With a potential upside of around 22%, Investec has a favorable outlook on Adani Ports and SEZ shares.
After UK-based brokerage Investec began covering the company with a “buy” rating and a target price of Rs 1,715, shares of Adani Ports and Special Economic Zone (APSEZ) increased by more than 1.5 percent on Monday to Rs 1,430.70, making it the top gainer on the Nifty 50 index.
Even though the overall market fell in afternoon trading, the brokerage’s optimistic assessment, which suggested an upside potential of about 22%, improved investor mood in Adani Ports and SEZ shares. At 25,194 in the afternoon, the benchmark Nifty 50 was down 0.36 percent.
Investec advises purchasing Adani Ports, citing global push and growing opportunities.
According to Investec, Adani Ports has a significant competitive edge because to its integrated network of 17 ports and terminals, which enables it to take advantage of India’s growing infrastructure and trade volumes. The brokerage anticipates that between FY25 and FY30, EBITDA will expand at a compound annual growth rate (CAGR) of 13%, mostly due to the development of current ports and ongoing global growth.
Due to the purchase of NQXT and the expansion at other foreign ports, it predicts that international cargo volumes would more than fivefold increase at that time. Investec also highlighted the company’s improved balance sheet, pointing out that ongoing deleveraging has been made possible by robust cash production and careful capital management. According to projections, net gearing would be insignificant by FY30, having dropped to 0.6x as of March 2025.
The launch of the brokerage contributes to an increasing consensus among experts. With a median target price of Rs 1,727 across key brokerages, Adani Ports has an average “strong buy” recommendation, per data gathered by LSEG, according to Reuters.
Sentiment bolstered by business resiliency and clear regulations
Since the Securities and Exchange Board of India (Sebi) cleared the Adani Group in September in relation to claims made by US short-seller Hindenburg Research, investor trust in the company has increased. According to the regulator, it did not discover any proof of related-party violations, insider trading, or stock manipulation.
As of now, Adani Ports’ stock has increased by over 17% in 2025, surpassing the benchmark Nifty 50, which has increased by over 6% this year.