Adani Power Ltd. was listed on the NSE and BSE on August 20, 2009. In the last 5 years, its stock has given a massive return of around 1550%. Will Adani Power continue to provide such great returns in the future as well? Let’s explore Adani Power’s future growth potential and the Adani Power share price target 2025 to 2050 in this article
About Adani Power
Adani Power Limited is a company that produces electricity and is part of the Adani Group. It was started in 1996 and is one of the biggest private power companies in India. The company runs power plants in states like Gujarat, Maharashtra, Rajasthan, Karnataka, and Chhattisgarh. Most of its electricity comes from coal, but it is also working on renewable energy.
Adani Power Business Model
- Selling Electricity: Adani Power makes money by producing electricity and selling it to the government and private companies.
- Fixed Contracts (PPAs): It signs long-term deals with state governments and businesses to provide electricity at a fixed price, ensuring regular income.
- Selling in the Open Market: When electricity demand is high, Adani Power sells extra electricity in the market at higher prices.
- Renewable Energy: The company is also making money by producing solar and wind energy.
- Coal Business: Adani Power owns coal mines and also imports coal, which helps it reduce costs and earn more profit.
- Selling to Other Countries: It supplies electricity to countries like Bangladesh and earns money from these international deals.
Adani Power Fundamental Analysis
| Stock Name | Adani Power Ltd. |
|---|---|
| NSE Symbol | ADANIPOWER |
| Market Cap | ₹ 2,02,566 Crores |
| 52W High | ₹ 897 |
| 52W Low | ₹ 431 |
| Stock P/E | 15.9 |
| Book Value | ₹ 146 |
| Dividend Yield | 0.00 % |
| ROCE | 22.5 % |
| ROE | 25.6 % |
| Face Value | ₹ 10.0 |
| Industry PE | 31.5 |
| Price to book value | 3.59 |
| Debt to equity | 0.70 |
| PEG Ratio | 0.24 |
| Quick ratio | 1.24 |
| Shareholders | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Promoters | 74.97% | 71.75% | 74.96% |
| FIIs | 11.70% | 15.91% | 12.36% |
| DIIs | 0.01% | 1.41% | 1.64% |
| Public | 13.32% | 10.93% | 11.03% |
| No. of Shareholders | 17,90,675 | 14,26,249 | 18,91,234 |
Key Factors Driving Adani Power’s Future Growth
- More Need for Electricity: As India’s population and industries grow, more electricity is needed. Adani Power can provide this power and grow.
- Building More Power Plants: Adani Power is setting up new power plants and making old ones bigger to produce more electricity. Recent acquisitions, like Essar Power’s Mahan project, have strengthened its generation capacity.
- Using Solar and Wind Energy: Adani Power is investing in clean energy like solar and wind, which will help it grow as India moves towards greener energy.
- Strong Financial Support: Adani Power is part of the big Adani Group, which gives it strong financial backing to invest in new projects.
- Growing Cities and Industries: As India builds more roads, factories, and smart cities, the electricity demand will increase, helping Adani Power grow.
Pros of Investing in Adani Power
- Strong Market Presence: Adani Power Ltd. is India’s second-largest thermal power generation company, after NTPC.
- Part of a Strong Group: As a member of the Adani Group, Adani Power benefits from the group’s extensive experience and resources in the energy sector, providing a solid foundation for growth.
- Reduced Payment Delays: The company’s debtor days improved from 106 to 84.6 days, meaning it collects payments faster, enhancing cash flow.
- Strong Sales Growth: Adani Power’s sales have grown at a CAGR of 27% over the last three years.
- Strong Profit Growth: Adani Power’s profits have grown at a CAGR of 65% over the last five years.
- High Return on Equity (ROE): Adani Power’s 5-year average ROE is 37.2% which shows that the company is using its shareholders’ funds well to generate profits.
- Low PE Ratio Compared to Peers: Adani Power’s PE ratio is 15.9, which is lower than the industry average of 31.5, making it relatively undervalued and potentially a good investment opportunity.
- High Promoter Holding: Adani Power has a strong promoter holding of 75.0%, which shows the high confidence of promoters in the company’s future growth and stability.
- Increase in Institutional Confidence: DIIs have increased their holding to 1.64% in March 2025 from 1.60% in December 2024, while FIIs have increased their holding to 12.36% in March 2025 from 12.34% in December 2024, indicating a strong institutional confidence in Adani Power’s future growth prospects.
Cons of Investing in Adani Power
- High Debt: Adani Power has a lot of debt, with a debt-to-equity ratio of 0.70. This means it has borrowed a lot of money, which can be risky if earnings go down.
- Problems with Foreign Contracts: Bangladesh has asked Adani Power to fully restore the power supply after facing payment issues and technical problems. Such issues can affect business outside India.
- Legal Issues: Adani Power has faced allegations of bribery to secure contracts, which could harm its reputation and affect investors’ trust.
- High Price to Book Value: Adani Power is trading at a Price-to-Book Value (P/B) ratio of 3.59, which indicates that its stock is significantly overvalued compared to its assets.
