Adani Total Gas shares rose 42% in two days; Analysts are ‘bullish’

shares Adani Total Gas Ltd. It continued its sharp rise for the second consecutive session in Thursday’s trading. The stock rose 18.59 percent to hit the day’s high of Rs 823.30. At this price, it increased by 42.02 percent in just two trading days.

Not only Adani Total, but shares of nine other listed group entities were also trading in positive territory today. This came after the Indian conglomerate claimed that there were no bribery allegations against Gautam Adani and other group executives.

“Confidence in the business fundamentals of Adani Group companies has not been shaken despite US allegations. There is no doubt about the group’s ability to deliver infrastructure projects. Today, the group has an EBITDA of over Rs 85,000 crore and a CAGR of 20 per cent. This is if growth is not counted It translates into debt of Rs 2,40,000 crore, which is about three years’ EBITDA, said Deven Choksey, MD, DR Choksey FinServ. “By involving the banker, he will leave no doubt as to his financial ability to manage the affairs of the group,” he said. Business Today.

“When it comes to the sentiment part, the market’s job is to react and enable a reaction to such negative news. I think this brings the fundamental value to a considerable bargaining level. That’s probably where some of the bargain hunters are. The market expert also said that they will buy these companies in their portfolios.” and said they would make money faster from this particular situation.

Technically, Adani Total’s shares were showing a ‘bullish’ outlook on the charts. However, on the counter, support can be seen at Rs 780, followed by Rs 744 and Rs 694 levels.

“Support will be Rs 780 and resistance will be Rs 850. A decisive move above the Rs 850 level could trigger a rise towards Rs 900. The expected trading range will be between Rs 750 and Rs 900 in the short term,” said Jigar S. Patel, Senior Manager – Technical Research Analyst at Anand Rathi.

“Adani Total Gas stock price is showing a bullish trend on the daily charts with strong support lying at Rs 694. A daily close above the Rs 855 resistance could lead to an upside target of Rs 921 in the near term,” Sebi-registered research analyst AR Ramachandran said.

“We foresee a short-term opportunity with a target price of Rs 870 and recommend maintaining stop loss at Rs 744,” said Kushal Gandhi, Technical Analyst at StoxBox.

Adani Green Energy Ltd (AGEL) said in a BSE filing: “Gautam Adani, Sagar Adani and Vneet Jaain have not been charged with any violation of the FCPA (Foreign Corrupt Practices Act) in the charges outlined in United’s indictment. State Department of Justice ( DOJ) or civil complaint by the U.S. Securities and Exchange Commission (SEC).”

“These directors were charged in the criminal indictment with three counts: (i) conspiracy to commit securities fraud, (ii) alleged conspiracy to commit wire fraud, and (iii) alleged securities fraud,” he added. AGEL also noted that no fines or sanctions were specified in the US indictment.

US authorities last week accused Adani, his nephew and chief executive Sagar Adani, and AGEL chief executive Vneet S Jaain of being part of a scheme to pay bribes to secure India’s energy supply contracts and mislead US investors.

Adani Group rejected the accusations in the US indictment as unfounded and said it would take all legal action.

The new charges follow turmoil for Adani Group in January last year, when US-based short seller Hindenburg Research accused Adani Group of improper use of offshore tax havens; The Indian conglomerate denied this accusation.