Billionaire Gautam Adani-led ports-to-power conglomerate's stocks — Adani Enterprises, Ambuja Cement, Adani Ports & Special Economic Zone — are amongst top picks by market veteran and Director at IIFL Securities Sanjiv Bhasin for long term investment. The Adani group stocks extended their gains on Tuesday to the third consecutive session with flagship Adani Enterprises leading the pack with 17 percent rally. All 10 Adani stocks were trading in the green in early trade.

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"By the end of January-February, Adani hit Rs 1,000; it is back to Rs 2,200. As a disclosure both the Adani twins are on our long position. And Rs 3,000 is coming on Adani Enterprises, just to scare the bears. So, remember, greed and fear go hand in hand whether it was Hindenburg or the SEBI provocation and so on. All the real realisations are coming out now,” said Bhasin, while speaking to CNBC-TV18 on Tuesday.

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Bhasin expects Ambuja Cements to be the top-performing cement stock. The other strong stocks recommended by analysts from the Adani basket included Adani Wilmar and ACC.

The Adani Group stocks were in high demand as investors found optimism after the Supreme Court-appointed expert committee's report said that it cannot conclude any regulatory failure around the Adani Group- Hindenburg row.

Others group stocks including Adani Wilmar, Adani Ports and Special Economic Zone, Adani Transmission, Adani Total Gas, Adani Green Energy, Adani Power, ACC, Ambuja and New Delhi Television (NDTV) surged up to 10 percent.

The group stocks added about Rs 80,000 crore in the overall market capitalisation of its 10 listed companies on Monday.

"Adani stocks had corrected hugely after the Hindenburg report. The Supreme Court expert panel in its report said that at this stage, taking into account the explanations provided by SEBI, supported by empirical data, prima facie, it would not be possible for the committee to conclude that there has been a regulatory failure around the allegation of price manipulation,” said Dr VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

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"The high integrity of the members of the panel must have given confidence to investors to buy the beaten down stocks. Some short covering also would have contributed to the rally. However, from the valuation perspective, Adani stocks are not undervalued," Vijayakumar added.

First Published:May 23, 2023 2:08 PM IST