Adani Power shares tumble 11%, correct 20% from recent 52-week high; what's next?

Shares of Adani Power Ltd continued to experience a sharp decline on Wednesday, falling 10.84 per cent to close at Rs 144.80. At this closing level, the stock has corrected 20.77 per cent from its adjusted one-year high of Rs 182.75, recorded in yesterday's session. Despite the drop, the counter has gained 37.38 per cent on a year-to-date (YTD) basis.

BSE and NSE have placed Adani Power shares under the short-term ASM (Additional Surveillance Measure) framework. Exchanges adopt short-term or long-term ASM frameworks to alert investors about significant volatility in stock prices.

US-based GQG Partners LLC reportedly reduced its holding in Adani Power by around 1 per cent last week. The move indicated that fund manager Rajiv Jain was booking profits in one of his key Adani Group investments.

The stake sale came ahead of Adani Power's one-to-five stock split, which recently took effect.

On technical setup, a few analysts suggested caution in the near term. One expects profit booking with support around Rs 150, advising a buy-on-dips strategy, while another flagged Adani Power's bearish setup, pointing to resistance at Rs 183 and warning of a potential fall towards Rs 123 if Rs 147 support breaks.

Kunal Kamble, Senior Technical Research Analyst at Bonanza, said, "The stock may witness further profit booking in the coming days, with a possible downside towards Rs 150. On the momentum side, the RSI has entered the overbought zone, which is in line with the price action and signals caution in the near term. Considering the current chart setup, a 'buy-on-dip' strategy is advisable, as the stock looks overvalued in the immediate move but remains attractive for fresh entry opportunities on declines."

Sebi-registered analyst AR Ramachandran noted, "Adani Power's stock turned bearish on daily charts with strong resistance at Rs 183. A daily close below the support of Rs 147 could trigger a further drop towards Rs 123 in the near term."

As of June 2025, promoters held a 74.96 per cent stake in the Adani Group firm.