The SENSEX has fallen by 1.5% over the last two days. However, the Adani Power share price experienced a significant shock, dropping by 8% over the last five days. What's the reason behind this fall? Is it a major setback or a temporary decline? Let's uncover in this blog.
Drop In Adani Power Share Stock
In the last 5 Years, the stock has fallen by 8%.
In the last 1 month, the stock has fallen by 2-2.5%.
In the last 6 months, the share has grown by 19-20%.
In the last 1 year, the share has grown by 40%.
Overall, the share gave a decent return over the last few years.
The reason for this sale and drop in share was the Supreme Court's refusal to pass any order over Adani's proposed thermal plant in Uttar Pradesh. A bench headed by Chief Justice Surya Kant, Justices Joymalya Bagchi and Vipul M Pancholi told Sanjay Parikh, who was appearing for the environmentalist, “The State may be power-deficient. We can’t pass orders like this. We need to strike a balance between environmental concerns and development”, The Pioneer reported.
Adani Power Share Dropped Due To Uncertainty
As the site of the thermal project is located in a forest area, there are chances that this project may harm sloth bears living there. If not examined properly, the size of the power plant may lead to irreversible damage. Although the government has given clearance, it's still pending the National Green Tribunal and the Supreme Court.
Can This Development Lead To Big Shocks In Adani Power Share?
The price drop could have been possible through the temporary selling of shares. Some public may have sold their shares, leading to this correction. But new investors may purchase bulk shares, leading to recovery.
Financial Status Of Adani Power
Adani Power's revenue from operations stood at Rs 12,451 crores in Q3FY26 compared to Q3FY25 of Rs 13,671 crores, which is down by 9% YoY.
Not just revenue, but net profit stood at Rs 2,488 crore in Q3 FY26, down compared to Rs 2,940 crore profit in Q3 FY25.
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