Adani Power Ltd Balance Sheet
| Particulars | March 2023 | March 2024 | March 2025 |
|---|---|---|---|
| Equity Capital | 3,857 | 3,857 | 3,857 |
| Reserves | 26,019 | 39,288 | 52,490 |
| Borrowings | 42,350 | 34,616 | 39,495 |
| Other Liabilities | 13,596 | 14,248 | 17,076 |
| Total Liabilities | 85,821 | 92,009 | 112,918 |
| Fixed Assets | 51,451 | 63,016 | 69,297 |
| CWIP | 12,880 | 925 | 12,104 |
| Investments | 654 | 374 | 1,097 |
| Other Assets | 20,836 | 27,694 | 30,418 |
| Total Assets | 85,821 | 92,009 | 112,918 |
By the end of 2025, the Adani Power share price is expected to be around ₹700 in normal conditions. In a bear market, it might be ₹650, and in a bull market, it may go up to ₹800.
| Adani Power Share Price Target 2025 | Rupees (₹) |
|---|---|
| 1st Target | 650 |
| 2nd Target | 700 |
| 3rd Target | 800 |
In 2026, the Adani Power share price is expected to be around ₹850 in a normal situation. In a bear market, it might be ₹800, and in a bull market, it may cross ₹1050.
| Adani Power Share Price Target 2026 | Rupees (₹) |
|---|---|
| 1st Target | 800 |
| 2nd Target | 850 |
| 3rd Target | 1050 |
According to our analysis, the Adani Power share price is expected to be around ₹1050 in 2027. In a bear market, it might be ₹950, and in a bull market, it may cross ₹1400.
| Adani Power Share Price Target 2027 | Rupees (₹) |
|---|---|
| 1st Target | 950 |
| 2nd Target | 1050 |
| 3rd Target | 1400 |
According to our analysis, the Adani Power share price may trade near ₹1300 by 2028; bearish conditions could pull it down to ₹1150, while a strong bull run might lift it to ₹1800.
| Adani Power Share Price Target 2028 | Rupees (₹) |
|---|---|
| 1st Target | 1150 |
| 2nd Target | 1300 |
| 3rd Target | 1800 |
In a normal situation, the Adani Power share price is projected to be approximately ₹1800 in 2029. In a bear market, the value may be as low as ₹1400, while in a bull market, it may rise to ₹2400.
| Adani Power Share Price Target 2029 | Rupees (₹) |
|---|---|
| 1st Target | 1400 |
| 2nd Target | 1800 |
| 3rd Target | 2400 |
In a normal situation, the Adani Power share price is projected to be approximately ₹1900 in 2030. In a bear market, the value may be as low as ₹1650, while in a bull market, it may rise to ₹3000.
| Adani Power Share Price Target 2030 | Rupees (₹) |
|---|---|
| 1st Target | 1650 |
| 2nd Target | 1900 |
| 3rd Target | 3000 |
By 2035, the Adani Power share price is projected to be around ₹5000 under normal conditions. In adverse markets, the price could fall to ₹3300, while favorable conditions might push it up to ₹9000.
| Adani Power Share Price Target 2035 | Rupees (₹) |
|---|---|
| 1st Target | 3300 |
| 2nd Target | 5000 |
| 3rd Target | 9000 |
Under normal conditions, the Adani Power share price might hit ₹14,000 by 2040. A bearish trend could lower it to ₹6600, whereas a bullish surge could raise it to ₹27,000.
| Adani Power Share Price Target 2040 | Rupees (₹) |
|---|---|
| 1st Target | 6600 |
| 2nd Target | 14,000 |
| 3rd Target | 27,000 |
In 2050, the Adani Power share price is expected to be around ₹50,000 in a normal situation. In a bear market, it might be ₹26,500, and in a bull market, it may go up to ₹1,63,000.
| Adani Power Share Price Target 2050 | Rupees (₹) |
|---|---|
| 1st Target | 26,500 |
| 2nd Target | 50,000 |
| 3rd Target | 1,63,000 |
| Years | Target Price |
|---|---|
| Adani Power Share Price Target 2025 | ₹650 to ₹800 |
| Adani Power Share Price Target 2026 | ₹800 to ₹1050 |
| Adani Power Share Price Target 2027 | ₹950 to ₹1400 |
| Adani Power Share Price Target 2028 | ₹1150 to ₹1800 |
| Adani Power Share Price Target 2029 | ₹1400 to ₹2400 |
| Adani Power Share Price Target 2030 | ₹1650 to ₹3000 |
| Adani Power Share Price Target 2035 | ₹3300 to ₹9,000 |
| Adani Power Share Price Target 2040 | ₹6600 to ₹27,000 |
| Adani Power Share Price Target 2050 | ₹26,500 to ₹1,63,000 |
Conclusion
Adani Power is one of India’s biggest power companies, generating electricity from coal and renewable sources. It has grown a lot in recent years, with strong profit growth and support from the Adani Group. The company benefits from long-term contracts and government support, making it a stable player in the power sector. However, it also has risks like high debt, legal issues, and stock price fluctuations. While Adani Power has good growth potential, investors should carefully consider these risks before investing. For the latest updates, visit the Adani Power official website.
Disclaimer
This article is for educational purposes only. It is not a stock recommendation and should not be treated as such. Please ask your financial advisor before making any investment decision.
Also Read: NTPC Share Price Target 2025 to 2050
