzgerald gave an 'Overweight' rating on the stock with target of Rs 266. Bernstein has the lowest target among the three, still at Rs 220, with an 'Outperform' stance, Bloomberg data compiled by Business Today suggested.   The targets suggest nil to 25 per cent upside on the counter over Thursday's pre-market price of Rs 219.95 apiece.     

The consensus target based on nine analyst estimates stands at Rs 247.67 apiece, hinting at a potential 14.2 per ecnt upside for the Adani group stock.

"Gross generation stood at 31BU (up 21 per cent YoY) driven by improved PLF at 78 per cent (versus 67 epr cent YoY). Power sales under PPAs grew 30.3 per cent to 24.5BU, while tariff realisation improved to Rs 5.95/kWh (up 8.5 per cent YoY). Merchant and short-term realisation improved 13.1 per cent to Rs 7.04/kWh due to stronger demand. We maintain BUY with an unchanged SotP-based target of Rs 253 based on 18 times September 2028E EV/Ebitda , subject to review post-conference call tomorrow," JM Financial, a domestic brokerage.

Adani Power had on Wednesday reported 47.2 per cent YoY rise in consolidated profit after tax at Rs 4,867 crore for the June quarter compared with Rs 3,305 crore in the year-ago quarter, due to tight control over finance costs despite growth in operations and ongoing capital expenditure programme.

Adani Power said its consolidated continuing total revenue for the quarter rose 26.6 per cent to Rs 17,936 crore against Rs 14,167 crore in Q1 FY26, in line with volume growth and power selling rates.

The consolidated power sale volume jumped 16.9 per cent at 28.8 BU in Q1 against 24.6 BU in the year-ago quarter, on back of higher operating capacity and strong power demand growth.

Adani Power's Ebitda for the quarter grew 21.6 per cent to Rs 6,983 crore against Rs 5,744 crore in the year-ago quarter. Adani Power said this was highest ever quarterly performance for the company. Adani Power said it made one-time net recognition of revenues pertaining to prior periods of Rs 1,386.34 Crore in the quarter, primarily due to revision in historic energy charges under certain PPAs, as compared to Rs 406.21 crore in Q1FY26.

Meanwhile, the quarter saw Adani Power's acquisition of power assets of Jaiprakash Associates under Corporate Insolvency Resolution Process, comprising 180 MW Churk power plant, 24 per cent stake in Jaiprakash Power Ventures Limited, and 11.49 per cent stake in Prayagraj Power Generation Company Limited.

CEO S B Khyalia said: "APL has consolidated firmly on the path to expand its portfolio to 45GW, with rapid progress on ongoing projects and strong liquidity from current operations."