Adani Group stock rebounded during the opening trade on Tuesday, June 15, a day after the stocks fell sharply on June 14 owing to media reports claiming that the National Securities Depository Ltd (NSDL) had frozen accounts of three big shareholders.
However, NSDL informed the port-to-energy conglomerate later in the day that the accounts were not frozen.
At the open on Tuesday, Adani Ports' stock was up one percent, while Adani Power's stock was down five percent. Adani Enterprises' stock price was up over two percent during the morning trade.
Rakesh Mehta, vice-president of NSDL in an email exchange with Adani Group, accessed by CNBC-TV18, said, “The status of Demat accounts mentioned in your trail email are held in ‘active' status in NSDL system.”
The NSDL website, however, shows the accounts of the three foreign portfolio investors (FPIs) were frozen, but the action relates to other cases, NSDL officials told Moneycontrol.
NSDL’s statement came after billionaire Gautam Adani’s group on Monday called the media reports “blatantly erroneous”.
“We regret to mention that these reports are blatantly erroneous and is done to deliberately mislead the investing community. This is causing irreparable loss of economic value to the investors at large and reputation of the group," the company said in a regulatory filing on Monday.
Also Read | Adani Group issues clarification, calls report on freezing of foreign funds 'blatantly erroneous'
Among brokerages, Citi has a 'buy' call on the Adani Port stock with a target price at Rs 1,000 per share. “Negative news flow around the Adani Group companies is a sentiment dampener but is unlikely to have any major impact on the companies’ business prospects,” the brokerage said.
Citi also said that the group is well-positioned to grow its already high market share and its current valuation is attractive.
Dipan Mehta, Director, Elixir Equities said, “I would like to avoid Adani stocks completely. On a fundamental basis, it is difficult to justify the present valuations considering the kind of sectors that they are in which typically have very low RoEs. I would say it is best to avoid Adani, we have a fabulous bull market and there are so many opportunities elsewhere which investors and traders can pursue.”
At 10:30 am, the shares of Adani Enterprises were trading 0.067 percent higher at Rs 1,502.45 apiece on the BSE, while Adani Ports shares slipped into the red erasing morning gains. Shares of Adani Port were trading 0.47 percent lower at Rs 764.85 apiece on the BSE.
(Edited by : Ajay Vaishnav)