Adani stocks: Group’s market value now even lesser than top 3 biggies RIL, TCS, and HDFC Bank

Flagship company Adani Enterprises witnessed the most selloff on Monday. The stock tumbled by ₹102.20 or 5.94% to close at ₹1,619.55 apiece on BSE. Its market cap stood at ₹1,84,628.88 crore.

Also, three Adani stocks namely Adani Transmission, Adani Total Gas, and Adani Green Energy hit their 5% lower circuit.

By end of February 20th, Adani Green’s market cap is around ₹94,645.94 crore, while Adani Transmission and Adani Total Gas’ market cap is around ₹97,482.91 crore ₹1,01,743.43 crore respectively.

Meanwhile, Adani Ports closed broadly flat at ₹579.65 apiece compared to the previous close of ₹578.80 apiece on BSE. Its market cap is around ₹1,25,212.45 crore.

Adani Ports said, it paid ₹1,500 crore loan on Monday and promised to repay more as the embattled empire mapped a comeback strategy.

Despite being added to Nifty Next 50 index, Adani Wilmar’s stock traded volatile to end at ₹429.45 apiece down by 1.94% on BSE. The FMCG player’s market cap is around ₹55,814.70 crore.

Adani Power is the only company that saw a massive upside in its stock price in terms of percentage. The company’s stock closed at 5% upper circuit at ₹163 apiece with a market cap of ₹62,868.10 apiece. This would be the third consecutive upper circuit in Adani Power which was sparked after the expiry of the DB Power deal.

On the other hand, its cement business, Ambuja Cement stock ended flat at ₹353.30 apiece with a market cap of ₹70,152.85 crore. However, the subsidiary, ACC share price picked up by nearly 0.6% to end at ₹1,850.75 apiece with a market cap of ₹34,754.73 crore.

Together, Adani’s nine listed stocks market cap has declined by nearly ₹25,033 crore on Monday compared to the previous session.

These stocks together hold a market valuation of ₹8,27,303.99 crore as of February 20, which is far lower than the market cap of Reliance Industries (RIL), Tata Consultancy Services (TCS), and HDFC Bank. Last year, Adani stocks market value cumulatively surpassed even Mukesh Ambani’s RIL.

On Monday, RIL’s market cap is over ₹16.34 lakh crore, continuing to be the most valued Indian firm in terms of market share. In the second spot, the TCS market cap is over ₹12.75 lakh crore. And HDFC Bank, at third rank, has a market cap of nearly ₹9.15 lakh crore.

During the trading session of Monday, Adani Group’s market cap slipped below $100 billion — tumbling over $135 billion since the explosive Hindenburg Research report released in late January.

This conglomerate has witnessed an erosion of a breathtaking $200 billion market valuation — from its peak of $290 billion in September last year.

Exchanges like NSE, MSCI, and FTSE Russel have rejigged their indexes. NSE has added two Adani stocks namely Adani Wilmar and Adani Power to its Nifty Next 50 Index and Nifty Next 500 Index, respectively from March 31, 2023. While reports have stated that three Adani Group companies – Adani Power, Adani Total Gas, and Adani Transmission – are expected to be removed from the MSCI India index during the rebalancing exercise in May following a sharp correction in their stock prices.

Whereas, the London stock exchange, Footsie confirmed that it intends to proceed with the scheduled index review changes for Adani Group (India) and its associated securities. Earlier, FTSE added 10 Indian stocks to its Global Large-cap index as part of its semi-annual index review, but no action was taken on Adani stocks.

Adani’s empire is embattling Hindenburg’s allegations of fraud, stock manipulation, and tax evasion among others. The short seller’s report since January 24th, led to a frenzy selloff in Adani stocks, wiping out billions of dollars of wealth.

Currently, Adani and Hindenburg’s case is being heard before Supreme Court in India.

Earlier, today, a bench at Supreme Court refused to take on record a report published by Forbes about the share dealings of the Adani Group.

Last week, the apex court is looking to form a committee that could assess the market regulatory framework and recommends measures that could be adopted to protect investors in the wake of the Adani-Hindenburg matter. On Friday, the court refused to take suggestions in a ‘sealed cover’ on the panel of experts and ensured to maintain full transparency.