Adani Ports: Motilal Oswal Reaffirms 'Buy' On The Stock, Revises Target Price Amid Strong Logistics Play
At 15x FY28E EV/Ebitda, Motilal Oswal sees compelling value in Adani Ports’ diversified, scalable business model, underpinned by structural growth drivers in ports, logistics, and marine services.
(Photo source: Adani Ports)
Motilal Oswal has reiterated its Buy rating on Adani Ports and Special Economic Zone with a target price of Rs 1,770, implying a 16% upside from the current market price of Rs 1,531. The brokerage’s positive stance is underpinned by strong operational performance, robust cargo growth, and the company’s strategic pivot toward integrated logistics and marine services.
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Motilal Oswal Report
With strong cash flows, a healthy cash balance of Rs 130 billion, and a net debt-to-Ebitda ratio of 1.8x, Adani Ports and Special Economic Zone Ltd. is well-positioned for further expansion.
Capacity enhancements at key ports, ongoing infrastructure projects, and global port acquisitions provide visibility for steady growth in FY26 and beyond.
Adani Ports' diversified cargo mix and ongoing infrastructure investments are expected to support its target of 505-515 million metric tonne cargo handling in FY26.
We expect Adani Ports to report 8% growth in cargo volumes over FY25-28E. This would drive a CAGR of 14%/15%/18% in revenue/Ebitda/PAT over FY25-28E.
We reiterate our Buy rating with a revised target price of Rs 1,770 (premised on 15x FY28E enterprise value/Ebitda).
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