Shares of Adani Transmission continued to make gains for the third straight session as several Adani Group stocks remained upbeat. However, Adani Transmission has been one of the hardest-hit Group stocks after the Hindenburg report. The stock that was trading at around ₹2,700 levels slumped 76% after the report came out to hit a new 52-week low of ₹631.50 on March 1.
The Investment: If you had invested ₹10,000 in Adani Transmission on February 24, 2023 — a month after US-based Hindenburg Research accused Gautam Adani of “pulling the largest con in corporate history” — you would have bought approximately 14 shares. With the stock’s current market price at ₹802, your investment would now be worth approximately ₹11,228. The relatively moderate returns are evident of the troubles the stock is still facing in its recovery.
Background: Adani Transmission, part of the Adani Group, has been under the scanner since the Hindenburg report accused the conglomerate of financial impropriety. The report led to a significant slump in the stock prices of all Adani Group companies.
The surge in the Group stocks comes today as US-based investment firm GQG Partners invested around $1 billion in Adani Group stocks, marking their third round of investment in the conglomerate within four months.
The investment follows media reports stating that U.S. authorities are reportedly investigating the representations made by Adani Group to its American investors, following allegations of share price manipulation by short-seller Hindenburg Research. The conglomerate has denied these reports.
Price Action: Adani Transmission shares were up 5.23% to trade at ₹813.65 in the late hours of trading on Wednesday.
Exclusive Interview: IPO-Ready IdeaForge Aims To Make A Splash In The US With Its Drone Tech
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.
Don't miss a beat on the share market. Get real-time updates on top stock movers and trading ideas on Benzinga India Telegram channel.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.