Adani Power Ltd. shares jumped sharply on January 1, 2026, rising 7.1% to ₹153.20 on the BSE, marking their highest level in over a month. The stock witnessed heavy trading, with nearly 50 million shares exchanged, signaling strong investor interest.
Brokerages have highlighted that Adani Power is entering a multi-year earnings upcycle, driven by growing demand for power in India. Sectors such as manufacturing, data centers, and electric vehicles are expected to increase baseload electricity requirements, boosting revenue visibility for the company.
Research reports point to the company’s ongoing transformation from a stressed thermal power producer to one of India’s most efficient private power operators. Its current capacity of 18.15 GW is projected to expand to nearly 41.9 GW by FY33, largely through long-term power purchase agreements (PPAs) that provide steady revenue streams. Around 90% of existing and planned capacity is already under contracts or letters of intent, giving investors confidence in sustained earnings growth.
Global brokerage Morgan Stanley recently maintained an “Overweight” rating on Adani Power, projecting a 20% EBITDA compound annual growth rate through FY33. The firm also raised its price target to ₹185, citing new PPAs and reduced reliance on merchant power sales as key drivers.
Despite the rally and positive outlook, analysts caution that the stock remains exposed to broader market fluctuations and sector-specific risks. They advise investors to weigh these factors before making decisions, noting that while fundamentals are improving, short-term volatility cannot be ruled out.
With strong trading activity and optimism surrounding long-term earnings, Adani Power has become a focus for investors seeking exposure to India’s growing energy sector. The stock’s recent surge underscores the market’s positive sentiment and the company’s potential to benefit from rising power demand and operational efficiency.
Analysts say the surge reflects renewed confidence in the company’s long-term growth prospects and a technical recovery supported by robust volumes.
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