Adani stocks defy WSJ report: Market shrugs off allegations amidst group's resilience
Ahmedabad (Gujarat) [India], June 3 (ANI): Investors largely ignored a recent Wall Street Journal report alleging new US prosecution scrutiny over Adani's potential Iran sanctions violations.
Adani Group stocks demonstrated resilience, with the group's market capitalisation down a mere 1.8 per cent, outperforming the broader Nifty's 0.7 per cent dip. Adani Enterprises saw a 1.9 per cent decline, while ACC fell just 0.3 per cent, according to company's release.
The Adani Group swiftly dismissed the report as 'baseless and mischievous.' Analysts suggest the market is increasingly discounting such external pressures, viewing them as targeted attacks on Adani's crucial role in India's energy security.
Despite a series of negative campaigns from global media, short-sellers, and regulatory bodies, Adani's performance and investment plans remain unimpacted. The group continues to attract global investor interest.
Over the past two years, Adani Group has achieved over 25 per cent profit growth and invested Rs 1.75 lakh crore (USD 21 billion), even amidst volatility, added the release.
This expansion has been coupled with significant debt reduction, bringing its net debt to EBITDA to a low 2.5x, among the best globally for infrastructure.
Previous major challenges, including the January 2023 Hindenburg Research report and a November 2024 US Department of Justice indictment (preceding green energy fundraising), similarly failed to disrupt the group.
It's notable that the WSJ reporter, Ben Foldy, has publicly expressed interest in writing a book on Hindenburg Research and has previously helped amplify their targets. Hindenburg itself has a history of targeting green energy companies, including Adani.
The market's sustained confidence in Adani underscores its strong fundamentals, strategic importance to India, and proven ability to overcome external challenges. (ANI)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
21 minutes ago
- Time of India
Nine new DMDs at SBI, 28 CGMs promoted in annual exercise
State Bank of India (SBI), the country's biggest government asset by market value, has promoted nine chief general managers (CGMs) as deputy managing directors (DMDs) in an annual exercise, people familiar with the information said. As many as 28 people have been elevated to the CGM level, similar to the 27 promoted last year, Four out of nine DMDs have already been posted to their respective positions, while five others are waiting for the final order of the department where they will take charge. SBI has 24 DMDs, each handling remits ranging from corporate banking, markets and treasury, recovery, retail, compliance, finance, operations, etc. The names of the new DMDs have already been updated at the bank's website. Rajeev Kumar, who was CGM at the bank's international banking group (IBG) in SBI's Mumbai headquarters, has already taken charge as DMD internal audit at the bank's Hyderabad office. SBI Card CEO, Salila Pande, has also been promoted as DMD and will continue with her current responsibilities she assumed in April. Ramesh Srinivas Rao has taken charge as DMD commercial clients group I (CCG I) from Gulshan Malik, who retired on May 31. Satyendra Kumar Singh has taken charge of CCG II, which was headed by Amitava Chatterjee, who took over as J&K Bank CEO at the end of December 2024. Both CCG I and II services large and medium sized companies (except conglomerates), out of the bank's head office in Mumbai. Rajesh Kumar, who was heading the bank's Hyderabad circle, will take over as DMD, agriculture and SME in the bank's corporate headquarters in Mumbai from Surender Rana, who retires in July. Other CGMs promoted to DMD position are Arvind Kumar Singh, Chander Shekhar Sharma, Parminder Singh and Anindya Sunder Paul. They await portfolios and will take over based on retirements or transfers. The DMDs typically report to managing directors (MDs). SBI has four MDs, each handling corporate banking and subsidiaries, retail and operations, risk, compliance and stressed assets recovery and international banking, markets and technology. The MD portfolios are distributed according to the discretion of the SBI chairman. SBI is India's largest lender with Rs 66.79 lakh crore in total assets, much higher than Rs 39.10 lakh crore of total assets of HDFC Bank , its nearest rival, as of March 2025. With more than 22,500 branches and 63,580 ATMs across India, it has the widest network in the country. Economic Times WhatsApp channel )
Time of India
22 minutes ago
- Time of India
