Shares of Adani group companies have recouped nearly all the losses triggered by the explosive short-seller report in 2023, as the billionaire Gautam Adani-led conglomerate steadily overcame regulatory scrutiny and restored investor confidence.

Riding a sharp rally in power, ports, and green energy stocks, the port-to-power group’s combined market capitalisation has touched nearly ₹19.5 lakh crore mark, as investors cheer easing regulatory overhang and renewed optimism around India’s infrastructure and energy story in the backdrop of West Asia crisis.

The cumulative market value of the group’s 10 listed entities has jumped by nearly ₹1.75 lakh crore in just eight trading sessions since May 18, after the U.S. Department of Justice dropped fraud-related charges against chairman Gautam Adani and his nephew Sagar Adani.

5 Adani stocks hit 52-week highs

The sharp rebound has helped the group recover almost all the losses triggered by the Hindenburg Research report released in January 2023, which had wiped out billions of dollars in investor wealth and sparked one of the biggest corporate crises in India’s stock market history.

The rally was broad-based across the group’s flagship infrastructure, power, ports, energy transition, and cement businesses. Five Adani group companies - Adani Enterprises, Adani Power, Adani Ports and Special Economic Zone, Adani Energy Solutions, and Adani Green Energy - hit their respective 52-week highs on the BSE during intra-day trade on May 27.

Among the biggest gainers, Adani Total Gas saw its market capitalisation rise by over 32% since May 18, while Adani Energy Solutions added nearly 16% and Adani Power gained more than 13% in terms of market value.

The sharp surge in Adani Power has also reshaped India’s market-cap rankings. The company overtook Infosys to become the 11th most valuable listed company on the BSE. At Wednesday’s trading levels, Adani Power commanded a market capitalisation of around ₹4.79 lakh crore, supported by strong momentum in power and infrastructure stocks amid rising electricity demand and expectations of sustained industrial growth.

Bernstein says Adani Group has moved past key regulatory overhangs

Foreign brokerage firm Bernstein said in a report last week that the Adani Group has now moved beyond the two biggest overhangs that weighed on investor sentiment over the past four years - the January 2023 short-seller episode and the U.S. SEC-Department of Justice investigations that began in November 2024.

Following the latest developments in the U.S., the brokerage believes both concerns are now largely behind the group. While several institutional investors had stayed away from Adani stocks amid uncertainty surrounding the investigations, Bernstein noted that the conglomerate’s execution track record and infrastructure-building capabilities were never seriously questioned.

The report added that many Adani group companies continue to remain under-owned despite improving investor confidence. Bernstein maintained its bullish stance on the conglomerate, retaining ‘Outperform’ ratings on Adani Ports and Special Economic Zone and Adani Power, while remaining constructive on the group’s broader infrastructure positioning and execution capabilities.

According to the brokerage, the Adani Group has nearly doubled its cash reserves over the past three years while maintaining a manageable debt repayment profile despite aggressive capital expenditure across businesses.

The group’s cash reserves increased from around ₹18,600 crore in March 2023 to nearly ₹35,400 crore in March 2026, supported by stronger internal accruals and improving operational performance across its core infrastructure businesses.

The report also highlighted that debt repayment obligations remain comfortable, particularly for Adani Green Energy, the group’s most leveraged entity, with no major near-term maturities posing pressure on liquidity.

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