Brokerages are Bullish on Adani Ports After Q1 Numbers

Published 04-08-2021, 04:29 pm
Updated 04-08-2021, 04:30 pm
© Reuters.

By Aditya Raghunath

Investing.com -- Adani Ports and Special Economic Zone Ltd (NS:APSE) reported its numbers for Q1 FY22. It reported a 77.04% increase in net profit to Rs 1,341.69 crore compared to Rs 757.83 crore in the previous fiscal’s corresponding quarter. Revenue from operations during Q1 FY22 surged 98.8% to Rs 4,556.8 crore from Rs 2,292.7 crore in Q1 FY21.

Brokerages are bullish on the stock after these numbers. CLSA said that traffic port picked up as ex-Krishnapatnam Port volume grew 52% and EBITDA was up 46% compared to the corresponding quarter last year. The brokerage upgraded the stock to outperform from underperform and assigned a price target of Rs 816.

Goldman Sachs (NYSE:GS) said that Q1 numbers are operationally in line after adjusting for one-time SEZ revenue and MTM FX loss. Diversification of cargo stream, LPG & LNG terminal additions, and new ports will be key growth drivers. It has a buy call on the stock and a target price of Rs 790.

Citi says that Adani Ports continues to remain its top pick and is the most optimistic on the stock with a target price of Rs 1,000 and a buy call. Citi said that the company’s dominance in the sector continues to increase.

The stock closed at Rs 693.5 today, down 1.64%.

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