The year 2023 proved a volatile one for stocks of the Adani Group, following allegations from US-based Hindenburg Research that accused the ports-to-energy conglomerate of financial wrongdoing. Despite these challenges, some of the group’s stocks have made a considerable recovery since the allegations were revealed.
What Happened: The Hindenburg report alleged financial impropriety within the Adani Group, including claims of stock manipulation, over-leveraging, and accounting fraud. Despite the serious charges, the stocks have recovered over the last few months.
Adani Enterprises, among other subsidiaries, has shown a notable recovery. Adani Enterprises’ share price has gone up over 30% in just the past month.
So, if we turn back the clock to February 2, 2023 – a week after Hindenburg accused Gautam Adani of “pulling the largest con in corporate history” on Jan 24 – the closing price of Adani Enterprises was ₹1565.25. If you had taken a leap of faith and invested ₹10,000 at this time, you would have been able to purchase roughly 6 shares.
Fast forward to today, with the current price level of around ₹2,500, those shares would now be worth approximately ₹15,000. This represents an impressive return of 50% on your initial investment, even amidst allegations of financial impropriety and the tumultuous journey the company has undergone in recent months.
Price Action: Adani Enterprises’ share price was up 0.48% to trade at ₹2,505.20 in the late hours of trading on Thursday.
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Disclaimer: Benzinga India doesn’t give financial advice. The above article is for educational purposes alone.
Editor’s Note: Artificial intelligence was used as a secondary aid in the writing of this story.
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