Adani Group The valuation of Adani Energy Solutions Ltd (AESL), the power transmission unit of Adani Energy Solutions Ltd (AESL), has risen to $18.5 billion. According to a report, the company's profit before tax (PAT) is expected to grow 29 per cent annually over the next three years due to strong business growth. AESL has a diversified portfolio that includes smart metering business in addition to transmission and distribution business. “AESL has an enterprise value of $18.5 billion. We believe AESL is a very attractive way to invest in the fast-growing energy markets in India,” the report by global brokerage firm Cantor Fitzgerald said.
Revenue will grow at the rate of 20% annually
The company believes that AESL delivers growth unlike any other publicly traded utility/energy company in the US, Europe or Asia. “We estimate that the company's total revenue will grow at an average rate of 20 per cent per annum from the previous fiscal (2023-24) to fiscal (2026-27) and adjusted earnings before interest, tax, depreciation and amortization (EBITDA) will grow at an average rate of 28.8 per cent per annum.” In comparison, other competitors' revenue is growing in low single digits and EBITDA in mid single digits. According to the report, AESL is growing significantly faster than its competitors and they believe AESL is a more diversified business.
Share price Rs 1,008
The current price of Adani Energy Solutions share is Rs 1,008. On Friday, the share jumped 2.96% i.e. Rs 29. On the other hand, if we look at the six-month chart, the share has given a marginal negative return. Market experts say that if the company's revenue and profit increases in the coming days, then its effect will be seen on the company's stock. A good rise can be seen in the stock.
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