On Tuesday, Adani Enterprises hit an all-time high of ₹1202, up 5.6%, Adani Total Gas rose 6% to touch a record high of ₹1248, Adani Transmission jumped 5% to ₹1147, and Adani Ports gained 4% to an all-time high of ₹791.
Adani Power rose 5% to ₹98.40, while Adani Green Energy gained 2.3% to ₹1194.
Earlier, Tata Group and Mukesh Ambani led-Reliance Group have achieved this milestone. Tata Group's current market cap was $242 billion while RIL Group's mcap at $190 billion.
Total five firms in Adani Group currently have a market cap of over ₹1 trillion, while one -- Adani Power Ltd -- has an mcap of ₹38,000 crore.
Interestingly, five of its group companies -- Adani Enterprises Ltd, Adani Green Energy Ltd, Adani Transmission, Adani Power Ltd and Adani Total Gas Ltd -- have no coverage from any analyst.
Despite this, in the last one year, all six listed Adani group companies generated multi-bagger returns without any major fundamental factors.
Vinit Bolinjkar, Head of Research, Ventura Securities says that he believes that the current valuations of the Adani group’s listed companies are so high, that it seems to have priced in all the future business growth, which limits the further upside.
"Most of the Adani group stocks have very high debt on their balance sheets and promoters have also pledged their shares, which makes the stocks too risky to initiate coverage. That’s why most of the analysts prefer to stay away from Adani group companies", said Vinit Bolinjkar, Head of Research, Ventura Securities.
Adani Ports & Special Economic Zone have 21 buys, 4 holds and 1 sell ratings, according to Bloomberg.
Analyst says that the recent surge in stock prices of Adani Group was after expanding rapidly into multiple operations by many group companies led earnings visibility in future.
"Adani group stocks have had a strong run over the last year mainly due to strong traction in renewables and large order wins. However, considering the sharp run-up, the valuations look stretched now. We would thus recommend waiting for correction before making any fresh investment", said Ajit Mishra, VP Research, Religare Broking
Adani Airports, arm of Adani Enterprises, last month completed the acquisition of a 23.5% stake in Mumbai International Airport. It also won the mandate to modernize and operate six airports -- Ahmedabad, Lucknow, Mangaluru, Jaipur, Guwahati and Thiruvananthapuram for a period of 50 years through a globally competitive tendering process conducted by the Airports Authority of India.
Adani Ports have done four acquisitions in the last five months with a combined value of ₹18000 crore. Adani Green's total renewable capacity stands at 15165 MW, of which 3395 MW is operational and 11770 MW under implementation.