Shares of Adani Enterprises, the main company of the Adani Group, jumped 7.5%, hitting a new yearly high of ₹3,377.50 each in today’s trading. This rise followed a report from IIFL Alternative Research, suggesting Adani Enterprises might join the Sensex, potentially replacing Wipro.
IIFL Alternative Research noted that if Adani Enterprises joins the Sensex, it could attract nearly ₹1,000 crore from passive funds that follow the index. On the other hand, Wipro’s removal might lead to outflows of about ₹500 crore.
The Bombay Stock Exchange (BSE) is expected to announce its semi-annual index changes tomorrow, with the changes taking effect on June 21. If Adani Enterprises is included, it will be the first time a company from the Adani Group, led by Gautam Adani, is part of the 30-share BSE index.
IIFL Alternative Research also mentioned possible changes to the BSE 100 index. Companies like Jio Financial Services, Adani Green Energy, REC, Adani Power, and Adani Energy Solutions might replace Page Industries, SBI Cards and Payment Services, ICICI Prudential Life Insurance, Zee Entertainment Enterprises, and Jubilant FoodWorks.
Adani Enterprises’ shares have surged dramatically from a low of ₹1,017.45 in February 2023, now trading 228% higher.
Adani Enterprises Stock Performance
In the last trading session, the group’s market value hit ₹16.9 lakh crore after its listed companies gained ₹11,300 crore, reflecting investor confidence despite allegations of wrongdoing in coal supply to a Tamil Nadu power company.
Yesterday’s gains came alongside a report from the London-based Financial Times, citing documents from the George Soros-backed Organized Crime and Corruption Reporting Project (OCCRP), which accused the Adani Group of fraud in 2013 by selling low-grade coal as high-value fuel.
Earlier this month, the company reported a 37% drop in net profit for the March quarter due to more than doubled input material costs.
The consolidated net profit for January–March 2023–24 was ₹450.58 crore, compared to ₹722.48 crore in the same period last year and ₹1,888.45 crore in the previous quarter.
For the full fiscal year 2023–24, net profit rose 31% to ₹3,240.78 crore, even though revenue from operations fell to ₹96,420.98 crore from ₹127,539.50 crore in 2022–23.
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