3 Weeks Since Hindenburg Report: Adani Group's Market Value Loss Swells To Rs 10 Lakh Crore
Its been exactly three weeks since the Hindenburg research report came out and rattled the Adani Group stocks, besides plummeting the conglomerate¡¯s Chairman Gautam Adani¡¯s net worth by more than 50%. In the three weeks, Adani group stocks have been bleeding heavily on most days, and the continuation in the downfall this week has led to the conglomerate¡¯s market value loss swelling to Rs 10 lakh crore since January 24th.
It's been exactly three weeks since the Hindenburg research report came out and rattled the Adani Group stocks, besides plummeting the conglomerate¡¯s Chairman Gautam Adani¡¯s net worth by more than 50%.
In the three weeks, Adani group stocks have been bleeding heavily on most days, and the continuation of the downfall this week has led to the conglomerate¡¯s market value loss swelling to Rs 10 lakh crore since January 24.
Adani Stocks Continue To Bleed
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In Monday¡¯s market trading, Adani group's flagship Adani Enterprises lost another 7% after the company slashed its revenue growth target by 50%, while six more of the group¡¯s stocks ¡ª Adani Total Gas, Adani Green Energy, Adani Transmission, Adani Power, NDTV and Adani Wilmar ¡ª closed at the 5% lower circuit limit. The other three also closed deep in the red: Adani Ports and Ambuja Cements each closed 5.2% down, while ACC lost the least among the 10 stocks (-3.1%), BSE data showed. During the day, the combined loss in market value for the Adani Group was Rs 51,525 crore, as per BSE data, reported TOI.
The day¡¯s slide in all the 10 stocks also piled up the total loss in the value in market capitalization for Adani group, since the Hindenburg Report was published late on January 24, to Rs 10. 2 lakh crore. At the close of trading on Monday, the Adani group¡¯s total market value was a little less than Rs 9 lakh crore as compared to Rs 19. 2 lakh crore at the close of trading on January 24.
Even as of today (at the time of writing this report), Adani Enterprise's share price is down more than 3%, Adani Green Energy, Adani Total Gas, Adani Power, Adani Transmission and Adani Wilmar are all down 5% each,
Also Read: Meet Nathan Anderson, The Man Behind Hindenburg Report
Adani Group Companies' Market Value
indiatimes
As a result, Adani Total Gas has lost nearly 70% of its value, while Adani Green Energy¡¯s value is nearly a third of what it was before the Hindenburg report was published.
Adani Transmission has lost about 60% of its value while Adani Group's flagship firm Adani Enterprise¡¯s value has halved. The other six companies have lost between 22% and 44% from their pre-Hindenburg report market value. The day¡¯s loss also came despite a statement from the Adani Group that reiterated that the balance sheets of each of the companies within the conglomerate were healthy.
¡°We have industry-leading development capabilities, strong corporate governance, secure assets, strong cash flows, and our business plan is fully funded,¡± an Adani spokesperson reportedly said.
¡°Once the current market stabilises, each entity will review its own capital market strategy¡we are confident in the continued ability of our portfolio to deliver superior returns to shareholders.¡±
Also Read: All That Has Happened In Hindenburg Vs Adani Saga So Far
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