Uttarakhand CM Dhami plants Sita Ashoka sapling under 'Ek Ped Maa Ke Naam' campaign at his CMO residence
Uttarakhand CM Dhami plants Sita Ashoka sapling under 'Ek Ped Maa Ke Naam' campaign at his CMO residence (ANI) DEHRADUN: Uttarakhand Chief Minister Pushkar Singh Dhami on Thursday planted a Sita Ashoka sapling at the Chief Minister's residence on the occasion of World Environment Day as part of the "Ek Ped Maa Ke Naam" campaign, according to the release statement. On this occasion, the chief minister called upon the state's people to participate in this holy work and serve nature while respecting their mother. This campaign is dedicated to maternal respect and environmental protection, in which every person is encouraged to plant a tree in their mother's name. Forest and environment minister Subodh Uniyal and chief secretary Anand Bardhan also participated in the event by planting trees. Earlier today, Dhami greeted people on World Environment Day and urged them to participate in the 'Ek Ped Maa ke Naam' (One tree in the name of mother) by planting at least one tree and protecting the environment. " "Conservation of nature and environment is both our cultural heritage and responsibility. Under the leadership and guidance of the respected Prime Minister Narendra Modi ji, the Ek Ped Maa Ke Naam campaign has been started to promote environmental conservation," Dhami said in a post on X. "Let us all promote this campaign and plant a tree in the name of Mother and ensure our participation in environmental protection," his post added. Prime Minister Narendra Modi launched Ek Ped Maa ke naam, an initiative that combines environmental conservation with a tribute to mothers, on June 5, 2024, exactly one year ago. According to the ministry of environment, Forest and Climate Change, at least 80 crore saplings were planted between June and September, through collaborative efforts from government agencies, local communities, and various stakeholders. The Prime Minister also greeted people today, urging them to deepen their efforts to protect the planet and complimenting people working at the grassroots level for environmental conservation.
Time of India
26 minutes ago
- Time of India
Lower wage growth impacting consumption; tax cuts and rate cuts tools to spur growth: Report
Weakening wage and job growth cycle is impacting consumption sentiment , and tax cuts and rate cuts will help accelerate momentum, according to a report by ICICI Bank Global Markets. The report highlights that wage growth for listed Indian companies nearly halved in the financial year (FY) 2025, slowing to 7.5 per cent from an average of 15 per cent year-on-year (YoY) between FY22 and FY24, impacting consumption. The deceleration in wage growth can be attributed to the tepid demand and global economic uncertainty. The report adds that the slowdown, coupled with high inflation and elevated interest rates, has eroded consumers' discretionary income, particularly in urban areas. Spending across sectors has dampened. "Lower interest rates should lead to further recovery in consumption as repo-linked loans get repriced lower and reduce the interest outgo for consumers," according to ICICI Bank Global Markets report . "We believe further monetary support is required to spur consumption when inflation is easing," it said. Backing its assertion, the report added that Fast-Moving Consumer Goods (FMCG) sales in urban centres are trailing rural markets. In contrast, passenger vehicle sales growth has sharply decelerated to 4.5 per cent in FY25 from 8.8 per cent the previous year. On the job growth front, the report added that once a strong hiring engine, the IT sector continues to grapple with demand challenges from tech disruptions, monetary tightening, and trade volatility. Net hiring peaked at 293,000 in FY22 and saw a net contraction of 70,000 by FY24. The Indian economy grew by 6.5 per cent in real terms in the recently concluded financial year 2024-25, according to the Ministry of Statistics and Programme Implementation's official data. While the economic growth was 7.4 per cent in the January-March quarter (Q4) of FY25. This was a sharp rise from the 6.2 per cent recorded in the previous quarter. Given the underlying weakness in urban demand , the government announced an income tax relief of Rs 1 trillion in the Union Budget 2025-26. The other factors favouring a consumption recovery are lower food inflation as well as the recent uptick seen in GST collections. In the last two months we have seen a visible acceleration in GST collections, with gross GST revenues increasing by 16.4 per cent YoY in May and 12.6 per cent YoY in April, respectively.
