Short-term stock idea: This Adani stock may deliver 8% return in 30 days

Bajaj Broking in a technical note on Tuesday expects Adani group stock Adani Ports to potentially deliver 8 per cent return over the next 30 days. The Adani Ports stock after the recent corrective decline is forming base at the 200 days EMA and the previous breakout area, thus offering fresh entry opportunity with favorable risk-reward set up, Bajaj Broking said. It suggested a buy range of Rs 1,325-1,345 and a target price of Rs 1,438 apiece.  The target suggests 8 per cent potential upside.
 
In the smaller time frame, the Adani stock has generated a falling channel breakout containing the last six sessions corrective decline, Bajaj Broking said.

"A strong support is placed in the range of Rs 1,290-1,270 levels being the confluence of the last month low and 200-day EMA. We expect the stock to head higher towards Rs 1,438 levels being the 80 per cent retracement of the previous July-August decline (Rs 1,474-1,291)," Bajaj Broking said.

The brokerage noted that the daily stochastic has generated a buy signal moving above its three periods average, thus, supports the positive bias in the stock.

As far as Adani Ports' fundamentals are concerned, the Adani firm has strong cash flows, a healthy cash balance and manageable net debt, due to which Adani Ports is seen as well-positioned for further expansion.

"Capacity enhancements at key ports, ongoing infrastructure projects, and global port acquisitions provide visibility for sustained growth in FY26 and beyond," MOFSL said in a recent note.

"APSEZ’s diversified cargo mix and ongoing infrastructure investments are expected to support its target of 505–515 mmt cargo handling in FY26. We expect APSEZ to report 10 per cent growth in cargo volumes over FY25-27. This would drive a CAGR of 16 per cent/16 per cent/21 per cent in revenue/Ebitda/PAT over FY25-27. We reiterate our BUY rating with a target of Rs 1,700 (premised on 16x FY27E EV/Ebitda)," MOFSL said in an August note.