Billionaire Gautam Adani-led Adani Total Gas has surged as much as 436% from the 52-week low of ₹340.80 on January 18, 2021, to ₹1,825 in intraday trade today, outrunning Sensex returns. In comparison, the BSE Sensex, which gauges the performance of top 30 largecap stocks, gained 24.5% over the past one year.
₹1 lakh invested in this Adani group stock on January 18 last year would have now turned ₹5.35 lakh.
With a market capitalisation of ₹1,96,756 crore, Adani Total Gas is the biggest company in the gas distribution sector and constitutes more than 50% of the entire space. The firm, a wholly-owned subsidiary of Adani Enterprises, has outperformed its peer gas distribution industry companies such as GAIL (India) (3.6%), Gujarat Gas (75%), Indraprastha Gas (-13%), Indian Oil Corporation (25%), Mahanagar Gas (-21%), and Gujarat State Petronet (47%), last year.
Within the Adani group, Adani Total Gas also outshined the group companies in terms of one year return. Adani Total Gas delivered 435% returns to shareholders, followed by the group’s flagship Adani Transmission (283%), Adani Enterprises (230%), Adani Power (96.5%), Adani Ports and Special Economic Zone (43.4%), and Adani Green Energy (33.4%).
Share price of Adani Total Gas have rallied 1,646% over the last three years and 97% during the last 6-month period. It has gained 9% in the past one month and 3.3% over the last one week. Driven by this performance, Adani Total Gas secured entry into the MSCI India Index in May last year, which measures the performance of the large and mid-cap stocks of the Indian market.
On Friday, Adani Total Gas’ stock dropped after 5 days of consecutive gain, with share price falling as much as 1.6% to hit an intraday low of 1,770 on the BSE. The share traded nearly 11% lower than 52-week high of ₹1,987 touched on December 16, 2021. The stock traded higher than 5-day, 20-day, 50-day, 100-day, and 200-day moving averages.
On the volume front, there was spurt in volume trade as 5,565 shares changed hands over the counter today with a value of ₹99.37 lakh on the BSE.
Despite recent rally, the stock has witnessed a drop in investor participation, with the delivery volume, the quantity of the stock delivered to the actual buyer out of the total traded volume, declining by 24.7% to 3.03 thousand on January 6, as compared to 5-day average volume, according to stock research platform Markets Mojo.
On the technical front, Adani Total Gas has turned bullish from mildly bullish on January 6 at ₹1,765.35, as per the research platform.
Adani Total Gas, a part of the diversified Adani Group, had reported positive results for the last five consecutive quarters.
For the second quarter ended September 2021, the consolidated net profit rose 17.72% year-on-year to ₹158.12 crore, while revenue from operations surged 55.68% to ₹686.80 crore in Q2 FY22, over the same period last year.
During the September quarter of 2021, Adani Total Gas commissioned 20 new stations, taking the total CNG station count to 244. It also added 18,659 new PNG Home Connections, taking the total to 5.06 lakh, while the industrial & commercial connection increased by 199 to 5,264 in Q2 FY22.