Adani Green Energy shares snap 4-day upmove, slip 8% today; here's what analysts say

Shares of Adani Green Energy Ltd slipped in Friday's trade, pausing their four-day upward run. The stock dived 7.97 per cent to hit a day low of Rs 1,495. On BSE, around 9.25 lakh shares were last seen changing hands. The figure was higher than the two-week average volume of 5.81 lakh shares. Turnover on the counter came at Rs 144.63 crore, commanding a market capitalisation (m-cap) of Rs 2,43,822.20 crore.

The stock has surged more than 63 per cent in a month but has slipped 19 per cent on a year-to-date (YTD) basis. On technical charts, support on the counter could be seen at Rs 1,450 and resistance may be found above Rs 1,700 level. An analyst suggested booking profits at current levels.

Osho Krishan, Senior Research Analyst - Technical & Derivatives at Angel One, said, "Adani Green has entered the overbought territory and one must not rule out the possibility of profit booking. The Rs 1,460-1,350 zone is likely to cushion any short-term blip. On the higher end, a series of resistance can be seen from Rs 1,700-1,800 in the near term."

AR Ramachandran from Tips2trades said, "Adani Green looks bearish and extremely overbought on daily charts with next resistance now at Rs 1,715. Investors should book profits at current levels as a daily close below support of Rs 1,382 could lead to a target of Rs 1,050 in the near term."

Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi Shares and Stock Brokers, said, "Support will be at Rs 1,450 and resistance may be seen around Rs 1,650. The stock could see a trading range between Rs 1,335 and Rs 1,700 in the next couple of months."

DRS Finvest founder Ravi Singh said that stock may see Rs 1,850 level in the near term.

The counter was trading higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-, 200-day simple moving averages (SMAs). The scrip's 14-day relative strength index (RSI) came at 82.37. A level below 30 is defined as oversold while a value above 70 is considered overbought.

The company's stock has a negative price-to-equity (P/E) ratio of 309.64 against a price-to-book (P/B) value of 49.48.

The scrip has an analyst target price of Rs 402, Trendlyne data showed, suggesting a potential downside of 74 per cent in a year.

As of September 2023, promoters held 56.26 per cent stake in the company.

(Disclaimer: Business Today provides stock market news for informational purposes only and that should not be construed as investment advice. Readers are encouraged to consult a qualified financial advisor before making any investment decisions.)

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