Adani Power shares jump after board approves stock split
Adani Power's shares rose nearly 2% to ₹575 on Monday after the board approved a 1:5 stock split.
This means each share will be divided into five, making them more affordable and aiming to get more everyday investors on board.
Stock splits can make shares more accessible
Lower-priced shares can attract younger and first-time investors who might have found the old price out of reach.
The total value of the company stays the same, but it becomes easier for more people to own a piece.
The official date for this change will be set once shareholders give their nod.
Financial performance has been mixed
Financially, things have been mixed: profits dropped 15.5% year-on-year last quarter, and revenue dipped too, but operational numbers are bouncing back compared to the previous quarter.
While the stock is down about 21% over the past year, it's still up over 100% in two years.
Analysts maintain 'Strong Buy' rating
Even with recent ups and downs, analysts are sticking with a 'Strong Buy' rating for Adani Power.
Their average target price is ₹634—about 11% higher than today—showing confidence in where things are headed.